NewsCrypto Plans to Integrate Chainlink Proof of Reserve for Their Polygon Token Bridge
NewsCrypto is announcing their plan to integrate Chainlink — the world’s leading decentralized oracle network — into the token bridge that they announced this month. When it comes to blockchain interoperability and bringing cross-chain liquidity to DeFi, security is absolutely crucial, and there’s no better way to ensure it than by implementing the best and most trustworthy data sources out there.
Recently, the NewsCrypto team announced that they’re working on a token bridge for Polygon, the largest full-stack Ethereum scaling solution in the crypto space. The bridge will enable billions of dollars worth of liquidity on one of the oldest and most popular chains in crypto (the name of which will be revealed when the testnet implementation is live) to access everything that the Polygon ecosystem has to offer. That way, token holders will be able to securely transfer their funds over to Polygon, where they can put them to work in the ever expanding DeFi ecosystem by trading or providing liquidity on DEXes, lending, borrowing and more.
The team is aware that, when it comes to cross-chain bridges, security is the number one concern, and that’s why they’re working on implementing multiple layers of redundancy to make the protocol as safe as possible. A vital part of this is obtaining reliable data from a trustworthy source about the balances and transactions on the wallets which are used for the swap, and that’s where Chainlink Proof of Reserve comes in. By running an independent node, Chainlink will enable the smart contract that will be used for the swap to continuously keep track of relevant token balances and prevent illegitimate transactions.
This, however, is not all when it comes to the integration. The token bridge is only the first stage, and further down the line, NewsCrypto will also deploy a lending and borrowing protocol on Polygon, which will feature innovative ways of incentivizing both liquidity suppliers and borrowers. For this purpose, the team will use Chainlink Price Feeds, which are without a doubt the most established and trustworthy DeFi data source in the industry. And, for generating provably random and fair extra rewards, the team also intends to implement Chainlink VRF. More details on the various stages will be announced in the near future, so be sure to keep an eye out on the official NewsCrypto Twitter page.
NewsCrypto is an all-in-one trading ecosystem that is primarily focused on education, giving both beginners and expert traders alike everything they need to step into the world of crypto and take their skills to the next level. Recently, the project has expanded to providing novel solutions for DeFi in partnership with different protocols and development-focused projects.
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.