In a groundbreaking move to accelerate the transition to the on-chain financial ecosystem, Stellar Network today announced the integration of Chainlink into its protocol. In a blog post published today, Stellar revealed that it has adopted Chainlink’s data feeds as its official oracle solution.
Stellar Network is a decentralized blockchain network recognized for facilitating rapid, cheap, and secure cross-border payments and fund transfer applications for institutions and individuals. However, one shortcoming of traditional blockchains, like Stellar Network and several others, is their inability to access real-world data directly. Stellar aims to address this by adopting Chainlink oracles.
Stellar adopts Chainlink’s data feeds
Chainlink oracles are specialized smart contracts that bridge blockchain networks and external data sources. They enable reliable and secure exchange of real-world data (like asset prices) to and from blockchain smart contracts. By adopting Chainlink oracles, Stellar expands the capabilities of its blockchain infrastructure, allowing it to interact with off-chain data in a trustless, decentralized manner.
Chainlink’s price feed is a crucial blockchain instrument that connects smart contracts and real-world data. Many DeFi applications across chains rely on these price feeds to keep their services running smoothly.
As a result, by adopting Chainlink’s oracle, Stellar aims to expand its protocol’s capabilities. This means that Stellar’s DeFi ecosystem now has access to reliable pricing data through Chainlink’s scale program.
Unleashing RWA with DeFi innovation
The oracle integration is set to unlock a new level of DeFi adoption on Stellar. With Chainlink’s data streams and data feeds now available on Stellar, developers have access to the market data needed to build on-chain applications that connect Stellar’s advancing RWA ecosystem with DeFi.
Stellar’s blockchain already supports $4+ billion in RWAs, with assets moving on-chain. The incorporation of a Chainlink oracle ensures assets are priced, traded, used as collateral, and borrowed against reliably. With the integration, liquidity and assets on Stellar become part of a productive DeFi ecosystem where customers put their capital (e.g., tokenized stocks, stablecoins, and various assets) to work.
