Chainlink has launched a new product aimed at the decentralized finance market.
According to a blog post, the Chainlink DeFi Yield Index is a data product that leverages the decentralized oracle network’s standard to aggregate lending rates across the decentralized finance ecosystem.
Chainlink (LINK) has integrated zero-knowledge proof data platform Space and Time to introduce the Chainlink DeFi Yield Index to the market. Space and Time is a leading data warehouse that recently raised $20 million from venture capital investors.
The DeFi Yield Index uses Space and Time’s blockchain indexer and database to bring real-time on-chain activity to the index, ensuring accuracy, robustness, and market representativeness.
Chainlink says its new decentralized finance product will benefit capital markets institutions, decentralized finance protocols, and the broader community of users. These participants can leverage the index for yield-earning opportunities, risk management, and efficient capital deployment.
“Chainlink has established itself as the standard for verifiable data across DeFi and the emerging onchain finance ecosystem, and Space and Time provides a transformative database solution that unlocks advanced Web3 use cases,” said Scott Dykstra, co-founder of Space and Time. “We’re excited to provide the indexing and database infrastructure to support the calculations for Chainlink DeFi Yield Indexes and enable financial institutions to capture more opportunities in the public blockchain ecosystem.”
Initially, the index will be calculated for the largest and most liquid decentralized finance market assets, including USD Coin, Tether, wrapped Bitcoin, and wrapped Ethereum. Chainlink will serve as the index administrator, while Space and Time will act as the calculation agent, ensuring fairness, accuracy, and transparency.
The DeFi Yield Index adds to Chainlink’s growing suite of products, which includes Chainlink Price Feeds, Data Streams, Cross-Chain Interoperability Protocol, and Proof of Reserve, among others.
