xDollar Integrates Chainlink Price Feeds to Help Secure Cross-Chain Stablecoin Lending Protocol
We’re excited to announce that xDollar — a multi-chain, multi-collateral, 0%-interest-rate stablecoin lending protocol — has integrated Chainlink Price Feeds on Polygon, Avalanche, and Arbitrum mainnets. By integrating the industry-leading decentralized oracle network, xDollar has access to high-quality, tamper-proof price feeds needed to help secure the operation of our cross-chain stablecoin lending protocol. This will provide our users with stronger assurances that collateralization ratios are based on real-time, accurate, and decentralized price feeds across our lending operations.
Our initial integration involves the use of the following Chainlink Price Feeds: MATIC/USD price feed on Polygon, AVAX/USD price feed on Avalanche, and ETH/USD price feed on Arbitrum. We chose Chainlink as our go-to oracle solution because its infrastructure is seamless to integrate and time-tested in production. Chainlink already helps secure leading DeFi protocols responsible for tens of billions of dollars in smart contract value, maintaining robust security and high availability even amidst unexpected events, such as exchange downtime, flash crashes, and data manipulation attacks via flash loans.
xDollar is a multi-chain, 0%-interest stablecoin lending platform where users can borrow a non-custodial stablecoin, xUSD, against their crypto assets on emerging chains with a minimum overcollateralization ratio of 110%. The platform implements a systematic liquidation mechanism and fair platform revenue fee distribution. xDollar’s vision is to democratize the intrinsic value of crypto assets on all emerging chains with more yield utilization.
In order to help secure our cross-chain lending operations, we needed access to fresh asset prices that are supplied directly on-chain in a highly reliable manner. Fair market asset prices should reflect a volume-weighted average from all trading environments. Thus, we needed to make use of an oracle to fetch aggregated price data off-chain and deliver it on-chain to be consumed by our application.
After reviewing various oracle solutions, we integrated Chainlink Price Feeds because they provide a multitude of critical features such as:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that’s aggregated from hundreds of exchanges, weighted by volume, and cleaned of outliers and wash trading. Chainlink’s data aggregation model generates more precise global market prices that are inherently resistant to inaccuracies or manipulation of any single or small set of exchanges.
- Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises. Chainlink nodes have a strong track record of reliability, even during high gas prices and infrastructure outages.
- 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 oracle network.
- Reputation System — Chainlink provides a robust reputation framework and set of on-chain monitoring tools that allow users to independently verify the historical and real-time performance of node operators and oracle networks.
In the longer term, we will look into extending our usage of Chainlink services by integrating additional Price Feeds as xDollar launches its V2 platform and expands to new emerging chains.
“We are excited to integrate with Chainlink, the #1 leading oracle solution for the DeFi ecosystem. By integrating Chainlink Price Feeds, xDollar has access to a seamlessly implemented service and can benefit from a secure and reliable price feed oracle that helps ensure a smooth stablecoin lending protocol experience to our users on multiple chains.” — Captain X, Co-Founder at xDollar.fi
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. Chainlink currently secures tens of billions of dollars across DeFi, insurance, gaming, and other major industries, and offers global enterprises and leading data providers a universal gateway to all blockchains.
xDollar is an 0% interest-free stablecoin lending platform that users can borrow non-custodial stablecoin, xUSD against MATIC collateral on Polygon, AVAX collateral on Avalanche, and ETH collateral on Arbitrum with the lowest minimum collateral ratio of only 110%. The platform implements a systematic liquidation mechanism (xUSD pool) and fair platform revenue fee distribution (XDO pool). xDollar’s vision is to become the next-generation multi-collateral chain agnostic stablecoin.
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