By
Godfrey Benjamin
April 26th, 2024
Chainlink noted that the new staking feature will be an integral part of “Chainlink Economics 2.0” thereby focusing on sustainable growth.
On Tuesday, December 6, oracle service provider Chainlink introduced a staking feature to its blockchain network. Chainlink said that the staking feature will further help to boost the economic security of its oracle services.
Staking by Chainlink
So far, the LINK token holders had a limit on how they can put their tokens to work. Earlier, Chainlink token holders had to launch their own nodes to receive the LINK token rewards. With LINK staking, they can now contribute to the network’s security while simultaneously receiving rewards.
Chainlink also noted that the new staking feature will be an integral part of “Chainlink Economics 2.0” thereby focusing on sustainable growth. Chainlink is the widely used oracle services network currently in the industry.
Oracles services are critical blockchain infrastructure that allows developers to securely use real-world data in their applications while allowing the majority of on-chain use cases today. They help the two blockchain platforms communicate in a seamless manner.
Chainlink had initially launched the staking feature as v0.1 beta. This included a staking pool allowing users to secure the ETH/USD data feed within the Ethereum mainnet. As a result, stakes can earn rewards for supporting the feed’s performance by participating in a decentralized alerting system.
Whenever the data feed doesn’t meet performance requirements, the system flags the network. Speaking on the development, Chainlink co-founder Sergey Nazarov said:
“As the network continues to expand, Chainlink Staking will continue to evolve and deliver enhanced security across our ecosystem and throughout Web3”.
Putting Up a Key Focus on Network Security
The Chainlink team noted that as they continue to release new oracle services throughout various blockchains, the network security should match the growing number of secured applications powered by Chainlink. Nazarov explained that “the Chainlink network has successfully scaled to support a significant and growing portion of DeFi and many other new smart contract verticals, enabling more than $6.6 trillion in transaction value this year.”
Chainlink (LINK) has participated in different price pumps in the altcoin space recently. Also, the LINK token has seen growing accumulation from retail players as well as big whales. On-chain data provider Santiment noted:
“Chainlink’s shark and whale address, holding between 1K to 1M $LINK, have gone on an unprecedented surge of accumulation. These wallets have added a collective 26.8M $LINK ($194.3M) in just 2 months, a 12.8% increase of coins to their bags”.
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