Bridging the gap between traditional finance and DeFi protocols seems to be a necessity today, and the recent integration of Chainlink appears to be facilitating just that.
Blockchain-backed Fintech company COTI recently launched a new Crypto Volatility Index (CVI) for DeFi, which allows traders to profit from market volatility. The company is back in the news after announcing the integration of the Chainlink oracle into the Index to decentralize the way it is calculated, as well as to make CVI available across other platforms.
According to COTI, this “helps CVI realize its eventual vision of being a decentralized, stable, transparent, informative and replicable benchmark for cryptocurrency volatility information.”
The CVI, also known as the “Market Fear Index”, is designed to determine the market’s expectations of future volatility over the next 30 days.
“Bringing critical and unique datasets like CVI to the DeFi ecosystem helps facilitate new DeFi products, further maturing the market and increasing its ability to compete with traditional finance.”
said Johann Eid, Product Manager of Chainlink
To this effect, the stablecoin platform STASIS, which issues Euro-backed digital assets, has also integrated Chainlink to provide live on-demand automated audits of the reserves that underpin its flagship product, the EURS stablecoin.
A recent announcement from the company revealed that the Chainlink Proof of Reserve oracle will be used to consistently check the off-chain fiat reserve balance and on-chain token supply from STASIS EURS every ten minutes. In a statement made alongside the integration news, Gregory Klumov, CEO and Founder of STASIS said,
“This progress will have a positive impact on the stablecoin use case, ultimately driving the global acceptance of the DeFi field even further.”