On October 26, crypto giant Binance announced Binance Oracle, a new service that will retrieve and verify off-chain data and supply it with smart contracts running on the BNB chain.
The company claims that Oracles will provide “a more reliable, secure, and accurate data source for smart contracts.”
The new service, which will be launched this month, will enable Web3 dApps and existing BNB Chain partners to access oracle data sources. The company confirmed that more than a dozen projects have already been integrated with the Binance Oracle network.
– Czechoslovakia Binance (@cz_binance) October 26 2022
Compete with Chainlink?
Chainlink is currently the industry standard provider of decentralized data tools, and its community has already begun picking holes in Binance’s offering. On October 27, ChainLinkGod asked why anyone would launch a central rate oracle in 2022, Add:
Documents and Marketing are trying to *seem decentralized* but the data is fetched and signed by Binance themselves. It presents a single point of failure for dApps and puts users’ money at risk.”
Binance has said that its oracle service will initially support index prices for the most popular digital assets, while pulling data from several central exchanges.
In addition, it will use an internal threshold signature scheme that signs individual data streams to prevent individual points of failure.
“Data is constantly validated using Binance’s public key,” she said, emphasizing the centrality of the process.
Binance continues to branch out from its cryptocurrency exchange business model and venture into other areas of the industry. Earlier this month, the Binance Pool announced a $500 million lending project to support the bitcoin mining sector.
Binance is also getting stronger in the stablecoin market, with the supply of BUSD increasing to a record high of more than $20 billion this week.
BNB . Price Forecast
The exchange’s original token, BNB, was relatively flat on the day, with a slight gain of 1.1%. At the time of writing, BNB is trading at $289.5, according to CoinGecko.
It has surged in recent days along with the rest of the cryptocurrency market, adding 6.6% in the last week. But BNB, like its brethren, is down 58% from its May 2021 high of $686. As noted, the decline was not as steep as some of the high-cap crypto assets, which have lost more than 80% since their peak.
After Binance launched the Oracle Network for the BNB blockchain ecosystem, it made its debut on CryptoPotato.