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In a string of new crypto assets available on Tap Global, Chainlink is one of the latest supported cryptocurrencies. The platform is renowned for being one of the biggest oracle platforms in the cryptosphere, making it possible for real-world data to communicate with blockchain applications.

Okay, so it's time to break down exactly what Chainlink is. You might be wondering why you should even care about this network when there are plenty of other decentralized projects out there. It all comes down to the fact that Chainlink aims to fix one obstacle that has prevented smart contracts from becoming more widespread in business and industry. Below we take a deeper look at what Chainlink is and what the platform has to offer. 

What is Chainlink (LINK)? 

Chainlink is a decentralized oracle platform designed to merge the blockchain world with the real world through data integration. The main aim of the platform is to allow smart contracts to capture real-world data, merging the two worlds.

Smart contracts are digital agreements that automatically execute when the agreed-upon conditions are met. Native to the blockchain industry, there is a significant gap between smart contracts capturing blockchain-specific data and external data like the weather, fiat currencies prices, sports scores, etc. 

Bitcoin, for instance, has a very small range of these input capabilities, while Ethereum can handle more due to its smart contract functionality. Chainlink is designed to provide a far greater range of input across the blockchain space through its network of oracles. 

These oracles are data providers that provide a bridge between smart contracts and external data sources. Each oracle is incentivized through a "reputation score" system to provide accurate data and rewarded accordingly with the platform's native token, LINK. 

Who Created Chainlink?

In 2014, Sergey Nazarov and Steve Ellis created a platform called SmartContract which allows smart contracts to come to life by connecting them to external data and widely accepted bank payments. This acted as the prelude to what would become Chainlink. 

The first version of Chainlink first emerged on the scene in mid-2017, founded by SmartContract. Three months later, the Chainlink whitepaper was launched by Navarov and Ellis. This was followed by a successful ICO which raised funds equating to $32 million, selling roughly 35% of the max supply of 1 billion LINK, funding the further development of the platform.

How does Chainlink works?

Alright, so now let's dig down into the nitty-gritty of how Chainlink works. Chainlink allows smart contracts to access external data. To do this, it provides an off-chain infrastructure that links smart contracts to all kinds of different data providers. This makes it much easier for smart contracts to get the information they need. The smart contract can then use this data in whatever way it needs to.

The first thing to understand is that smart contracts need external data in order to do their jobs. This makes sense, right? Your standard contract clearly specifies what happens when certain conditions are met. So what determines whether (and when) those conditions occur? Usually, it's some external force that a smart contract simply doesn't know about.

That means a blockchain-based smart contract can't fulfil its purpose without a way to get information from outside of the blockchain. So what do you do? You could have every individual app developer write their own oracles for each and every smart contract... or you can use a decentralized oracle network.

But what is the difference between centralized and decentralized oracles? Chainlink is great because it can be used to provide an 'outside view' to smart contracts... chainlink allows blockchain applications to securely access off-chain resources like traditional APIs, bank payments, and any other resource that's not currently on the blockchain.

Chainlink provides the security that developers need to run smart contracts without worrying about whether their favourite API is having problems. Chainlink also makes it possible for new data sources to be added to any smart contract which needs them.

Chainlink has three main processes in which it facilitates the communication of off-chain data with on-chain smart contracts. This is done through oracle selection, data reporting and result aggregation, as outlined below.

Oracle Selection

In this step, network users create a service-level agreement (SLA) outlining a set of desired data requirements. The platform then connects that SLA with relevant oracles providing that data. Parameters are then set and the user submits the SLA and deposits the required amount of LINK into what is called an Order-Matching contract, which is matched to the best bidding oracles. 

Data Reporting

Oracles then acquire the necessary real-world data outlined in the SLA from external sources, process the information and send it back to the smart contracts operating on the Chainlink network.

Result Aggregation

The results obtained by the data oracles are then tallied in an Aggregation contract, which assesses the validity of the data. It then allocates a score of the sum of all the data received to the user. This "track record" is used to verify an oracle's integrity, keeping a log of its completed requests, amount of LINK staked and average response time. 

Chainlink is also able to connect with oracles outside of its own blockchain network which is able to collect real-world data requested by the contracts. This process is managed by the Chainlink Core and Chainlink Adapter nodes. 

The network uses a Proof-of-Stake (Pos) consensus, relying on a staking protocol to ensure the network's security. 

How does Chainlink benefit me?

Chainlink is a decentralized oracle network that allows smart contracts to connect to external data sources. These can include APIs, internal systems, or other types of external data feeds. Chainlink's goal is to create a platform where developers aren't restricted from having their smart contracts interact with the outside world in any way they see fit.

