Binance CEO, Champeng Zhao
Spread the love

On the 26th of October, Binance flaunted Binance Oracle, a new service that will source, verify, and feed off-chain data to smart contracts running on the BNB Chain.

The giant crypto exchange claims that the Oracles will provide a “more reliable, secure, and accurate data sourcing solution for smart contracts.”

It will also enable existing Web3 dApps and BNB Chain partners to access oracle data sources.

Going further, the company confirmed that more than ten projects had already integrated with the Binance Oracle network.

Binance and Chainlink

Chainlink is currently the prominent industry provider for decentralized data oracles, and its community has already started to criticize Binance’s offering.

On Oct. 27, ‘ChainLinkGod’ questioned why anyone would launch a centralized price oracle in 2022, adding:

“Docs and marketing try to make it *seem decentralized* but data is sourced and signed by Binance themselves. Introducing a single point of failure to dApps and putting user funds at risk,”

Binance stated that its oracle service will initially support index prices for popular digital assets, with data from several centralized exchanges.

Also, it will utilize an in-house Threshold Signature Scheme which signs on individual data feeds to prevent single points of failure.

“The authenticity of the data is also continuously verified using the Binance public key,” it stated confirming the centralization of the process.

Binance continues to diversify into other areas of the industry.

Earlier this month, Binance Pool announced a $500 million lending project to support the Bitcoin mining sector.

Binance also wants to support Twitter in fighting bots, as reported earlier by Cryptoforpidgin.

By Meekness Nnoka

Blockchain Analyst & Writer with top-notch Technological background. Enjoys reading and writing fascinating crypto contents. 4 years content creating experience.

Leave a Reply

Your email address will not be published. Required fields are marked *