Avalanche, a blockchain-based platform used to launch applications, has integrated Chain's data feeds, a oracle ", which is a service that provides data from external sources in a blockchain.
Smart contracts with external data, such as prices, feed a decentralized finance believehealth (DeFi) economics of lending applications, decentralized exchanges and price sensitive derivatives markets. DeFi refers to applications that allow people to conduct financial transactions without a traditional middleman such as a bank.
These applications, called dapps, are built on the Avalanche platform which has been uploaded in September. Avalanche is similar in some ways to other base layer blockchains like Solana and Binance Smart Chain, but with a new consensus system and better compatibility with smart contracts that run on the Ethereum platform.
Adding Chain data feeds to the mix will launch a DeFi ecosystem on Avalanche, said John Wu, president of Ava Labs, the company that runs Avalanche.
"There isread 225 projects building on the Avalanche ecosystem, many of which are in integration mode, expect certain features such as Chain oracles, ”Wu said in an interview. "Some big stablecoi ns are also shortly at the bottom of the pike. That 's why we are so excited.
Historically, DeFi and blockchain oracles have emerged at around the same time, Chain co-founder Sergey Nazarov said.
"It 's no coincidence, " Nazarov said in a statement. interview. "The dynamic around DeFi is that you really can't build it without external data. DeFi is what we call 'a hybrid smart contract,' in the sense that it combines on-chain code and off-chain systems." " Read more: Chain Founder Says DeFi and Oracles Can Helputter against climate change
The Chain Network is a collection of many services that provide data on a wide range of areas from prices to weather to games, a Nazarov said.
“The industry was about this smart contract for tokens. Then it moved on to tokens and voting, and then to tokens and voting using external data, ”Nazarov said, adding: