All about Chainlink? Should you invest in ChainLink?

As a participant in the cryptocurrency market, you must have heard of Link coin, right? ChainLink (Link) is a fairly new coin, but with evolving technology and mutation points, it has become a potential and thriving coin. So to know all information on Chainlink, as well as answering the question “Should I invest in ChainLink (LINK)?“Let’s enter the following article.

What is ChainLink and LINK?

Know that ChainLink is based on the Ethereum Blockchain technology and the intermediate Blockchain platform. ChainLink is considered a bridge, with the role of transmitting data between the two Blockchain worlds and the real world.

We need to distinguish LINK and ChainLink. If ChainLink is seen as the talking bridge in data transmission, LINK is considered the “fuel” or token in the ChainLink network and was born in September 2017.

ChainLink was born for what purpose?

In 2015 Ethereum was born which broke the previous limits of Bitcoin. One of the important developments of Ethereum is the creation of smart contracts or smart contracts.

However, there is a limitation here that they only handle the data available on the Blockchain. Therefore, the ChainLink bridge was born to improve the above shortcomings. And it made Smart contract the most perfect at the moment.

How does it work

So how does ChainLink work? Based on the main goal that ChainLink holds, two main functions will be mentioned shortly.

ChainLink On-Chain function

Smart contracts will be processed directly on the chain, until a request from the user appears, who wants to access the data off the chain, will create a request contract and send it to the ChainLink network. At this time, Blockchain will comply with the requirements of this additional contract.

These contracts include three types of contracts, which are the reputation contract (reputation contract), the order matching contract (order matching contract), and the bundling contract (bundling contract).

Reputation contract Respectable contract: Is responsible for monitoring the records of the administrative system provider to verify himself.

Order Correspondence Agreement Order Correspondence Agreement: Record the service fee agreed in the contract and collect offers from reputable and trustworthy places.

Aggregate contractGeneral contract: summarizes the researched and considered data to make the most optimal choice.

With these 3 contract types, ChainLink will follow a three-step process as follows: the oracle selection, the data report and the final step are aggregating the results.

Off-chain function

If the first component of ChainLink are the contracts, the second component are the off-chain governance nodes. It is known that at the moment ChainLink only connects to smart contracts on the Ethereum network.

The responsibility of these nodes is to collect data from the Off-Chain source and comply with the requirements of the agreed contract. The next step in data collection is to process this data using ChainLink Core. Once processed, the data will be passed on to the on-chain governance agreement that merges the results.

The power of off-chain admins will be rewarded with LINK coins and they deserve it.

ChainLink coin purse

As we all know, LINK is a ChainLink token and is developed on the standard Ethereum Blockchain platform ERC-20. That’s why you should create a wallet and store your coins on Ethereum wallets that support ERC-20.

Some popular and favorite wallets used today (including hot and cold wallets) such as: Trezor, Ledger, ImToken, Trust Wallet, ..

Also, if you trade often and trade in large quantities, you can create portfolios in the exchanges. It makes your needs easier. However, it is worth noting that compared to the exchange wallet, the private wallet is considered to be much more secure.

Where is it safe to buy and sell LINK?

There are currently many LINK coin exchanges, including domestic and foreign. However, international exchanges are considered safe and are more reasonably priced. Some international exchanges list ChainLink coins such as Binance, Huobi, Kyber Network, EtherDelta, etc.

In which, Binance and Huobi are considered the two exchanges with the largest daily LINK transactions. In addition, these 2 exchanges also offer low fees, high liquidity and also possess high security. These are 2 exchanges that you can trust to trade your currency.

But in order to better understand and make a decision, it is necessary to study more besides the floor regulations.

Should you invest in ChainLink (LINK)?

In terms of ideas, ChainLink is considered a very potential project, due to its endless creativity and unique intentions. Accompanied by a powerful team that creates momentum for the development of ChainLink’s ideas.

Also, in terms of practicality, ChainLink was judged to lack actual products to prove what their operators were saying. Accompanied by there is no clear specific process. When the MainNet project was said to be running in Q1 2018, but so far it’s just a TestNet version.

But after all, if they successfully execute the above project, the chance that LINK will increase in value is very high.

Compared to the short term, the long term is considered potential for investors with long term investment intentions for LINK. Another type of corporate navigation is also quite reasonable for LINK.

These are the conclusions of the analysis of the whole process of the ChainLink project from its inception to the present day. You can refer to my advice as above. And remember that before you decide to invest you have to do a careful research, especially this is not a place for people with “dry feet”.

This article has given you everything about ChainLink in a nutshell and also provided tips on the question of whether or not to invest in ChainLink. Surely you already have an overview of ChainLink, right? I hope this writing is useful for you. Also you can participate in Bitcoin trading on Fiahub. This is a site that helps you to buy and sell BTC quickly and safely.