Black_background_logo_BitcoinWorld-removebg-preview
Latest News

Chainlink Reaches All-Time High Amid China’s Blockchain Network Launch

Cover image via stock.adobe.com

Chainlink reached an all-time high of  $5.60, which is 15% on the day amid China’s Blockchain Service Network or BSN, launched last weekend. 

The BSN saw an integration to Chainlink’s price oracles into its ecosystem. It is reported by CoinTelegraph that the founding members of the BSN consortium were local tech leviathans like the China Mobile Communication Corporation and China Union Pay. Its stated goal is to advance blockchain technology in China.

According to a source close and known to BSN’s launch told Cointelegraph that the 135 nodes nodes of the Zhejiang district went live:

“Many of BSN’s public city nodes are already live but this is very different from the news around public blockchains being integrated into these nodes, which I don’t think is going live until at the end of the month at the earliest.”

The report, however, said that the source does not know whether Chainlink’s oracles are currently live.

Michael Anderson, co-founder at Framework Ventures, who made a bullish prediction about LINK back in April, also believes that Chainlink’s integration with the BSN played a factor in the spike, said the report. 

“Chainlink’s short term price spike can likely be attributed to the project’s scaled usage in the DeFi space. The market size of DeFi as a whole has grown at a breakneck pace over the last month, and a significant portion of the sector is now leveraging Chainlink to connect on-chain smart contracts to off-chain data feeds like commodities and crypto price data. I would also posit that the Chinese government’s decision to integrate Chainlink oracles into their national blockchain service also plays a role in the most recent hype cycle. Long term, we expect Chainlink’s value to continue to appreciate, especially when staking is introduced.”

It is expected that Chainlink will spend $55 million on the ecosystem growth this year. Its aggressive spending has allowed the company to achieve integration with key industry players like Tezos (XTZ) and Huobi. 

It should be noted that a couple of months ago, Chainlink also introduced verifiable on-chain randomness to the Ethereum (ETH) ecosystem.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.