Kraken uses Chainlink (LINK) tech to bring its prices to DeFi

Kraken is one of the world’s largest cryptocurrency exchanges by trading volume, and as such, it is already extremely influential. However, according to recent information, the exchange also plans to expand its influence by sourcing its data to the DeFi sector.

Kraken prices are coming to DeFi via Chainlink

Kraken announced its intention earlier today, noting that it is now running its own node on Chainlink’s (LINK) blockchain. This opens up an opportunity to broadcast its Oracle Rates to Ethereum (ETH), as well as other blockchains.

The Oracle Rates offer price information in real-time, which is then sent to decentralized apps of the DeFi sector. This can include anything, from lending projects, stablecoins, payments, or derivatives contracts. It is all possible due to Chainlink’s integrated cryptographic signing capability.

Essentially, users can access the price data, and even receive proof that this data is truly from Kraken’s platform.

Kraken plans to eliminate price manipulation

Chainlink has recently made headlines multiple times due to major projects’ decision to use its technology for their own purposes. Its decentralized oracle network is already used in the DeFi sector by a wide range of projects, typically for similar purposes as what Kraken intends.

The risk of price manipulation is quite high, and Chainlink’s oracles are necessary to eliminate that risk, and give traders peace of mind. With this data being fed directly into smart contracts, they can immediately react to any changes in various coins’ value. In the end, Kraken’s goal is to increase transparency and trust in the crypto space, and the best way to do so is to offer proof that the information is genuine.