These developments brought chainlink (LINK) to a new record level

These developments brought chainlink (LINK) to a new record level


While Bitcoin (BTC) and Ethereum (ETH) are showing some volatility, it's time to look at some lesser-known altcoins. Oracle Service Provider Chainlink jumped 22 per cent to an all-time high of $ 22. At the moment, LINK is trading at $ 22.16, with a market capitalisation of $ 8.8 bn.

With this move, LINK has become the ninth most valuable cryptocurrency, ahead of stellar (XLM). The Chainlink rally is back with strong in-chain fundamentals. On-chain data provider centiment shows "investor data" where whale numbers remain high, with mid-tier addresses growing rapidly.

Meanwhile, the number of active addresses for LINK also hit a 5-month high. This rally probably followed increased DeFi activity, as Chainlink found a solid use case in the area of decentralized finance (DeFi).

Paxos partnership and DeFi

Thursday (January 14th),Paxos, a cryptocurrency brokerage platform and leading financial market infrastructure, announced a partnership agreement with Chainlink. Paxos will leverage chainlink's decentralized oracle network (DeFi) to make asset-backed tokens Paxos standard (PAX) and Paxos Gold (PAXG) available throughout the decentralized financial market.

Adding Paxos tokens to the Chainlink platform will facilitate integration for different DeFi applications. Walter Hessert, head of strategy at Paxos, said::

"Chainlink oracles will accelerate the adoption of Paxos' dollar and gold-backed tokens in Defi. With current reserve and price evidence on the chain, our regulated assets will become more accessible to DeFi users.”

Currently USDT and USDC have a lion's share in the stabilcoin utility in the DeFi area. Also, only MakerDAO offers Pax as the collateral type. The new partnership will allow more Defi projects to use PAX stablecoin. In addition, Paxos Gold (PAXG) can bring the use of real-world assets to the DeFi market.

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