LINK, short for Chainlink, is the first decentralized oracle network that enables anyone to securely provide smart contracts access to critical external data, off-chain payments, and any other API functions. Its purpose is to connect smart contracts with external data sources and real-world information.
Chainlink utilizes a distributed network of nodes to provide data services. These nodes, known as on-chain nodes, are responsible for retrieving data from external data sources and transmitting it to smart contracts. Data validation and consensus mechanisms among the nodes ensure the accuracy and security of the data.
The LINK token is used to pay for the services provided by on-chain nodes. Nodes lock a certain amount of LINK to offer data services and receive corresponding rewards. Additionally, the LINK token is also used for on-chain governance, where holders can participate in decision-making and voting on proposals within the Chainlink network.
The Chainlink project was co-founded by Sergey Nazarov and Steve Ellis in 2014.The Chainlink mainnet was officially launched in May 2019. Currently, Chainlink has partnered with Google Cloud and Amazon Web Services. Chainlink services are integrated into Google Cloud Platform and Google Cloud Platform.
Above are only for introduction, not intended as investment advice.