Stella Integrates Chainlink Price Feeds To Help Secure Leveraged DeFi Strategies

We’re excited to announce that Stella — a leveraged strategies protocol with 0% cost to borrow — has integrated Chainlink Price Feeds on Arbitrum mainnet. By integrating the industry-leading decentralized oracle network, Stella has access to high-quality, tamper-proof price feeds needed to help power lending and leveraged strategies. This will provide users with stronger assurances that DeFi strategies are underpinned by tamper-proof market data.

Stella’s initial integration involves the use of the following Chainlink Price Feeds: ETH/USD, ARB/USD, USDT/USD, USDC/USD, and BTC/USD. We chose Chainlink because its infrastructure is seamless to integrate and time-tested in production. Chainlink already helps secure leading DeFi protocols responsible for tens of billions of dollars in smart contract value, maintaining robust security and high availability even amidst unexpected events, such as exchange downtime, flash crashes, and data manipulation attacks via flash loans.

Stella’s mission is to redefine how leveraged DeFi works. DeFi needs a good leverage system in order to drive more usage to DEXs and money markets, the fundamental building blocks of DeFi. With the growing usage of these fundamental primitives, new innovations and more protocols can arise and tap into the deep liquidity and robust foundation. Stella’s zero-cost borrow system and Pay-As-You-Earn model, for the first time, align incentives between borrowers and lenders, presenting a new and better way for leveraged DeFi — a way where one party does not lose when the other party gains.

In order to help secure DeFi strategies, Stella needed access to fresh asset prices that are supplied directly on-chain in a highly reliable manner. Fair market asset prices should reflect a volume-weighted average from all trading environments. Thus, it is best to make use of an oracle network to fetch aggregated price data off-chain and deliver it on-chain.

After reviewing various oracle solutions, Stella integrated Chainlink Price Feeds because they provide a multitude of critical features such as:

• High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that’s aggregated from hundreds of exchanges, weighted by volume, and cleaned of outliers and wash trading. Chainlink’s data aggregation model generates more precise global market prices that are inherently resistant to inaccuracies or manipulation of any single or small set of exchanges.
• Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises. Chainlink nodes have a strong track record of reliability, even during high gas prices and infrastructure outages.
• Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or oracle network.
• Reputation System — Chainlink provides a robust reputation framework and set of on-chain monitoring tools that allow users to independently verify the historical and real-time performance of node operators and oracle networks.

About Chainlink

Chainlink is the industry-standard Web3 services platform that has enabled trillions of dollars in transaction volume across DeFi, insurance, gaming, NFTs, and other major industries. As the leading decentralized oracle network, Chainlink enables developers to build feature-rich Web3 applications with seamless access to real-world data and off-chain computation across any blockchain and provides global enterprises with a universal gateway to all blockchains.

Learn more about Chainlink by visiting chain.link or reading the developer documentation at docs.chain.link. To discuss an integration, reach out to an expert.

About Stella

Stella is a leveraged strategies protocol with 0% cost to borrow.

At Stella, users can take leverage on supported DeFi strategies without paying any borrowing cost. Lenders can earn real yield shared from the borrowers as a lending APY, the more the borrowers get, the more the lenders earn. Users can access on-chain leveraged strategies with 0% cost to borrow that have high yield potential and capital efficiency

Learn more about Stella by visiting stellaxyz.io. Follow us on Twitter for the latest updates, and join our Discord and Telegram to become a part of our thriving community.