How does a DeFi protocol know when the value of your collateral has fallen?
Chainlink aggregates price quotes from multiple sources through a group of independent nodes, then publishes them on-chain.
Here's the key takeaway: when choosing a DeFi product, pay attention to which oracle it uses. The more concentrated its price data sources are, the greater the risk.
$LINK is the token of the decentralized oracle Chainlink.
Every return comes with its own risks, so understand the worst-case scenario first.
#LINK
Chainlink aggregates price quotes from multiple sources through a group of independent nodes, then publishes them on-chain.
Here's the key takeaway: when choosing a DeFi product, pay attention to which oracle it uses. The more concentrated its price data sources are, the greater the risk.
$LINK is the token of the decentralized oracle Chainlink.
Every return comes with its own risks, so understand the worst-case scenario first.
#LINK