Lumos Exchange is Integrating Chainlink Price Feeds Into Its P2P Exchange for Solana Assets
Lumos Exchange, a non-custodial peer-to-peer exchange for Solana assets, is excited to announce that they are integrating the industry-leading Chainlink Price Feeds into their backend pricing mechanism to improve their order book and index health monitoring system.
Additionally, Chainlink Price Feeds will play a key role in helping source liquidity by enabling liquidity providers to configure their trades at fair market rates.
Lumos Exchange choose to integrate Chainlink because it’s a time-tested, decentralized price feed solution with robust market coverage that already helps secure tens of billions of dollars in value for leading decentralized finance (DeFi) and centralized financial platforms. Importantly, Chainlink Price Feeds supply low-latency price updates from premium data providers while also providing greater degrees of transparency and reliability than typically centralized data solutions. The results in a seamless user experience with greater insight into the price feed that users and their exchange rely on to make key decisions like executing trades or provisioning liquidity.
Lumos Exchange is a non-custodial, peer-to-peer exchange designed to make trading within the Solana ecosystem easier and more intuitive. Just as LocalBitcoins brought unprecedented access to BTC around the world, Lumos Exchange is focused on enabling individuals in 186 countries to seamlessly exchange SOL, KIN, and other Solana-enabled assets. With over 100+ payment options, including bank transfers and popular mobile apps, users can easily onboard into the Solana ecosystem and begin earning Lumos Rewards (LRA) as they trade.
One of the important components of the Lumos Exchange platform is access to secure and reliable price feeds. Using market data, they are able to monitor in real-time the health of the platform’s order books and indices. This helps ensure users are provided fair exchange rates and allows them to immediately detect outlier events. Additionally, to drive further liquidity onto the platform, liquidity providers can use this price data to set the exchange rates of their trades in order to lower slippage for users.
After reviewing various data solutions, we decided to integrate Chainlink because it provides high-quality data, high uptime with increased transparency, and no centralized points of failure. Some of the optimizations of Chainlink Price Feeds include:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that’s aggregated from hundreds of exchanges, weighted by volume, and cleaned from outliers and suspicious volumes. Chainlink’s data aggregation model generates accurate global market prices that are resistant to API/exchange downtime, flash crash outliers, and data manipulation attacks.
- High Update Frequency — Chainlink Price Feeds can perform frequent price updates at minimal costs, resulting in precise price data that consistently reflects current market conditions.
- Robust Infrastructure — Chainlink Price Feeds utilize decentralized networks of professional node operators run by leading blockchain DevOps teams and traditional enterprises with a strong track record of uptime during market volatility.
- Transparent Monitoring — 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 price feeds.
“Integrating Chainlink Price Feeds into the Lumos Exchange platform further strengthens our backend pricing mechanism, providing users additional peace of mind that order books and indices are being monitored for outlier events,” stated Lumos Exchange Co-Founder Mohammed Daniaal. “By decentralising a key component of our infrastructure, we can provide users and liquidity providers greater assurance that trades will execute at current fair market prices.”
About Chainlink
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 with a way to 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 Lumos Exchange
Lumos Exchange is a community-focused project developing the first peer-to-peer exchange and ecosystem for Solana, enabling users to do more with decentralized and non-custodial solutions.
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