Chainlink Announces Roadmap for Implementing Staking2 min read
The Chainlink team released a document with their long-term goals entitled “Long-term goals, roadmap and initial implementation“. The document outlines the next steps of the network oracle design.
According to the publication, LINK intends to strengthen staking services, which is to leave cryptocurrencies locked in order to validate blocks. In that sense, staking will scale the system and integrate more blockchain networks.
Furthermore, the staking mechanism brings a new layer of ‘cryptoeconomic security’ to LINK, he explained. The same goes for most Proof-of-Stake (PoS) blockchains that reward participants for helping to secure the network.
Chainlink announces focus on staking
The project implements four long-term goals for LINK. One of them is to expand the LINK oracle network to other platforms. In early June, the oracles began their operations on the Solana network.
“Link staking, in turn, enhances the ability of nodes to receive jobs and earn corresponding fees on the network,” the project said.
The main purpose of the withdrawal is to increase the security and user guarantees of Oracle Services. The staking LINKs will be a “service level guarantee on network performance”.
In addition, the staking system will have incentives and sanctions, such as cutting rewards. As a result, LINK nodes will generate oracle reports more consistently and in a timely manner.
The second objective of the project is to encourage community participation and involvement. Additionally, node operators can create delegated staking systems, similar to what Tezos (XTZ) does.
Lower environmental impact
Ultimately, LINK staking will generate sustainable rewards from actual long-term use. Here comes the environmental impact, which is one of the arguments in favor of staking.
He expects long-term growth to result in a greater share of wagering rewards coming from “non-emissions-based sources”. That is, staking will reduce the environmental impact of the network
The ultimate goal is to “empower node operators to access higher-value work through staking”. This means that over time, node operators will have greater opportunities to participate in decentralized Oracle networks (DONs), further promoting security.
The launch of the staking mechanism will be gradual and will evolve like the oracles. The team will release the initial version, called V0.1, is by the end of this year. Finally, updates V1 and V2, which do not have a release date, will bring additional functionality.
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