Dusk Network to use price feed data from Chainlink’s oracle network for secure and trusted cross-chain bridges to support true privacy for the decentralized finance ecosystem
26 April 2021 - Dusk Network, the leading privacy blockchain for regulated decentralized finance (RegDeFi), today announces its intention to integrate with Chainlink — a secure decentralized oracle network which enables the development of auto-executing smart contracts based on real-world data and events, most notably price feeds.
Integrating with decentralised oracles is important for Dusk Network, as it provides the building blocks needed to create secure cross-chain bridges with other blockchains such as Ethereum and Elrond. Using cross-chain bridges, token projects from other blockchain networks will be able to benefit from the privacy guarantees of Dusk Network. This way, Dusk Network can become a privacy-layer for the entire blockchain ecosystem. In the future, the goal is to also enable users of DeFi applications to access privacy-preserving DeFi applications. Both solutions rely on an accurate feed of price data, securely provided by Chainlink’s decentralized oracle network.
Initially, this integration will focus on the creation of a trusted bridge between Chainlink and Dusk Network, as well as creating a passway towards a trustless set-up. Chainlink strives to become blockchain agnostic, and the integration serves as a stepping stone to bring their ambition to fruition.
After announcing our collaborations with Elrond and Harmony earlier this year, we’re now adding Chainlink to the list of major industry projects interested in collaborating with Dusk Network for its privacy features, and we will be adding many more as the year progresses. The upcoming Chainlink integration will enable Dusk-based tokens to be responsive to price feeds in real-time, enabling synthetic assets, and a whole host of new applications.
The Dusk Network protocol includes a standard enabling the issuance of privacy-preserving tokens. More specifically, the standard enables tokens to remain identity-preserving and forward-obfuscating. Once tokens have been added to the cross-chain bridge, Dusk Network can function as a privacy-preserving wrapper, opening up new potential for mainstream adoption and use cases.
For DeFi to disrupt the global financial industry, mainstream adoption is needed. And adoption requires adherence to the existing rules and regulations, no matter how fragmented and different these applications are across the global markets. Thanks to this collaboration, existing financial applications can benefit from the advantages of decentralization, while users and businesses can rely on the code to see both their finances and ensure privacy protection.
With the inclusion of privacy, we can counter some of the challenges facing DeFi today. For example, the widespread frontrunning of transactions, an issue that is currently responsible for the high network fees on Ethereum, profits on all popular decentralised trading venues. By adding privacy, we want to level the playing field and bring back fairness, said Emanuele Francioni, Tech Lead Dusk Network.
Chainlink is a decentralized oracle network set to play a pivotal role in the real-world implementation of blockchain technology. It can provide reliable, tamper-proof inputs and outputs for complex smart contracts and, as an agnostic blockchain launched on Ethereum, aims to be interoperable with other blockchains.
Dusk Network is an open source blockchain for financial applications. Data protection and privacy-preservation play a major role in Dusk Network, as well as its design for regulatory compliance. The blockchain is eco-friendly thanks to its own novel Proof-of-Stake consensus mechanism. Notably, the privacy-preserving blockchain is able to create smart contracts. Companies use the Dusk Network to power financial applications, issue tokens, trade and collaborate on a global scale. Dusk Network is built by a team of experts in Amsterdam, the Netherlands.