The Chainlink blockchain oracle network will benefit from enhanced security and reliability through the utilization of Coinbase Cloud’s extensive global infrastructure and proficiency in managing blockchain data. A collaboration has been established to bolster the decentralization of the Web3 ecosystem, whereby the cloud service of a U.S.-based cryptocurrency exchange will function as a fresh node operator on the Chainlink network.
Coinbase Cloud’s infrastructure currently facilitates various prominent blockchains, such as Ethereum, Solana, Algorand, and Aptos. Chainlink node operators play a crucial role in the network by facilitating the connection between smart contracts across different blockchains and relevant data and systems. Chainlink serves as a conduit between Web2 and Web3 by procuring, organizing, and transmitting data to smart contracts. An instance of this is Chainlink’s offering of decentralized price signals, which serves to safeguard around $22 billion worth of assets held in decentralized finance (DeFi) protocols like Synthetix, Aave, Compound, and dYdX.
Kai Zhao, the group product manager of Coinbase Cloud, highlighted the importance of node administrators in the cryptocurrency ecosystem. He emphasized that they play a crucial role in ensuring the security and dependability of smart contracts. He further added that the development of decentralized Oracles is a significant contribution towards the advancement of a more decentralized and reliable future for blockchain technology. Our firm is of the opinion that the future of the Internet lies in on-chain technology. We are eagerly anticipating the opportunity to work alongside Chainlink in order to bring this vision to fruition.
According to William Reilly, who serves as the global head of centralized finance, sales, and strategy at Chainlink Labs, the newly added node operator is expected to bring in valuable experience and a strong infrastructure to the oracle network. This development is set to benefit a diverse range of Web3 products, services, and applications. Undoubtedly, the involvement of Coinbase Cloud will aid in the advancement of decentralized applications, thereby driving the blockchain industry to new heights.
According to Surojit Chatterjee, the Chief Product Officer of Coinbase, the company aims to establish itself as the Amazon Web Services equivalent in the cryptocurrency sector by 2021. This statement indicates Coinbase’s ambition to become a fundamental component of the Web3 ecosystem. The strategy heavily relies on Coinbase Cloud, which offers a range of products that enable various ecosystem services. The aforementioned service is an outcome of Coinbase’s procurement of Bison Trails, a blockchain infrastructure provider, in the beginning of 2021. Coinbase Cloud’s Node platform facilitates the development and administration of Web3 applications, while the Ethereum layer-2 network, Base, was introduced in February 2022.
