Connecting smart contracts to off-chain data is the goal that Binance set itself by launching its own oracle. 1,400 BNB Chain dApps will be given a trusted way to access information outside of this blockchain. A dozen projects are already taking advantage of this convenience, and it is not from Chainlink.
Binance lands in the oracle market
On Wednesday, October 26, Binance announced the launch of Binance Oracle, a web3 decentralized oracle which will ensure the connection of data from the real world to blockchain smart contracts. Several functionalities incorporate this system, namely: the provision of indexed prices for cryptocurrencies and BNB Chain dApps.
Barely launched, Binance Oracle has already interested a dozen projects, namely: BiSwap, Beefy Finance, Venus and Alpaca Finance. In addition to the 1,400 dApps that will be able to integrate this fully independent system, Binance has also promised to implement other blockchains soon.
What is an oracle?
A blockchain oracle presents itself as “ services that allow smart contracts to access data from sources outside their native networks », states Binance. In other words, the oracle forms a bridge between the real world and the blockchains.
As for Binance Oracle, it will feed data from centralized exchanges (CEX). It is possible to use an oracle to obtain prices, information concerning the refund of a ticket to have or even weather forecasts thanks to this secure system.
Among the most popular oracles of the moment is Chainlink. This made sure to provide a programmer with several pieces of information from outside by calling on a group of oracles. To be able to ensure the reliability of this data, Chainlink carries out comparisons and evaluations. Thus, programmers will have relevant and consistent aggregated data at their fingertips.
By launching Binance Oracle, the most popular exchange in the world hopes to seize the opportunities relating to blockchain oracles. Undoubtedly, this initiative will allow it to access the status of the first provider of infrastructure services in the world of crypto-assets.
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