Chainlink price prediction 2030: When will LINK rally?

This article takes a close look at Chainlink network updates, staking and Chainlink price prediction 2030 and before.

 

Chainlink (LINK) rounded out its annual conference in late September, with the protocol reaffirming its position as the top blockchain oracle by announcing new products and institutional partnerships.

 

Global payment provider SWIFT revealed that it was using Chainlink’s cross-chain interoperability protocol for token and messaging interoperability between different blockchains, while Coinbase Cloud and CF Benchmarks announced product development collaborations with Chainlink.

 

Chainlink investors will be hoping that these new developments provide tailwinds to the oracle’s native token LINK and help it reverse a 16-month slump. The token has lost over 85% since hitting an all-time high of $52.88 in May 2021.

 

Is now a good time to buy LINK? Read on to learn more about Chainlink (LINK). You’ll also find important network updates and Chainlink price prediction 2030 and before.

 

What is Chainlink (LINK)?

Chainlink is a network of decentralised oracles or data providers that relay information to enable smart contracts to execute, based on inputs and outputs from the real world.

 

The network was founded by Sergey Nazarov and Steve Ellis in 2017. It has established itself as the market leader in the blockchain oracle sector.

About three years after publishing its original whitepaper, the network released an updated version for Chainlink 2.0 in April 2021 to drive its next phase of growth.

 

“We foresee an increasingly expansive role for oracle networks, one in which they complement and enhance existing and new blockchains by providing fast, reliable and confidentiality-preserving universal connectivity and computation for hybrid smart contracts,” said Chainlink.

 

The Chainlink 2.0 whitepaper said the oracle network would focus on creating multiple decentralised oracle networks (DONs), which consist of a collection of nodes (computing devices).

 

DONs work to transfer data bidirectionally to and fro from existing blockchains, and “enforce correct oracle reports and arbitrate off-chain oracle disputes”. With DONs, Chainlink nodes can create custom oracle networks that support smart contracts on a target blockchain or on a main chain.

 

“DONs are formed by committees of oracle nodes that cooperate to fulfil a specific job or choose to establish a long-lived relationship in order to provide persistent services to clients,” said Chainlink.

 

News agency the Associated Press, weather data firm AccuWeather, telecoms firm Swisscom and cloud services providers Amazon Web Services and Google Cloud Platform have already launched oracle nodes on Chainlink.

 

Chainlink’s native token LINK is used to pay Chainlink node operators for data used in smart contracts, for formatting of data into blockchain readable formats, for off-chain computation and for uptime guarantees provided by operators.

 

LINK is an Ethereum-based ERC677 token that “inherits functionality from the ERC20 token standard and allows token transfers to contain a data payload,” Chainlink said.

 

According to crypto research firm Messari, the LINK token launched in September 2017 with a pre-sale offering price of $0.09 per token along with a 20% bonus depending on the time of the investor’s participation.

 

A LINK public sale followed at a unit price of $0.11. The two sales distributed about 350 million LINK tokens.

 

LINK has a maximum supply of one billion tokens. The token allocation is as follows:

• Initial token sales investors received 35% of maximum supply.
• Node operators and reward incentives were allocated 35% of maximum supply.
• Chainlink’s parent company SmartContracts.com received the remaining 30% of LINK’s maximum supply.

 

Data on Etherscan showed that the top 15 LINK-holding addresses were linked to smart contracts. According to data compiled by blockchain research firm Messari, about 563 million LINK tokens were locked in smart contracts on 10 October 2022.

 

The largest non-smart contract LINK-holding address was linked to crypto exchange Binance, which held over 3.7% of the total LINK supply as of 10 October 2022. The second largest non-smart contract LINK-holding address remained anonymous, and held about 1.3% of the total LINK supply.

 

Meanwhile, CoinMarketCap data showed the circulating supply of LINK stood at about 491.5 million on 10 October 2022. Chainlink was the 22nd largest cryptocurrency network with a market capitalisation of over $3.7bn.

 

In the past three years, LINK has gained more than 300%, up from about $1.80 to its current price of about $7.58.

 

2020 was one of LINK’s best years in terms of price appreciation, as the token gained over 1,000%. LINK extended its gains into 2021 and surged to an all-time high of $52.88 on 10 May 2021. But LINK saw intense selling pressure after its all-time high and lost over 60% in the rest of 2021. The token closed the year at $19.50.

 

LINK’s losses have continued into 2022. The token has posted six monthly losses in the first eight months of 2022, taking its year-to-date losses to over 60% as of 10 October 2022.

 

In June 2022, LINK fell to a near two-year low of $5.30. The token rebounded in July and added 22% to its value during the month.

 

Data from IntoTheBlock showed 77% of LINK holders were holding their tokens at a loss on 10 October 2022, while 72% of LINK holders had held their tokens for over a year.

 

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Chainlink staking

Chainlink announced the roadmap to its LINK staking mechanism in June 2022. According to a press release, staking of LINK is projected to start later this year with the initial v0.1 release.

 

“Staking introduces another powerful incentive and penalty mechanism for Chainlink nodes to consistently generate accurate oracle reports and deliver them to specific destinations in a timely manner,” Chainlink said.

 

The v0.1 release will introduce a “reputation framework and staker alerting system,” whereby LINK stakers will have the opportunity to get rewards on successfully detecting oracle networks that do not meet the obligations outlined in Chainlink’s on-chain service-level agreement (SLA).

 

It will also feature additional functionality, such as stake slashing to promote quality and security, and distribute a portion of network user fees to LINK stakers.

