Introduction

Chainlink (LINK) is one of the most recognized infrastructure projects in crypto, designed to solve a fundamental blockchain challenge: how to bring reliable, real-world data into decentralized applications.

Chainlink is a decentralized oracle network that allows smart contracts to securely access off-chain data feeds, web APIs, and traditional payment systems. This makes it the critical "data layer" for Web3.

Why Oracles Matter

Blockchains are closed systems that cannot directly communicate with the outside world. A smart contract cannot inherently know:

• What is the ETH/USD price
• Whether a specific flight was cancelled
• How much rain fell in a city last night

This is where oracle systems come in, acting as bridges between blockchains and external data. Chainlink's innovation was to decentralize this oracle function, removing single points of failure.

How Chainlink Works

Use Cases and Integrations

Chainlink is integrated into leading blockchains and DeFi applications including:

• Aave and Compound: Price data for lending platforms
• Synthetix: Prices for synthetic assets
• Multiple chains: Ethereum, Avalanche, BNB Chain, and more

Where to Buy Chainlink (LINK)

LINK is available on most major cryptocurrency exchanges with excellent liquidity.

Investment Considerations

Chainlink represents infrastructure-level investment in blockchain technology. Its value is tied to the growth of DeFi and smart contract adoption across the ecosystem.

Learn more in our crypto investing basics guide.