Chainlink launches on-chain reserve fund, LINK price rises 10%

Chainlink has just announced the launch of Chainlink Reserve, a strategically funded on-chain reserve fund backed by actual revenue from both large institutions and DeFi protocols. This move has immediately helped the price of token $LINK increase by about 10%.

Innovative mechanism and sustainable cash flow

At the core of Chainlink Reserve is the Payment Abstraction mechanism, allowing users to pay with various types of assets such as ETH or $USDC . The system will then automatically convert the entire amount into LINK through the network's services. This process occurs entirely transparently and decentralized, creating real and sustainable buying pressure for LINK.

This reserve fund has the following main purposes:

Developing and maintaining the network: Ensuring long-term funding for the operations of #Chainlink .

Enhancing security: Strengthening the oracle infrastructure and cross-chain services.

Market stabilization: Reducing selling pressure and maintaining stable demand for LINK.

Demand from large institutions

The fund has accumulated over 1 million USD in LINK value and will be protected by a time-lock mechanism. According to co-founder Sergey Nazarov, the demand for Chainlink's services has generated hundreds of millions of USD in revenue, largely coming from leading global corporations like Mastercard and JPMorgan. This shows Chainlink's increasingly important role in connecting traditional finance and DeFi. #anhbacong