 

The v2 version will explore a loss protection service, which will protect “participating sponsors when a supported oracle network deviates from its SLA”. Loss protection could become a source of rewards to LINK stakers in addition to staking rewards and network user fees.

 

According to Chainlink, staking will evolve into a key mechanism for node operators who want to “gain access to higher-value jobs and more fee opportunities in the Chainlink Network” due to “a reputation- and stake-based node selection mechanism”.

 

It should be noted that a form of collaterisation similar to staking already exists on Chainlink, where node operators can choose to deposit their LINK tokens as collateral to insure data delivery services.

 

“While the initial implementation of Chainlink staking is designed to minimise risk for participants and create a strong foundation, the long-term goals revolve around scaling Chainlink into a global standard with a growing and sustainable user base, which in turn offers greater opportunity of rewards for stakers who increase the network’s cryptoeconomic security and user assurances,” said Chainlink on 7 June 2022.

 

Major Chainlink updates recently

Chainlink concluded its annual Smartcon conference in late September 2022. The oracle announced that SWIFT is using its Cross-Chain Interoperability Protocol  (CCP) in an initial proof of concept. According to Chainlink, CCIP will enable the SWIFT network to become interoperable across different blockchain environments.

 

A new initiative called SCALE (Sustainable Chainlink Access for Layer 1 and 2 Enablement) was also introduced. This will allow blockchain projects to offset the operating costs of oracle networks. The Chainlink BUILD Program was also announced, which will focus on supporting early-stage and established projects within the Chainlink ecosystem.

 

Coinbase Cloud collaborated with Chainlink to launch NFT Floor Pricing Feeds which can be used to track the floor prices of the top NFT collections. CF Benchmarks partnered with Chainlink to launch the CF Bitcoin Interest Rate Curve (CF BIRC).

 

“The introduction of CF BIRC seeks to enable more predictable lending and borrowing, increased capital efficiency, and a more robust foundation upon which digital asset derivatives markets can grow. Importantly, CF BIRC also seeks to enable financial institutions to participate in digital asset markets by providing a standardised benchmark for Bitcoin interest rates,” said Chainlink.

 

Coindesk reported on 27 September 2022 that Chainlink will team up with Galaxy Digital to provide reference spot prices of cryptocurrencies to blockchains. A week later, it was reported that quantitative hedge fund Two Sigma Securities will partner with Chainlink to provide data related to swaps, options and other derivative-related information.

 

Here is some other recent Chainlink news:

• Open Earth Foundationreceived a Chainlink Grant on 15 July 2022 to develop an oracle node that delivers open-access integrated assessment models for carbon pricing.
• Chainlink announced multiple integrations of its services across various chains and protocols in July 2022. These included Ethereum layer-2 Optimism, Solana NFT marketplace Solanart and Cardano-based DeFi network COTI, among others.
• Chainlink DON Hyphen madegreenhouse gas flux data from European Union’s space programme Copernicus available to blockchains on 30 June 2022.
• Analytics firm LexiNexis Legal & Professional launcheda flight status data-tracking Chainlink node on 29 June 2022.
• Chainlink reportedon 27 June 2022 that it has more than 1,000 oracle networks deployed across a number of blockchain networks
• Chainlink Foundation announcedon 27 June 2022 that it expects not more than 5% of the total LINK supply, or 50 million LINK tokens, to be moved into circulation in the next nine months. The release of LINK tokens will support the staking launch and oracle network rewards.
• Chainlink announcedits phased Chainlink Staking roadmap on 7 June 2022.
• On 4 August 2022, Chainlink announcedseven new features within its Chainlink Keepers ecosystem, which are expected to help developers innovate faster, offload complex automation challenges off-chain to save money, and benefit from improved network security.
• In August 2022, the blockchain oracle reported about 71 integrations of its services across various blockchains including Ethereum, Polygon, BNB Chain, Avalanche, Fantom and more.

 

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Chainlink price prediction 2030 and before

CoinCodex’s short-term Chainlink coin price prediction indicated that the token’s value could rise by 20% to $ 3.12 by 12 October 2022.

 

For the longer term, algorithm-based website WalletInvestor’s Chainlink crypto price prediction expected the token to trade at an average price of $2.028 by the end of 2022. WalletInvestor’s Chainlink price prediction for 2025 expected the token to trade at an average price of $0.25 by the end of that year.

 

DigitalCoinPrice was bullish about LINK’s price performance over the longer term. The site’s Chainlink price prediction for 2030 expected the token to trade at an average price of $105.56 that year.

 

PricePrediction’s LINK price prediction on 10 October 2022 saw the token trading at about $52 in five years’ time.

 

Note that analyst and algorithm-based Chainlink price predictions can be wrong. Forecasts shouldn’t be used as a substitute for your own research.

 

Always conduct your own due diligence and remember that your decision to trade or invest should depend on your risk tolerance, expertise in the market, portfolio size and investment goals.

 

Chainlink price prediction 2030: FAQs

Is Chainlink (LINK) a good investment?

At the time of writing, Chainlink was the 22nd largest cryptocurrency network with a market capitalisation of over $3.7bn. Its native LINK token has, however, fallen over 60% year-to-date.

 

Always conduct your own due diligence and remember that your decision to trade or invest should depend on your risk tolerance, expertise in the market, portfolio size and investment goals.

 

How much will LINK be worth in 2030?

DigitalCoinPrice is bullish on LINK’s long-term price performance as of October 10, 2022. According to its Chainlink price forecast, DigitalCoinPrice expects the token to trade at an average price of $105.56 by 2030.

 

Please note that Chainlink price predictions based on analysts and algorithms may be wrong. Predictions should not be used as a substitute for your own research.