Chainlink (LINK), one of the best performing alternative crypt currencies (altcoins) in 2020, scored another record in the statistics, in this case the number of Twitter followers.
According to market data and the research company CryptoCompare, the project’s social network followers are continually exceeding new highs. CryptoCompare researchers wrote:
„LINK has been one of the highlights of 2020 and seems to be going well. Its followers in social networks seem to be growing as it gains popularity“.
Chainlink tops DeFi ranking at CoinMarketCap amid „unfounded criticism
Social media metric of Chainlink relative to its price
Social media metrics are not a conventional way to measure the trend of a cryptomoney. But it could indicate a strengthening of the community and an improvement in market sentiment. At the same time, the dominance of Bitcoin tweets remains well above that of LINK: 41.5% compared to just over 5%, respectively.
Chainlink moves forward with new partnerships and the growth of DeFi
Community sentiment around Chainlink seems to be improving due to two factors, namely new partnerships and the growth of decentralized funding, or DeFi.
Chainlink, which provides oracles through intelligent contracts, is mainly used by DeFi protocols. Oracles provide real-time market data and DeFi platforms need to implement oracles to function smoothly.
The DeFi protocols have two options: use existing Oracle service providers or build your own Oracle. The latter option is more compelling because it saves costs for projects. So far, DeFi protocols like Aave and Synthetix are working with Chainlink.
Chainlink brings exchange rate data from major South Korean banks into the DeFi space
Stani Kulechov, the CEO of Aave said:
„I think part of the skill of composition is that you don’t have to build everything yourself. The Chainlink oracle is very good, and it’s part of this whole idea of compositional skills, it’s vital.“
As the total blocked value in the DeFi market reached a new high of $3.56 billion, this further boosted the use of Chainlink by DeFi protocols. In addition to DeFi related growth, Chainlink recently partnered with Binance’s Smart Chain and German telecommunications conglomerate Deutsche Telekom’s T-Systems.
„You could even say that the duty of a telecommunication company is to be a public blockchain network infrastructure provider,“ said Gleb Dudka, analyst at T-Systems MMS, in a recent interview with Cointelegraph.
Binance Smart Chain is also using Chainlink oracles to add exchange pricing, helping Binance DEX to function in the DeFi space.
„Chainlink oracles bring greater market coverage to DeFi applications in Binance Smart Chain by retrieving price data from data aggregators, which aggregate prices from all centralized and decentralized exchanges.