Blockchain oracle network Chainlink has launched its staking feature to help increase the economic security of the platform’s oracle services.
As they take part in a decentralized alerting mechanism that notifies the network when feeds are not working as expected, stakers will receive Chainlink tokens.
The new staking function is a key component of the blockchain network, “Chainlink Economics 2.0” operations, which emphasize security and sustainable growth, the company said.
Before the introduction of the staking feature, the blockchain users that want LINK token rewards had to start their own nodes. Chainlink (LINK $7.20) now has a staking mechanism that was just released. Holders of tokens have a second way to profit as they contribute to the security of the Oracle platform.
Chainlink Staking, which contains a staking pool intended to protect the ETH/USD data flow within the Ethereum mainnet, was initially introduced as a v0.1 beta.
By taking part in a decentralized alerting system, stakers can profit from supporting the performance of the stream. When the Data Feed is not reaching performance standards, the system alerts the network. According to co-founder Sergey Nazarov, this launch is the starting point for Chainlink Economics 2.0 and will eventually get better.
“Chainlink Staking will continue to evolve and deliver enhanced security across our ecosystem and throughout Web3,” he said. “The network will continue to grow.”
The Chainlink team claims that as the platform continuously introduces new oracle services across various blockchains, the network’s security must keep pace with the rising value secured within powered applications. 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.”
Days before the launch of the staking feature, on Nov. 29, the LINK token surged, suggesting that traders believe the launch of the staking feature will increase demand for LINK tokens and the platform’s oracle services.
