About Chainlink
Chainlink is a decentralized oracle network that is powered by the
LINK Ethereum token.
Oracles are an important part of the decentralized finance (or
"DeFi") landscape: in the absence of a centralized authority, they're the main mechanism by which DeFi apps receive accurate external data (especially prices). Until Chainlink was developed, there was no reliable solution that allowed smart contracts and DeFi apps to access external market prices. How it works
Chainlink was designed to incentivize a global network of computers (or "nodes") to provide accurate data to Chainlink's oracles. There are many oracles operating today, including ones that provide price data across a wide range of assets, weather data, and location data.
LINK is the token used to pay for services on the network and to incentivize nodes to perform verifiably honest work and provide accurate data. Keep in mind
In order to become a node and start providing data to Chainlink oracles, holders must stake LINK tokens into a smart contract to act as an incentive against misbehaving or submitting false data to the network.
Released: November 2017