You can start using Chainlink right away - no new platforms to learn, APIs to configure or other complex integrations.

chain link will never charge a fee for access to any of our oracle services. Our only source of revenue is the tokens you stake when retrieving outsourced data from your peers on the network.

What is LINK?

LINK is the native token to the Chainlink network and facilitates the communication of data. Considered to be an essential tool in merging blockchain technology with real-world applications, the token has gained wide popularity in the blockchain industry. Users use LINK to pay the nodes for their retrieving, verifying and sending of data. These prices are established by the node operator and based on the current market and demand for that data.

The node operators stake LINK in the Chainlink network to prove their commitment and good intentions. Nodes with bigger stakes take priority over nodes with smaller ones when matching them with SLAs.

LINK is an ERC20 token that powers the ChainLink Network. The LINK token serves three primary purposes:

1. A method to pay ChainLink Node operators for the retrieval of data from off-chain data feeds, like web APIs and other inputs
2. Incentivize the development of oracles that provide data to smart contracts.
3. A method of staking by clients who want access to our oracle network. 

The primary purpose of the LINK token is to secure the network by staking them. The user must stake a certain amount of LINK tokens to run a ChainLink node, which then acts as an oracle. In return, the user is paid for providing this service.

How to buy Chainlink

If you'd like to incorporate LINK in your crypto portfolio you can easily do so through our app. Simply trade any of your current crypto or fiat portfolios for LINK. You can as well purchase ChainLink using a credit card or debit card directly on Tap. We provide the most convenient means to purchase LINK using Visa or MasterCard. If you're ready to take the next step and want to buy some ChainLink, take the next step with Tap!

We are delighted to announce the listing and support of Uniswap (UNI) on Tap!

UNI is now available for trading on the Tap mobile app. You can now Buy, Sell, Trade or hold UNI for any of the other asset supported on the platform without any pair boundaries. Tap is pair agnostic, meaning you can trade any asset for any other asset without having to worries if a "trading pair" is available.

We believe supporting UNI will provide value to our users. We are looking forward to continue supporting new crypto projects with the aim of providing access to financial power and freedom for all.

Launched in 2018 UNI is the native token to the Ethereum-based automated crypto exchange, Uniswap. Currently the biggest contender in the DeFi space, Uniswap has become synonymous with decentralized exchanges and the automated trading of decentralized finance (DeFi) tokens.

Sparked by the DeFi movement, the platform has seen enormous success not only in the DeFi space but in the cryptocurrency industry as a whole providing to UNI a potent store of value and a  strong medium of exchange.

Get to learn more about UNI in our dedicated article here.

The recent fall of FTX comes with devastating consequences to many, cooling the conditions of an already chilly crypto winter. While the loss of consumer funds and the drop in crypto prices across the board are detrimental to many in the new-age financial system and it’s anticipation of regulators’ reactions that are adding to the hysteria. 

After taking a deep dive into exactly what happened at FTX, we take a look at the response from regulators and what this is likely to mean for the greater crypto industry. 

The FTX death spiral and its effects on the crypto financial system

The history

To understand the full demise of FTX, one needs to understand its history. In 2019, when FTX launched, Binance was a prominent investor and partner. CEOs, Sam Bankman-Fried (FTX) and Changpeng Zhao (Binance) had a mutually beneficial strategic partnership and amicable relationship.

This soured as FTX grew in size and they became the two top centralized entities in the crypto ecosystem, and ultimately largest competitors. Just last year, both exchanges accounted for roughly 30% of trading volume on crypto exchanges, accounting for over $27.5 trillion. 

The breakup

In 2021, things reached a pinnacle point in their relationship and FTX bought Binance out of the partnership, paying $2.1 billion, much of that with FTT, the platform’s native token. Fast forward to November 2022 and Changpeng Zhao (CZ) tweeted that he would be liquidating the FTT crypto assets as a result of Sam Bankman-Fried speaking ill of Binance to regulators and other “recent revelations”. 

The allegations

It is believed these revelations were that FTX’s sister trading company, Alameda Research, was in financial trouble, an allegation made by Coindesk and Mike Burgersburg, the man who accurately predicted the Celsius crash. At this point, we should mention that Alameda and FTX’s combined FTT holdings account for 75% of the entire supply. 

With Binance announcing that they were going to sell their crypto assets, accounting for 7.4% of the entire FTT supply, shockwaves were sent through the industry. 

The consequences

In a matter of hours, the FTT price dropped 83%, trading at $18.72 before dropping to $3.14. In a desperate attempt to stabilize the market, Alameda offered to buy Binance’s FTT supply, to no avail. 

