Solar Dex Integrates Chainlink Price Feeds to Help Mitigate Impermanent Loss
Solar Dex is a US-based Decentralized Finance exchange on Solana that integrated Chainlink Price Feeds on Solana mainnet.
This integration with Chainlink Price Feeds help mitigate impermanent loss and build a more user-friendly environment for liquidity providers.
By integrating the industry-leading decentralized oracle network, Solar Dex will have access to high-quality, tamper-proof price feeds needed to further minimize impermanent loss by using a source of accurate, decentralized, and aggregated pricing from an oracle network in addition to the ratio of assets in pools to determine pool value. This will provide its users with a better experience by lessening the cost of impermanent loss, helping make Solar Dex a go-to exchange for both new and seasoned crypto enthusiasts.
Solar Dex chose Chainlink as their 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.
Solar is a US-based Solana DeFi exchange that enables users to trade tokens on the Solana network. Solar aims to mitigate the prevalence of rug pulls by having smart contracts automatically lock liquidity for a minimum of 3 months. The end goal of Solar Dex is to create a safe platform for new users to trade in a user-friendly environment, helping protect them against many of the risks associated with this nascent space.
Chainlink Price Feeds provides a multitude of critical features such as:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that are aggregated from hundreds of exchanges, weighted by volume, and cleaned of outliers and wash trading.
- Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises.
- Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or the oracle network.
- Reputation System — 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 node operators and oracle networks.
— Richard, CEO of Solar Dex
“Chainlink is the industry-leading decentralized oracle network. By using Chainlink Price Feeds, we’re able to provide an extra layer of both security and user-friendliness for the users that are transacting on Solar DeFi Exchange. Impermanent loss is often overlooked by newer users looking to earn rewards on liquidity pools. Solar Dex aims to change that dynamic by building robust processes that help mitigate this unexpected consequence.”
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 Solar Dex
Solar is the first US-based Solana Defi exchange that enables users to trade tokens on the Solana network. Solar plans to eliminate rug pulls by having their smart contracts automatically lock liquidity at a minimum of 3 months. Currently, the crypto market is over-saturated with scam tokens that are looking to make a quick dollar at the expense of investors and communities that show support. Their 3-month liquidity lock, will give visibility into the legitimacy of tokens and give investors ample amount of time to research the coinciding projects to make the most educated investment.
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