Integrating Chainlink’s Market-Leading Oracle Network Into Plasm
Smart contracts are beginning to take root amongst a wider base of people as new backend infrastructure for more secure and fair social and economic systems. Markets like DeFi are already proving this, with a total value locked at over $30B USD. This is a significant milestone, but continuing to scale further into the hundreds of billions will require an even greater focus on maintaining extreme infrastructure security and reliability levels.
While underlying blockchain systems and smart contract code are often studied in-depth, oracle infrastructure is not. Yet, it’s just as critical to the success of DeFi and smart contracts as a whole, particularly because the majority of dApps need an oracle to execute key on-chain functions dependent on off-chain events.
We are now working to get Chainlink natively integrated into Plasm. Not only can developers build any kind of oracle network using Chainlink, but they will be able accelerate their launch schedule by integrating one of the many oracle solutions already proven to secure real economic value on mainnet. In fact, it’s why Plasm itself selected Chainlink as its oracle solution non-natively when it needed secure, fair market exchange rates during the first and second lockdrop token distribution model we implemented.
Below, we explore some of the main reasons we work together with Chainlink as an oracle solution for Plasm developers.
Time-Tested and Security Reviewed Oracle Solutions
In the same way web developers today leverage APIs to build their applications, most smart contract developers want to leverage proven oracle solutions rather than build them from scratch. This is especially true for DeFi, where the market is innovating at such a rapid rate that developers want to build and expand upon their core products, as opposed to create and maintain oracle infrastructure.
Chainlink can offer Plasm developers a growing set of proven oracle networks to obtain access to a wide variety of Price Feeds for the most in-demand assets like cryptocurrencies, FX rates, commodities, indices, and unique data sets like total crypto market cap and the reserves of tokenized assets. These shared Price Feeds are already relied on and financially supported by many of the industry’s leading DeFi projects, such as Aave, Synthetix, and Nexus Mutual, to collectively secure over $10B USD worth of on-chain assets.
We used the Chainlink Price Feeds during our lockdrops, and these work well on Plasm Network. Their solution provides Plasm users with built-in protections against Sybil attacks, network downtime, oracle tampering, and data manipulation on single exchanges, such as those recently exploited via flash loans. These Price Feeds are also backed by nodes running multiple software clients and strong crypto-economic incentives for oracle services, which has resulted in hyper-reliability, even during times of network congestion and large infrastructure outages (ie., Infura downtime).
In addition to Price Feeds, Chainlink has a novel RNG solution called the Verifiable Random Function (VRF). Chainlink VRF is used to generate a secure, provably fair source of randomness that cannot be falsified or tampered with by the consuming dApp, oracle, or external observers. This enables Plasm developers to leverage tamper-proof and unbiased unpredictability within gaming applications, such as to generate unique NFT traits, select random winners, or create random in-game scenarios.
Secure, Flexible Infrastructure for Custom Oracle Solutions
For those developers wanting to build their own custom oracle solution, Chainlink has a flexible framework with an extensive set of tools, developer documentation, and integration support to build any type of oracle solution.
Plasm developers can use Chainlink External Adapters to connect to any off-chain API, whether to access premium weather data, pull information from an IoT network, make a payment on an existing payment rail, or any other sought after data source provided by an open or authenticated API. They can also select the oracles they want to use from a large pool of independent, security reviewed Chainlink node operators, removing the need for Plasm developers to provide their own. However, if they want to launch their own node operators, they can do that as well.
Additionally, Plasm developers can access data directly from the largest number of data providers running their own oracle, in the form of a Chainlink node, enabling them to easily provide cryptographically signed data with further proof of its origin. Many data providers and exchanges are already launching their own nodes, creating a large on-chain marketplace of individual data providers that directly sign their data into Plasm.
Developers can then use these resources to create custom oracle networks using any number of specific nodes and data sources, along with their choice of an aggregation strategy, update frequency, and various other parameters they want to set. Ultimately, this allows dApps to consume data the way they want to consume it.
Chainlink is also building several novel data privacy solutions, such as DECO, which will allow developers to utilize confidential off-chain data on the blockchain to trigger the execution of smart contracts without putting the data on-chain or exposing it to the public. By combining DECO with Chainlink’s External Adapter capabilities, Chainlink can unlock nearly all of the world’s data for use in on-chain applications, removing any limits to what Plasm developers can build in the future.
Plasm is committed to building a fast, cheap, and interoperable Ethereum-compatible
smart contract platform on Polkadot. A key piece of achieving our grand vision is ensuring developers have access to secure and reliable oracle infrastructure to satisfy their wide range of off-chain needs. We have the utmost confidence in the Chainlink Network and the strong team and development community backing it.
For Plasm developers and dApps that want to integrate Chainlink Price Feeds, launch a new Price Feed, or need help launching a custom oracle solution, check out the Chainlink developer documentation, reach out with technical questions in their Discord, or contact the Chainlink team for support.
If anyone wants to apply for a blockchain integration grant to bring Chainlink onto Plasm even faster, the Chainlink Community Grant Program is currently accepting applications from experienced development teams. Please apply here.
Chainlink is the most widely used and secure way to power universally connected smart contracts. With Chainlink, developers can connect any blockchain with high-quality data sources from other blockchains as well as real-world data. Managed by a global, decentralized community of hundreds of thousands of people, Chainlink is introducing a fairer model for contracts. Its network currently secures billions of dollars in value for smart contracts across the decentralized finance (DeFi), insurance and gaming ecosystems, among others.
Chainlink is trusted by hundreds of organizations to deliver definitive truth via secure, reliable data feeds. To learn more, visit chain.link, subscribe to the Chainlink newsletter and follow @chainlink on Twitter.
Plasm Network aims to be the leading dApps hub on Polkadot with Ethereum compatibility and support of layer 2 solutions like OVM and ZK Rollups. Polkadot’s relay chain, the heart of the ecosystem, doesn’t support smart contracts by design. All developers within the Polkadot ecosystem need a scalable smart contract parachain. This need is where Plasm comes in. Plasm Network recently became the first Polkadot testnet parachain and launched Shiden Network, a canary network of Plasm. Plasm will connect Shiden to Kusama and aims to become the first parachain on Polkadot with Plasm.