Tokamak Network Will Integrate Chainlink Oracles to Enhance its Layer 2 Platform
This is On-demand Ethereum Layer 2 platform ‘Tokamak Network’ that makes it easy for anyone to build highly scalable and interoperable decentralized applications (DApps). To make this possible, smart contract developers require key infrastructure and tooling in order for DApps with diverse needs to be actively developed on our layer 2 platform. To remove developer friction, Tokamak Network will integrate Chainlink’s industry-standard oracle solution to give DApps on-chain access to reliable Data Feeds and secure verifiable randomness.
We elected to integrate Chainlink as the recommended oracle solution for the Tokamak Network because it is the most widely-used and time-tested oracle network in the industry, already securing tens of billions of dollars for top DApps. Chainlink offers developers a wide range of off-chain data feeds and external computations to enhance their DApp’s on-chain capabilities. Chainlink oracles also have a proven history of reliability during extreme periods of market volatility and network services. Additionally, Chainlink is blockchain-agnostic and running live or actively being integrated in multiple blockchain and layer 2 environments, making for a more seamless and comprehensive integration.
Enhancing Tokamak Network With Chainlink Oracles
The Tokamak Network is essentially a network of Layer 2 networks designed to eliminate fragmentation by providing both a protocol and a platform to build and connect existing scaling solutions. With Tokamak Network, developers can build custom layer 2 networks that leverage our Cross-Layer Message Protocol to interoperate with existing layer 2 solutions such as Optimism, Arbitrum, Starkware, Polygon, and zkSync. Our platform currently offers a plasma scaling solution, but we will soon expand support for Optimistic Rollups, ZK-Rollups, and ZK-Opru solutions.
However, similar to blockchains, Layer 2 solutions have no built-in ability to call external APIs, commonly referred to as the blockchain oracle problem. Oracles are middleware that fetch external data, validate it, and deliver on-chain for the smart contract, as well as perform other advanced off-chain computations to support the DApp. Oracles provide many important services, such as supplying DeFi with price feeds, insurance contracts with weather data, gaming/NFT projects with randomness, and much more.
Chainlink has established itself as the premier oracle solution for the blockchain industry. Chainlink Price Feeds supply large DeFi projects with financial market data like Synthetix, dYdX, and Aave, while Chainlink VRF (Verifiable Random Function) provides randomness to many gaming and NFT projects like PoolTogether and NBA star LaMelo Ball’s dynamic NFTs.
Some of the notable features of the Chainlink Network include:
- Decentralized Infrastructure — Chainlink oracle networks are decentralized at the data source and oracle network level, creating redundancies to ensure oracle services are highly available, manipulation resistant, and precise.
- Secure Oracles — Chainlink has a large pool of security-reviewed, Sybil resistant node operators run by professional DevOps teams with a long track record of reliability even during unexpected conditions.
- Transparent Monitoring — 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.
- Universal Connectivity — Chainlink is permissionless, open-source infrastructure that is blockchain and API agnostic, enabling any blockchain and API to interoperate.
Unlocking New Use Cases For Tokamak Network DApps
By integrating Chainlink’s decentralized oracles, smart contract developers can build highly functional dApps directly on Tokamak Network. Tokamak will begin the integration by building support for two key Chainlink-powered oracle services: Price Feeds and VRF.
Integrating Chainlink Price Feeds will provide smart contract developers with precise, up-to-date, and tamper-proof market data directly on-chain. Chainlink Price Feeds source data exclusively from numerous premium data aggregators, weight the data by volume, and clean it from outliers to ensure broad market coverage that’s resistant to flash loans.
Chainlink Price Feeds can be used in various ways, including:
- Pricing synthetic assets during swaps to mitigate slippage
- Determining users’ collateralization ratios on lending and borrowing platforms
- Settling futures and options contracts at the time of expiry
- Setting reference points for automated portfolio rebalancing
Chainlink VRF is a Random Number Generator (RNG) that users can verify is tamper-proof. Chainlink VRF works by combining block data that is still unknown when the VRF request is initiated with the oracle node’s pre-committed private key to generate both a random number and a cryptographic proof. The smart contract will only accept the random number input if it has a valid cryptographic proof, and a valid cryptographic proof can only be generated if the VRF process is tamper-proof. This provides users with automated and publicly verifiable assurances that any DApp using Chainlink VRF for randomness is probably fair and cannot be tampered by the oracle, outside entities, or the DApp’s development team.
Developers can use Chainlink VRF to support novel gaming, NFT, and DeFi functions like:
- Determining the content of loot boxes based on weighted odds
- Selecting lucky winners in prize giveaways
- Distributing rare NFTs to users or assigning rare NFT traits
- Choosing limited participants in high-demand IDOs
“The Chainlink oracle integration will provide developers with an expanded set of secure and reliable off-chain capabilities like connection to price feeds and randomness, ultimately supporting a wide range of dApps building on Tokamak Network,” stated Kevin Jeong, Founder of Tokamak Network. “As we continue to expand our protocol, we will explore additional Chainlink decentralized services to further empower smart contract developers building next-generation DeFi, NFT, and blockchain gaming applications.”
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 Tokamak Network
On-demand Ethereum Layer 2 platform ‘Tokamak Network’ is a blockchain building platform that provides a very high level of scalability while ensuring the same level of decentralization and safety as Ethereum. It is easy to build customized blockchain through layer 2 solutions (plasma EVM, zk-rollup, optimistic rollup, etc.) developed to satisfy the needs of each decentralized application.