Synthetix announced earlier this week its partnership to Chainlink in a collaboration that will open up new markets to the Synthetix consumers. The partnership was announced earlier in the week on the official blog of Synthetix stating a commitment to allow developers and users to run an oracle on Chainlink to obtain real-time prices on Synths (the name for synthetic assets) on the exchange.
— Synthetix (@synthetix_io) March 12, 2019
The announcement is an important step towards greater decentralization of the Synthetic exchange. Furthermore, security and censorship of users’ assets are enabled through a distributed collateral pool of crypto assets on the system.
Synths are crypto-backed synthetic assets that track the value of underlying assets and allow exposure to an asset without the requirement of actually holding it.
The founder of Synthetix, Kain Warwick, expressed his gratitude in the latest partnership with Chainlink, hailing it
“an important step for both decentralization and interoperability within the Ethereum ecosystem.”
Kain further remarked on the pro-efficiency of Chainlink as a global oracle stating the company’s future in influencing data in future.
“Integrating with Chainlink will allow Synthetix to continue to execute on its path towards greater decentralization through user participation.”
Synthetix becomes the fourth company to partner with Chainlink in the past month joining Naka Chain, Celer Network and Katallassos. The decentralized oracle allows most companies to set up smart contracts and access off chain data feed and Web APIs. The growth of Chainlink has been swift since inception benefiting heavily from the highly secure, efficient and trustless oracle data the platform provides.
The blockchain oracle has been named as one of the most innovative projects in the industry by independent research companies including Gartner.