At the same time, investors rushed to pull their funds from the exchange, estimated to be roughly $6 billion worth of net withdrawals. In light of the recent Terra LUNA crash and subsequent demise of Celsius and Voyager, investors were taking no risks. 

The next twist in this unfortunate story is that FTX froze all withdrawals on the platform and announced that it was going into a “strategic transaction” with Binance, with Binance set to buy its biggest competitor. The acquisition was rumored to be worth $1.

This all came crashing down several hours later when CZ announced to his Twitter following that after reviewing the books they would no longer be moving forward with this plan. 

Within 24 hours, the broader crypto assets market started to feel the effects. Bitcoin was down 16%, Ethereum down 24% and Solana, widely backed by Sam Bankman-Fried, down 43%. 

On November 10, Sam Bankman-Fried announced that Alameda Research would be “winding down trading” and issued an apology to his Twitter following. FTX is in the process of sourcing funding for liquidity purposes, with the platform estimated to need around $10 billion in order to honor customers' crypto assets withdrawal requests.

What was really going on at FTX?

This story boils down to CZ tweeting that he would sell his FTT in light of allegations, which created mass FUD and subsequently led to the demise of its biggest competitor. How did a company, considered a heavyweight in the financial markets, worth $30 billion a few months prior and making 8 figures in revenue a day suddenly become insolvent?

Industry insiders believe that the relationship between FTX and Alameda was a bit more reprehensible than it appeared on the surface. Based on leaked insights into Alameda’s financials, it is speculated that Alameda used a significant portion of its FTT holdings as collateral to borrow funds from FTX (these funds being customer funds).

While illegal, this also poses a high risk that could see the collapse of both platforms, and consumer funds along with them. If this is proven to be true, jail time could ensue. 

In an internal email circulated to the Binance team, CZ stated that this was not part of a greater plan, nor is it a win for Binance as the greater crypto economy will be affected. From investor trust to crypto prices dropping to the hawk-eyed regulators eagerly watching from the sidelines, the demise of FTX is in no one’s favor. 

Ultimately, the same catalyst that saw the fall of Celsius has been observed here, FTX used its own token as collateral. Let this be a warning sign for any future trading platforms, and a prominent note for those working on crypto regulation.

What this means for the regulation of crypto exchanges

Before any regulators could even whisper a word, big platforms like Binance, KuCoin, OKX and more are believed to be in plans to implement Proof of Reserves accountability. This involves an independent audit of funds by a third party, made available to the public.

The Commodity Futures Trading Commission (CFTC), Securities and Exchange Commission (SEC) and the Department of Justice (DOJ), three of the biggest financial regulators in the U.S. have begun (or are continuing, in some cases) investigations into FTX. It is believed that the Texas Securities Board started investigating the exchange and CEO in October. 

In the wake of the aftermath, the White House is also calling for stronger crypto oversights and Californian regulators have announced that they are launching an investigation into FTX, asking customers affected by the virtual currency calamity to come forward. 

Insiders are faulting U.S. regulators for not having more clear guidelines in place, saying that their “stringent-yet-unclear” frameworks have driven big exchanges overseas where there is even less of a regulatory landscape and taxes often go unpaid. With the proper legal framework in place, perhaps situations like these could be avoided, and instead of fleeing, people would trust in U.S. regulatory standards. 

Regulators need to find a balance between creating and implementing legal frameworks that both support the innovation and development of the crypto space but at the same time keep avaricious CEOs in line and all centralized operations above board. 

Regulations put in place to hinder money laundering have been successful, with little consequence to the trader. There is no reason why regulations implemented to stop such happenings in the crypto world could not have the same success.

The latest crisis in the cryptocurrency space is likely to push regulators to amplify their work on building legal frameworks for platforms managing digital assets to adhere to, not just in the U.S., but globally. 

What this means for crypto assets and the crypto industry

While Bitcoin, Ethereum, Solana and most other cryptocurrencies are recovering from lows of yesterday, there is a somber feeling in the crypto space knowing that to the week a year ago Bitcoin and Ethereum reached their current all-time highs.

Crypto trading is known to have its risks, and the responsibility to stay within the green lines falls on the individual trader. While many investors embrace the “hodl” approach (hold the investment for long periods of time), it is of the utmost importance to stay in the know about what is happening in the market and to thoroughly, very thoroughly vet the coin they are looking to invest in. 

Another, perhaps most important, precaution to take is to work only with crypto platforms that are regulated by government-endorsed financial bodies. Just because you are working with decentralized digital currencies doesn’t mean that you should throw caution to the wind and leave your funds unprotected.

