Lien Integrates Chainlink on BSC Mainnet to Support Advanced Options Contracts for BNB
Lien is expanding its integration with industry-leading decentralized oracle network Chainlink. The expansion involves Lien now leveraging a Chainlink BNB/USD Price Feed directly on the Binance Smart Chain (BSC) mainnet to support our crypto-native option protocol. This Chainlink-powered decentralized price oracle provides Lien with highly accurate, reliable, and secure price data used to facilitate options trades, calculate volatility, and price contracts upon maturity, starting with call and put options on BNB and exotic products such as the butterfly option.
This announcement comes as part of our ongoing use of Chainlink Price Feeds, which support our ETH options market, currently running on the Ethereum blockchain. By continuing to rely on Chainlink oracles, we ensure our options platform has on-chain price data that is robust and precise. Most notably, Chainlink price data has strong volume-adjusted market coverage across all trading platforms, removing risks around exchange downtime and data manipulation attacks (i.e., flash loans).
We were thrilled to see Chainlink integrate natively on BSC. By doing so, we were able to quickly launch support for our new BNB options markets, as well as leverage BSC’s scalable, low-cost infrastructure to get more frequent price updates at a fraction of the cost. This comes in addition to Chainlink’s recent OCR upgrade, which substantially reduced oracle aggregation cost but nearly 90%. As such, Lien is even more precise when executing protocol functions that are reliant on asset prices. We plan to continue to utilize Chainlink as our go-to oracle solution to support even more options markets in the future.
For those who may be new to Lien, our contracts enable users to slice supplied assets and create options based on users’ specific needs. We currently provide a product called LBT Lite, which is a leveraged ETH call option. We also provide a product called the butterfly option. The payout of this option becomes highest when the price of the underlying equals the strike price of the option at expiry. Options provided by the Lien protocol are all European type options, which is unique in the DeFi space. The team is working on launching liquidity providing features to enable anyone to issue options.
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.
Lien is a self-regulating protocol that allows for issuing options in a whole new way. You can use the protocol to create your own unique derivative contracts and take advantage of the price development of ETH in an efficient manner. The protocol will also help you hedge against the risks associated with the price volatility in ETH by providing features to split it as you like and hold positions you would like according to your risk appetite.
The protocol is designed to work without a governance mechanism, eliminating various complications that result from human intervention and allowing for greater efficiency with which to manage your crypto assets within the protocol. The Lien project was launched by a group of anonymous developers who are passionate believers of the future that cryptocurrency brings.