LCX Teams With Chainlink To Provide Credible Reference Prices For Cryptocurrencies

News | August 12, 2020 By:

Financial services company LCX is collaborating with decentralized oracle network Chainlink to provide transparent and verifiable reference price services for decentralized finance applications (DeFi) and the token economy.

Headquartered in Liechtenstein, LCX focuses on tokenization of assets, security token offerings and advanced trading tools. The firm’s crypto trading platform, LCX Terminal, allows users to manage their portfolio across all major cryptocurrency exchanges on one single user-interface. LCX has also launched the LCX Cryptocurrency Reference Price Services, which provides a credible daily reference price to the marketplace and enhances market participants’ risk management of digital assets. LCX Cryptocurrency Reference Price Services are designed to help accelerate the professionalization of digital asset trading.

Chainlink enables smart contracts to securely access off-chain data feeds, web APIs, and traditional bank payments. Smart contracts are corruptible through inaccurate and slow data. Chainlink solves this problem by connecting smart contracts to the real-world via a secure, decentralized network of oracles that ensure relevant and accurate data is fed into the ecosystem. The company is well known for providing highly secure and reliable oracles to large enterprises, including Google, Oracle and SWIFT, and leading smart contract development teams.

In a press release, LCX said that it has developed its own proprietary data generation methodology and as a data-provider will publish its reference prices and accompanying methodology on the blockchain using Chainlink’s decentralized price oracle technology. This combined framework will reportedly give institutional entities access to secure, reliable, transparent, and compliant blockchain-based price feeds.

“Due to Chainlink’s secure, reliable, and open-source infrastructure, LCX is able to publish its credible reference prices on the blockchain in an easily verifiable and immutable manner,” LCX said. “LCX’s credible reference prices are then available to be used by DeFi applications, traditional financial infrastructure, enterprises, governments, and more dealing with digital assets.”

Daniel Kochis, Head of Chainlink Business Development, said that they are providing new infrastructure that allows traditional finance the ability to service DeFi applications and interact with digital asset products.

“We are excited to work with LCX to deliver credible data sources to our ecosystem, which opens them up to a wide variety of users and markets,” Kochis said.

Monty C. M. Metzger, CEO, and Founder of LCX, said that transforming the cryptocurrency market into a mature token economy requires reliability and integrity in cryptocurrency reference rates.

“Utilizing Chainlink allows us to deliver our compliant reference rates via an on-chain oracle network as a public good for individuals and institution alike,” Metzger said.