Mean Protocol is integrating Chainlink Price Feeds to help secure DCAs and Money Streams in Solana
We’re excited to announce that Mean Protocol, the premier money streaming and automation platform in Solana, is integrating Chainlink Price Feeds into our smart contracts. Through this integration into the industry-leading oracle network, Mean Protocol and MeanFi will have access to tamper-proof and accurate pricing data that will act as a circuit breaker to prevent the automatic execution of workflows during extreme market conditions. As a result, money streaming users, treasurers, and beneficiaries will be able to configure the precise needs under which their DCA will get executed.
We picked Chainlink as our first oracle solution because of its zero-tolerance approach to security and reliability. They are the gold standard for accuracy and resilience during extreme market volatility, exchange or API downtime, and data manipulation attacks like flash loan attacks. Additionally, Chainlink Price Feeds on Solana can publish oracle updates on-chain at sub-second frequencies, helping ensure price data mirror real-time market conditions.
Securing Mean Protocol with Chainlink
Our bread and butter at Mean DAO is DeFi automation. From the very beginning, we set out to build the bridge between TradFi and DeFi to onboard the next One Billion users onto crypto. As part of this journey, we have created the tools to make assets more liquid, capital-efficient, and composable. We do that through Money Streaming and DCAs, and both will be able to leverage this integration with Chainlink.
Money Streams power real-time value distribution with maximum capital efficiency. They are an essential money lego to make the flow of value in DeFi, as liquid, transparent, and efficient as it can be. Workflows like “Take 20% of my salary money stream, pipe it to a lending protocol, borrow 50% of it in USDC, swap it to SOL, and stake 100% of it” are now possible in Solana because of Mean Money Streams.
However, you can see that the conditions around “piping” a money stream could be subject to exploitation if a price oracle isn’t supporting a subset of those conditions.
Say, for example, you want to pipe 20% of your salary to a DEX to make some swaps from USDC → SOL because I want to diversify my income stream; but I only want to do while the price of SOL is stable, say within 20% of the daily moving average. We would automatically stop streaming money to the DEX if the condition fails to be validated by Mean Protocol using Chainlink Price Feeds and automatically resume it once the condition passes validation again. Magic!
Mean Protocol offers the first decentralized DCA on Solana. Our users enjoy the familiar interface and convenience of workflows like “Buy $15 worth of SOL every week” in a self-custody, permissionless, and trustless fashion.
However, under extreme market conditions, executing a previously scheduled DCA may be detrimental to the investor. If the price of an asset is experiencing a sudden spike, it may be beneficial to wait a little longer before executing the next DCA purchase. Conversely, if the price of an asset is experiencing a sudden dip and the investor is convinced of its fundamentals, it may be an opportunity to “buy the dip”.
These exceptional scenarios are possible because of this integration between Mean and Chainlink. Our users will be able to configure how they’d like their DCA to behave under certain market conditions, powered by Chainlink’s Price Feeds. Some of the reasons why we decided to go with them are:
- Fast & High-Quality: The Chainlink Network sources data from a network of premium node aggregators that collect from many exchanges and further cleans up the results and removes outliers both in price and volume. The result is a smooth price histogram that works perfectly for Mean DCAs.
- Decentralized Network: Decentralization brings many benefits to an Oracle, like redundancy, accuracy, scalability, speed, disaster recovery, and more. Chainlink Price Feeds enjoy many layers of decentralization from their data sources, oracle nodes, and network distribution levels.
- Blockchain-Agnostic: Chainlink is a blockchain-agnostic oracle network that works natively at the speed of every network on which it operates. This is a huge benefit to Mean DAO Products, with a multichain future. It means we’ll be able to reuse our connections, know-how, and relationships with Chainlink as we expand to other networks.
- Security: Price Feeds are secured by independent, peer-reviewed, network-validated, Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises with a strong track record for reliability, even during extreme network congestion. Chainlink was created in 2017 and has been operating since 2019 across multiple networks. It is one of the most used, stable, security-reviewed oracle networks in the world.
“By integrating Chainlink Price Feeds, Mean Protocol is helping bring decentralized DCA and money streaming to the Solana ecosystem to power secure and automated DeFi services. Chainlink’s tamper-proof price oracle networks will help ensure new users onboarding to crypto through Mean’s platform will have a hyper-reliable and seamless DeFi experience.”
- Tomasz Wojewoda, Head of Global Sales at Chainlink Labs
We are very happy about this integration with Chainlink that brings additional security features to Mean Protocol and MeanFi. It will further strengthen our position as the best DeFi experience across Solana.