Backed, a platform that tokenizes real-world assets, has integrated Chainlink’s Proof of Reserve (PoR) technology to enhance the security and transparency of its smart contracts. This integration allows users to verify in real time that the assets backing Backed’s tokens are fully collateralized and audited.
Backed is a Swiss-based company that specializes in creating blockchain-based tokens (bTokens) that represent a digital share of a physical asset, such as stocks, ETFs, real estate, art, or intellectual property. These tokens enable asset holders to access liquidity, transfer ownership, and manage their assets more efficiently.
However, tokenizing real-world assets requires a reliable way to ensure that sufficient reserves of the underlying assets back the tokens. This is where Chainlink’s PoR comes in. Chainlink is a decentralized oracle network that connects smart contracts to external data sources, such as APIs, web services, or blockchains.
Chainlink’s PoR uses its oracles to fetch and verify reserve data from trusted third-party sources, such as The Network Firm, an auditing API operator. The reserve data is updated every 10 minutes or whenever there is a 10% change in the volume of reserves. This data is then available on Backed’s website and on-chain for public viewing.
Using Chainlink’s PoR, Backed ensures that its bTokens are always backed 1:1 by real-world assets and that users can independently verify the adequacy of the collateral reserves at any time. This adds a layer of security and transparency to Backed’s platform and increases the trust and confidence of investors.
Chainlink’s LINK Have Been Performing Well
Chainlink’s native token, LINK, is currently experiencing a positive trend. This comes after it successfully surpassed the support level of $6.99, which led to a market resurgence as investors returned. This resurgence resulted in a rally towards the resistance level of $11.9.
The upward trajectory for LINK was initiated in the previous week, with its value escalating from $7.42 on October 16th to $10.41 on October 23rd. Although the rally has experienced a temporary pause, recent market activities indicate that investors are keen on driving further rallies to challenge the $11.9 resistance once again.
Chainlink’s native token, LINK, has also been riding bullish waves recently, gaining 42% in the past week and reaching a peak of $11.45 on October 25, before slightly dropping to $11.20 on October 27, as per data from CoinMarketCap. Analysts predict that LINK could reach $15 soon if it maintains its momentum and breaks through the resistance level.