Encryption = Truth

Learn how the Chainlink Team are building a new world based on cryptographic truth
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Understanding the Chainlink (Ticker: LINK) vision requires a little background knowledge.

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Blockchain is a decentralized and distributed digital ledger that records transactions across multiple computers or nodes. It is designed to be transparent, secure, and resistant to modification. Each transaction is grouped into a block, which is then added to a chain of blocks, creating a permanent and tamper-proof record. Blockchain technology has gained popularity due to its potential applications beyond cryptocurrencies, such as supply chain management, voting systems, and smart contracts.

A blockchain is a distributed piece of software which contains a ledger/notes that is cryptographically verified.


Cryptocurrency refers to digital or virtual currencies that use cryptography for security. Unlike traditional fiat currencies issued by governments, cryptocurrencies operate independently of any central authority. The most well-known cryptocurrency is Bitcoin, but there are thousands of others, often referred to as altcoins. Cryptocurrencies enable secure peer-to-peer transactions, typically through blockchain technology, and have gained attention for their potential as investment assets and mediums of exchange

A cryptocurrency is a digital coin that lives on a blockchain that is used to transfer value between wallets

Wallets & Public / Private Keys

Crypto wallets are digital tools that enable users to securely store, manage, and interact with their cryptocurrencies. They come in various forms, including software applications, hardware devices, or even paper printouts. Crypto wallets store a user's public and private keys, which are crucial for cryptocurrency transactions. Public keys are cryptographic codes that serve as the user's wallet address. They can be freely shared with others to receive funds. Private keys, on the other hand, are secret codes that provide access to the funds stored in the wallet. It is essential to keep private keys secure and confidential, as anyone with access to them can control the associated cryptocurrency.

A public key is a wallet address and is safe to share. A private key is the encryption key to unlock the public key.

Trust in Encryption

Truth through encryption refers to the concept of using cryptographic techniques to ensure the authenticity, integrity, and confidentiality of data. Encryption involves converting plaintext into ciphertext using complex algorithms and keys. By employing encryption, data can be securely transmitted and stored, preventing unauthorized access or tampering. The use of encryption allows individuals and organizations to establish trust and rely on the accuracy and confidentiality of information, enhancing privacy and security in various digital interactions and systems.

That's a big keychain!

The number of possible private keys for a public blockchain, such as Ethereum, is incredibly vast. The private keys are generated using a mathematical algorithm that produces a 256-bit number. The number of possible private keys in this case is 2^256, which is an astronomically large number with 78 digits. It is estimated that there are approximately 10^80 atoms in the observable universe. While this number is mind-bogglingly large, it is still significantly smaller than 2^256. This vast key space ensures the security of the blockchain network, as the probability of randomly guessing a private key is virtually impossible, protecting the funds stored in the wallet from unauthorized access.

Oracle Networks

Oracle networks act as intermediaries between blockchain platforms and external data sources. They provide a secure and reliable way to fetch and transmit data to and from smart contracts. Oracle networks ensure the integrity and authenticity of the data by employing cryptographic techniques and consensus mechanisms. These networks play a crucial role in enabling smart contracts to access real-time information, enabling the automation of various decentralized applications

Oracles are the only way to get data onto the blockchain.

Multi chains!

Multichain involves multiple blockchains working together, each for specific tasks. Its advantages include better scalability, performance, and security. By spreading transactions across several chains, it can handle more transactions without slowdowns. If one chain fails, others can keep working, enhancing reliability. Multichain also allows customization for different needs, fostering innovation in blockchain applications.

Bridging Blockchains

A cross-chain bridge is a tool that links two separate blockchain networks, enabling the transfer of assets or data between them. It works by using specialized smart contracts or protocols to lock assets on one blockchain and issue equivalent tokens on another, allowing users to access a wider range of assets and services across different chains.


What is Chainlink

Chainlink is a decentralized oracle network that aims to connect smart contracts with real-world data and external APIs. Smart contracts are self-executing contracts that automatically perform predefined actions once certain conditions are met. However, smart contracts lack direct access to external data, making it challenging to incorporate real-world information.

Chainlink solves this problem by providing a decentralized network of oracles that securely fetch and deliver external data to smart contracts, enabling them to interact with the outside world.

Seems complex, got a TL:DR;?
Chainlink is the world's first way of getting trustworthy data in a decentralized manner

As the name suggests, ChainLink links chains.

Cross-Chain Interoperability Protocol, or CCIP, developed by Chainlink, helps different blockchains communicate and transfer data and assets in a secure and decentralized way.

CCIP is a protocol that enable cross chain programming in many ways

Cross-chain messaging

Programmable token transfers across chains

Linking cross-chain dApps

Chainlink's Cross-Chain Interoperability Protocol (CCIP) connects various blockchain networks seamlessly, ensuring accurate data transfer. Launched in July 2023, CCIP expands decentralized app (dApp) accessibility across multiple blockchains, fostering collaboration and innovation. It enables smooth communication between different chains, facilitating trustless transfer of data and value. Despite challenges like complexity and integration issues, CCIP aims to create a more interconnected and efficient blockchain ecosystem.

CCIP is the standard for linking blockchains and ChainLink the gas

Chainlink ENABLES Multi Chain


Why Decentralization?

Decentralization distributes trust and authority across a network of participants, eliminating the need for a single centralized entity to control or govern the system. This reduces the risk of a single point of failure or manipulation, making it more difficult for malicious actors to compromise the security of the network.

Decentralization enhances the immutability and transparency of cryptographic systems. In a decentralized network, cryptographic protocols and algorithms are collectively maintained and verified by a distributed consensus mechanism, such as proof-of-work or proof-of-stake. This consensus mechanism ensures that any changes or modifications to the system require a majority consensus, making it extremely difficult for an individual or group to tamper with the data or transactions.

Decentralization fosters inclusivity and resilience. It allows anyone to participate in the network, promoting a diverse and robust ecosystem. If one participant or node fails or becomes compromised, the system can continue to function and secure the data and transactions through the redundancy of other participants.

Decentralization is a fundamental principle in cryptographic security that promotes trust, resilience, and transparency in digital systems. It is crucial in the context of cryptographic security.

Ok... but isn't Chainlink just a cryptocurrency?

Chainlink will be a global decentralized truth network

With it's vision acheived and network bootstrapped, Chainlink will be a truth network that does not depend on any single blockchain.

User nodes will provide accurate & verifiable data, aggregated via a Chainlink smart contract, and cryptographically delivered via one of many available blockchains.

The network is secured by financial incentives and the reputation of the node.

Chainlink is a philosophical concept that has been built on blockchain technology,on the foundations of truth & cryptographic principles

It is a data network that, as the name suggests, links blockchains and trillions of dollars worth of real world assets

But what gives it value?

Think of Chainlink like a software product, think Microsoft Excel, running on a decentralized computer (a blockchain) that all share the same data. Microsoft Excel runs on a desktop computer and is licensed via a Product Key, but it has real-world value outside of the individual installation on a single computer. It can save data entry and computation costs and improves the effeciency of the roles that rely on it.

Chainlink does it even better though! By running on the fundamental principles of decentralization and encryption, the network must be valued higher then the sum of the value it incorporates. This is to prevent attacks.

But token not needed?. Chainlink's native LINK token is an ERC677 token, an extension of ERC-20. Tokens act as data payloads, feeding the required data from off-chain sources to smart contracts, as well as the financial payment required for Chainlink node services, which then act accordingly in response to the data provided by the token. $LINK is a fundmental and key requirement for the network.