Taking this very seriously, Tap is licensed and regulated by the Gibraltar Financial Services Commission and insures all funds through a reputable crypto insurance service. Rest assured that we are constantly being regulated, sticking to the stringent guidelines laid out before us, and protecting our consumers’ funds at all times. 

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The crypto industry can feel like it has a language of its own sometimes, so we're here to clear the air on the business of tickers. Tickers were first introduced to the trading world in the 19th century to make trading stock more efficient, listing merely an abbreviation of the company and not the full name. This concept was later adopted by the crypto industry too. In this article, we provide a guide to avoiding crypto ticker confusion.

What is a crypto ticker?

Crypto tickers are abbreviated forms of a cryptocurrency used to represent the coin on centralized and decentralized exchanges. For example, BTC is used for Bitcoin and ETH for Ethereum.

Can two cryptocurrencies have the same ticker?

As both cryptocurrencies will likely be searched for and traded on the same exchange, each will need its own ticker in order to differentiate from the other. It has however been witnessed that smaller coins have adopted a more prominent cryptocurrency's ticker in order to drive interest. This is often related to scam coins and should be considered a red flag. 

To simplify this guide we've broken it down into sections, covering tickers across payment focused cryptocurrencies, stablecoins, meme coins, development-focused platforms and a gaming platform.  ‍

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Payment-focused cryptocurrencies

Since Bitcoin was launched in 2009, many coins have followed in its footsteps, attempting to recreate a more efficient digital money. While this isn't a bad thing, there have been a number of digital assets adopting the word "Bitcoin" into their name which has caused a considerable amount of confusion. 

Here we take a look at the three most prominent payment-focused cryptocurrencies:

BTC - Bitcoin 

The first and biggest cryptocurrency in existence, Bitcoin is the most widely adopted coin to this day. 

LTC - Litecoin 

One of the most successful forks off of the Bitcoin blockchain, Litecoin provides fast and cheap transactions.

XRP - Ripple

XRP offers one of the fastest value transactions, challenging the SWIFT payment method with its blockchain functionalities. 

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Stablecoins

Stablecoins were created to combat the volatility that crypto markets have become known for. These coins are pegged to fiat currencies, ensuring that their value remains the equivalent to one unit at all times. Stablecoins have gained popularity since the launch of the DeFi movement, and both these coins are in the top 5 biggest cryptocurrencies based on market cap. 

USDC - USD Coin

USD Coin is pegged to the US dollar and was launched in 2018 by payment services company Circle and Coinbase.

USDT - Tether

Also pegged to the US dollar, Tether was launched by a Hong Kong-based company Tether in 2014. Tether is the first stablecoin to come into existence. 

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Meme Coins

Since the rise of Dogecoin, many cryptocurrencies have attempted to leverage the brand and incorporate the star Shiba Inu logo. Most of these coins have a minute market cap, so we'll focus on the two biggest ones, which are both currently positioned in the top 15 biggest cryptocurrencies based on market cap. 

DOGE - Dogecoin

The original meme token, Dogecoin was created in 2013 from a hard fork off of the Litecoin blockchain. Dogecoin remains the biggest meme token to date. 

SHIB - Shiba Inu

Leveraging the success of Dogecoin, Shiba Inu was launched in 2020 and provides a crypto ecosystem compared to Dogecoin's simple payment functionality. 

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Development-Focused Cryptocurrencies

Since the rise of Ethereum and the incredible innovation, it has provided a platform for, many other projects have launched a similar concept where developers can also create dapps. While they all share this common denominator, each project brings something unique to the table. 

ETH - Ethereum

The original development-focused platform, Ethereum was launched in 2015 and is the most widely used by developers. Often susceptible to high transaction fees, many other projects have attempted to rectify this problem. 

ADA - Cardano

Cardano was created by a co-founder of the Ethereum network and through rigorous academic research aims to provide a more streamlined platform on which developers can create blockchain-based applications.

DOT - Polkadot

Polkadot focuses on providing interconnectivity and interoperability between blockchains, allowing inoperable blockchains to exchange data and value.

LINK - Chainlink

Chainlink is an oracle network that allows smart contracts to connect with outside data, providing a "bridge" between blockchains and off-chain environments.

SOL - Solana

Solana is a high-performance blockchain that provides dapp and smart contract creation. Solana provides a faster and more cost-effective alternative to Ethereum.

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Gaming Platform

Last but not least, we'll also cover this metaverse-focused coin which functions to assist the inner workings of the virtual reality game of the same name. 

MANA - Decentraland

Launched in 2020, MANA operates as the in-house currency for players using the Decentraland platform. The coin can also be traded in the outside world on many popular exchanges. 

