Grape Finance Integrates Chainlink
Grape Finance integrates Chainlink Price Feeds to help secure GRAPE Stablecoin. By integrating the industry-leading decentralized oracle network, Grape Finance has access to high-quality, tamper-proof price feeds needed to help ensure the GRAPE stablecoin is pegged 1:1 to MIM. This will provide our users with stronger assurances that GRAPE references MIM price data that is hyper-resistant to price manipulation.
initial integration involves the use of the following Chainlink Price Feed: MIM/USD. Grape chose Chainlink as its go-to oracle solution because its infrastructure is seamless to integrate and time-tested in production. Chainlink already helps secure leading DeFi protocols responsible for tens of billions of dollars in smart contract value, maintaining robust security and high availability even amidst unexpected events, such as exchange downtime, flash crashes, and data manipulation attacks via flash loans.
Moreover, Grape Finance is a seigniorage protocol that aims to create a capital-efficient stablecoin pegged to MIM. The protocol algorithmically manages the supply of GRAPE using Chainlink Price Feeds, increasing or decreasing the supply of GRAPE to match demand with supply and maintain a 1:1 peg to MIM. Grape Finance essentially unlocks the creation of a mirrored stablecoin that does not require any initial lock-up capital.
In order to help secure GRAPE, they needed access to fresh asset prices that are supplied directly on-chain in a highly reliable manner. Fair market asset prices should reflect a volume-weighted average from all trading environments.
“Chainlink Price Feeds are the pinnacle of battle-tested price data — they’re the only market data solution we could rely on to secure Grape Finance.” — LB, Grape Finance Founder
Grape Finance will continue exploring more ways to integrate Chainlink services into its protocol. As they release their upcoming lending and borrowing service. They will need additional manipulation-resistant Chainlink Price Feeds to help secure lenders’ and borrowers’ assets. They also plan on using Chainlink Keepers to automate Grape Finance’s smart contracts in a decentralized, hyper-reliable manner.
ABOUT Grape Finance
Grape Finance is an algorithmic stablecoin protocol built on Avalanche.
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