/biz/ - Business & Finance

And will continue to do so until the release of arbitrum:

Since the board is a flood of new retards and pajeets here's an actual content post. Newfags if you want this place to keep being the gem it used to be stop fucking posting price motion threads and start posting substantive shit.

For the last few years link has outperformed the market, but this last dump it hasn't- why?
Has something increased supply?
Well, in fact it has, look here:
https://www.ethgasstation.info/
Eth gas prices are high, and chainlink node operators have to pay lots of gas in order to keep the price ref data on which defi lives, alive.
Look at the leaderboard, it's currently costing a million a month in eth to keep link running.

Did this catch the link team by surprise?
Well, no.
1. They explicitly set aside link for node operation incentivization in the whitepaper, which is what is keeping node operators solvent in all of this
2. They have recently increased node payouts (even when Link price has been near all time highs) in order to keep their node operators in the green
https://twitter.com/link_hound/status/1301900116081737729

What happens when the inflow of new link into the system increases?
For that answer lets look at exchange flows of link:
https://www.viewbase.com/coin/chainlink

Chainlink continues to fly out of exchange wallets and into personal/institutional ones
Nothing has changed about the project, the buy pressure has, if anything, ticked up a touch, but the new supply (of which a portion has to be sold for eth in order to keep nodes running) is depressing prices.

Want to know when to buy?
You can literally look at the contracts in the above link and see how much link they're paying out. Once that number starts coming down you'll likely see the previous correlation of decreasing exchange supply and increasing price come back with a vengeance.

And there's just one little catch:

In case you missed it, here's the 30 second story of link:

Team with top tier legacy finance connections realizes the world changing nature of smart contracts and realizes that the last, and most valuable, part of the stack is the oracle layer.
So they build it.

But then their partner (with 100x the resources and devs) who was supposed to be solving the execution scaling problem failed for two years to make development deadlines with no end in sight.
No problem, the link team brings in former white house deputy CTO and Princeton professor to fix things.

And then their other partner, the world's largest processor manufacturer, drops the ball on making privacy ensuring secure hardware enclaves that they were planning on being the core of their data delivery offering (TownCrier/SGX).
No problem, they pay for novel research into a multi node software solution that offers the same guarantees without tying their node operators to a given hardware manufacturer.

The amount of sheer "talk the talk and then deliver" that this amounts to is mind boggling. This little team has casually outperformed giants, all while grabbing value for their product that literally, unironically, didn't even need to become the most valuable decentralized network on earth.

AB didn't know ETH and Intel would get lapped like this. He really did end up underestimating.

Once Deco goes live, high value enterprise applications can run on link.
Once Arbitrum v1 goes live, nearly any value smart contract application becomes economically viable.
Once AnyTrust goes live smart contract computation and execution becomes a race to 0 cost, with all of the value of smart contracts transferred to the oracle layer.

All of the above is announced, by teams that actually deliver, to happen in the next 6 months.

If you sell your links you deserve your fate. A 400bn valuation for Link is fud. $1000 is fud.
We're all gonna make it.