Chainlink is one of the new cryptocurrencies which has been making a lot of progress in the global cryptocurrency markets, especially in the 2020-2021 years. The COVID-19 pandemic has caused a big change in every industry and more so notably in the money markets. Digitization of businesses means investors are now more active and that has prompted the positive response for new cryptocurrencies like Chainlink.
Background of Chainlink
Chainlink uses the token of LINK. It was started by founders Sergey Nazarov, Ari Juels and Steve Ellis. It operates on the platform of Ethereum which means most crypto traders would be quite familiar with it. Running on the open-source platform, it has a supply unit of 1 billion units. As of April 2021, it has reached 420 million LINKS which is almost half of its maximum.
What is it all about?
Basically, Chainlink runs on a decentralized network and is one of the main data sources that is used to channel information used in decentralized finance applications. This was evident when Google started using Chainlink for its BigQuery data analytics platform, one of the most crucial systems used by Google. This is where externally sourced data could be used in its applications. Chainlink was also the platform used by Everipedia during the 2020 US Presidential Election.
What makes Chainlink so significant is that it has since grown to become the fifth-largest crypto in terms of market capitalization in 2020. This is only 3 years since it was launched in 2017 although Chainlink was created 3 years prior. Among the 3 co-founders, Sergey Nazarov is the main person where he co-wrote the whitepaper together with Professor Ari Juels from Cornell University. During its ICO (Initial Coin Offering) in 2017, it raised some US$32 million.
Buying and trading Chainlink
Like most of the other cryptos, it is very straightforward to trade LINK tokens. Most cryptocurrency exchanges will have LINK listed on their platforms. Traders can use their existing cryptocurrencies to exchange for LINK tokens. Otherwise, they can buy LINK tokens using fiat currencies through transactions on their debit or credit cards, which are very common methods.
The LINK cryptocurrency has been hovering around the US$30 range for most of the first quarter of 2021. Expectedly, the prices should continue to increase for the rest of 2021 and later. Like every other cryptocurrency, LINK is still considered to be among the volatile counters.