From the LBank blog.
We’re excited to announce that LBank Exchange — the world-class digital asset trading platform — has integrated Chainlink Price Feeds. By integrating the industry-leading decentralized oracle network, LBank Exchange will have access to high-quality, tamper-proof price feeds needed to help secure perpetual futures trading on the platform. This will provide our users with stronger assurances that LBank futures contracts are using reliable, high-quality market data for asset prices.
We chose Chainlink as our go-to oracle solution because its infrastructure is seamless to integrate and time-tested in production. Chainlink already helps secure leading DeFi protocols responsible for tens of billions of dollars in smart contract value. It stays secure and available even amidst unexpected network events, such as exchange downtime, flash crashes, and data manipulation attacks via flash loans.
As a global digital asset trading platform that provides services to more than 6.4 million users across the world, LBank Exchange has created a secure, innovative, and trustworthy space for crypto traders since 2015. Like many platforms in the industry, we’ve initially used mark price to prevent unfair and unnecessary liquidations that may happen during high price volatility. But since leading exchanges tend to reference each other in terms of prices, there are risks that these prices lose their reliability when the market is highly volatile.
To help secure our perpetual futures trading process for users, 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. Thus, we needed to make use of an oracle network to collect aggregated price data in a secure and reliable way, without relying on recursive centralized feeds.
After reviewing various oracle solutions, LBank Exchange decided to integrate Chainlink Price Feeds because they provide a multitude of critical features such as:
l High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, which gives us price data that comes from hundreds of exchanges, weighted by volume, and cleaned of outliers and wash trading. Chainlink’s data aggregation model generates more precise global market prices that are inherently resistant to inaccuracies or manipulation of any single exchange.
l 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.
l 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.
l 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.
After updating from mark price to fair market price via Chainlink, the new system will soon be widely adopted into futures price calculation, lending business expansion, various financial derivatives such as leverage, and other sections that involve user assets evaluation. By integrating with Chainlink, LBank Exchange will be able to provide users with more options for investment, and services with more precise asset value evaluation.
Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts that can reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications. Chainlink currently secures tens of billions of dollars across DeFi, insurance, gaming, and other major industries, and offers global enterprises and leading data providers a universal gateway to all blockchains.
About LBank Exchange
LBank Exchange, founded in 2015, is an innovative global trading platform for various crypto assets. LBank Exchange provides its users with safe crypto trading, specialized financial derivatives, and professional asset management services. It has become one of the most popular and trusted crypto trading platforms with over 6.4 million users from now more than 210 regions around the world.
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This article came directly from the LBank blog, found on https://lbank-exchange.medium.com/lbank-exchange-integrates-chainlink-price-feeds-for-secure-perpetual-futures-prices-b3672666a676?source=rss-87c24ae35186——2