Cook Finance Integrates Chainlink Price Feeds to Secure Batch Issuing Price Calculations
We’re excited to announce that Cook Finance — a cross-chain DeFi asset management platform — has integrated Chainlink Price Feeds on the Ethereum mainnet. By integrating Chainlink’s industry-leading decentralized oracle network, Cook has access to high-quality, tamper-proof price feeds needed to get price feeds from Chainlink to calculate the prices of index tokens on the Cook platform at the time of issuance. This will provide our users with strong assurances that the prices of the underlying tokens are accurate and secure.
Our initial integration involves the use of the following Chainlink Price Feeds: Bitcoin, Ethereum, Uniswap, Polygon, Chainlink, Aave and Maker. We chose Chainlink as our go-to oracle solution because its infrastructure is seamless to integrate and time-tested in production. Chainlink already secures leading DeFi protocols responsible for billions of dollars in smart contract value, maintaining robust security and high availability even amidst unexpected events, such as exchange downtime, flash crashes, and data manipulation attacks via flash loans.
Cook Protocol is a trustless, transparent and well-incentivized cross-chain asset management platform that allows investors and fund managers to manage their crypto assets through highly customized cross-chain investment portfolios. We provide investors with a wide variety of asset management services and fund managers with advanced trading tools, highly liquidized funds and provide access to leveraged diversification. The Cook team is setting out on the mission to bring decentralized finance to the masses and revolutionize the DeFi space by focusing on the three pillars of interoperability, usability and capital efficiency.
In order to secure our price calculations during batch issuing, we needed access to fresh asset prices that are supplied directly on-chain in a highly reliable manner. Fair market asset prices should reflect a volume-weighted average from all trading environments, so we need to make use of an oracle to fetch aggregated price data off-chain and deliver it on-chain to be consumed by our application.
After reviewing various oracle solutions, we integrated Chainlink Price Feeds because they provide a multitude of critical features such as:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, ensuring broad market coverage through price data that’s aggregated from hundreds of exchanges, weighted by volume, and cleaned of outliers and wash trading. Chainlink’s data aggregation model generates accurate global market prices that are inherently resistant to inaccuracies or manipulation of any single or small set of exchanges.
- Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises. Chainlink nodes have a strong track record of reliability, even during high gas prices and infrastructure outages.
- Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or oracle network.
- Reputation System — Chainlink provides a robust reputation framework and set of on-chain monitoring tools that allow users to independently verify the historical and real-time performance of node operators and oracle networks.
In the future, the Cook team plans to further integrate with Chainlink price feeds on an additional feature: issueWithSingleToken. This feature will enable fund creators to issue index tokens using a single token such as USDT or ETH. In addition, the team is exploring the usage of Chainlink Keeper Network to initiate cron jobs to automate activities in the platform.
“With a best in class oracle provider we believe that this will create a high level of trust in the fund prices for both investors and fund managers on the Cook platform” –Adrian (Cook CEO)
Chainlink is the industry standard oracle network for powering hybrid smart contracts. Chainlink Decentralized Oracle Networks provide developers with the largest collection of high-quality data sources and secure off-chain computations to expand the capabilities of smart contracts on any blockchain. Managed by a global, decentralized community, Chainlink currently secures billions of dollars in value for smart contracts across decentralized finance (DeFi), insurance, gaming, and other major industries.
Chainlink is trusted by hundreds of organizations, from global enterprises to projects at the forefront of the blockchain economy, to deliver definitive truth via secure, reliable oracle networks. To learn more about Chainlink, visit chain.link, subscribe to the Chainlink newsletter, and follow @chainlink on Twitter. To understand the full vision of the Chainlink Network, read the Chainlink 2.0 whitepaper.
About Cook Finance
Cook Finance establishes a transparent and flexible asset management platform suited to diverse investors and asset management service providers alike. Investors can monitor a manager’s fund allocations without worrying about fund security or foul play. At the same time, fund managers can leverage Cook Finance to gain access to investors and carry out virtually any investment strategy without having to opensource the strategy.