Avalanche DEX Trader Joe turns to Chainlink for new lending platform ‘Banker Joe’

Avalanche DEX Trader Joe today announced the launch of Banker Joe, new lending and borrowing platform powered by Chainlink price feeds.

Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts with a way to reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications.

After today’s integration, users can leverage Banker Joe to earn interest on their assets by loaning them to others via non-custodial pools, or by depositing their own assets as collateral to borrow more assets.

Banker Joe references Chainlink decentralized price oracles to determine a user’s borrowing capacity during loan issuance and check loans for under-collateralization during liquidations.

Trader Joe’s initial integration supports multiple Chainlink Price Feeds: AVAX/USD, ETH/USD, WBTC/USD, LINK/USD, USDT/USD, USDC/USD, and DAI/USD. Importantly, our integration with Chainlink can easily expand Price Feed support for more assets in the future.

Why did Trader Joe choose Chainlink?

Trader Joe said it integrated Chainlink as it was the most reliable decentralized oracle network in the blockchain industry, one that already helps secure tens of billions of dollars for leading DeFi applications across various blockchains.

“Chainlink Price Feeds have proven over an extensive period of time to provide high-quality data and robust infrastructure, consistently updating accurately and securely during periods of extreme market volatility and network congestion,” Trader Joe developers said in a release, adding that Banker Joe is a crucial component of the overall vision to turn Trader Joe into a one-stop trading platform on Avalanche.

Users can deposit collateral and borrow assets from Banker Joe to effectively make long or short positions. However, borrowing doesn’t come without risk, as users can be liquidated when their health ratio falls below the 65% collateral factor.

Some of the notable optimizations of Chainlink Price Feeds include:

• High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that are aggregated from hundreds of exchanges, weighted by volume, and cleaned from outliers and suspicious volumes.
• Secure Node Operators — Chainlink Price Feeds are secured by independent, Sybil-resistant oracle nodes run by leading blockchain DevOps teams and traditional enterprises with a strong track record for reliability.
• Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or the oracle network.
• Transparency — Chainlink provides a robust reputation framework and set of on-chain monitoring tools that allow users to independently verify the historical performance of node operators and oracle networks, as well as check the real-time prices being offered.

The post Avalanche DEX Trader Joe turns to Chainlink for new lending platform ‘Banker Joe’ appeared first on CryptoSlate.