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An Informative Guide To Avoiding Crypto Ticker Confusion

We hope the guide above helps to dispel any crypto ticker confusion, particularly as you embark on your crypto investment journey. While the world waits for cryptocurrencies to become regulated, if you're looking to get in before this takes place, Tap provides a convenient, simple and secure solution to buy, sell and store cryptocurrencies.

All coins are displayed with their real-time price, allowing anyone, anywhere to obtain one of the digital currencies on offer using simply a bank transfer.

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The Curve protocol and Curve DAO token form another innovative project to come from the DeFi movement and one that provides a particularly unique and well-designed concept. Improving on functionalities that DeFi platforms like Uniswap and Sushiswap have otherwise neglected, Curve focuses on providing a viable alternative solution to traditional financial platforms in the blockchain industry.  

The Curve Finance platform, launched in January 2020, later released a decentralised autonomous organisation (DAO) alongside the Curve DAO token eight months later. CRV functions as the in-house token of the platform.  

What Is Curve DAO (CRV)?

The Curve platform, formally known as Curve Finance, provides traders with a decentralised exchange on which to swap digital assets. Curve aims to provide minimum price slippage between two tradable crypto assets by focusing on stablecoins or assets of similar value. Through an automated market maker (AMM) and focused smart contracts, the decentralised exchange is able to manage liquidity.  

While the platform can be compared to Uniswap, in reality, it has some key differences and a much higher amount of locked liquidity. The platform and its liquidity providers are more focused on stablecoins and other coins of that nature. CRV tokens fuel the network and are a tradable asset for crypto users.

The Curve DAO provides more decentralised governance to Curve's trading platform. The Curve protocol has grown into a well-respected financial asset within the DeFi ecosystem with its strong DeFi protocol.

Who created the Curve protocol?

The Curve platform was created by a Russian scientist with ample experience in the crypto industry. Michael Egorov both founded the platform and acts as its CEO. He previously co-founded a crypto business focused on building privacy-oriented protocols and infrastructure, NuCypher, in 2015, as well as LoanCoin, a decentralised bank and loans network.

As of August 2020, Egorov holds 71% of the governance tokens after locking up a large amount of CRV tokens in response to yearn.finance’s increasing voting power in the Curve network. In a statement made later, Egorov admitted to “overreacting”.  

How does Curve work?

Launched prior to Uniswap V2, Curve Finance operates similarly to the DeFi platform but has implemented some key differences. The decentralised exchange differentiates itself from the original AMM platform by innovating the liquidity pool trading structure and relevant smart contracts.

The Curve DAO trading platform is managed by a mathematical function called a bonding curve, which is designed to let cryptocurrencies trade for the best possible price amongst each other. Bonding curves are also used by other DeFi trading platforms, like Uniswap.

Due to the Curve DAO platform being primarily focused on stablecoins, its bonding curve is specifically focused on these pegged digital currencies and is able to trade a larger amount of stablecoins with less change in their relative prices in a liquidity pool.

Lending pools

In order for the Curve DAO platform to operate, it requires a group of users who are willing to lock up their cryptocurrencies in order for them to be traded by others. The platform provides a return on their coins plus a portion of the fees from trades when incentivizing liquidity providers.

The platform manages the coins in the liquidity pools by making them more expensive or cheaper, based on their fluctuating amounts, thereby making them more attractive to buyers and sellers using the platform.

On Uniswap, liquidity pools are based strictly on predetermined trading pairs while on Curve DAO the liquidity pools comprise multiple assets. On Curve DAO, entire liquidity pools can also be used as an asset inside another liquidity pool.

How does a trader use the liquidity pools?

Once a trader adds liquidity to a specific pool, through stablecoins or other digital assets, the user will receive a token specific to that pool. 3pool is an example of one of the most popular liquidity pools on the Curve platform.  

While the platform is known to provide trading for stablecoins, it also supports mirrored assets such as renBTC and wBTC. These assets are both built on the Ethereum blockchain and track the price of Bitcoin in a typical derivatives fashion. Since the prices are close in value they can function in the same pool and be traded using the Curve DEX.

What is the Curve DAO token (CRV)?

The CRV token is the utility token and governance token of the Curve DAO platform, providing users with governance rights, an incentive structure for fee payments, as well as providing long-term rewards to liquidity providers. CRV tokens are awarded to users based on their liquidity commitment and length of ownership.  

The Curve DAO token was launched alongside the Curve DAO in August 2020. The maximum supply is 3.03 billion CRV tokens, with 62% of that being distributed to liquidity providers. The rest is allocated between employees (3%), and shareholders (30%), and a small percentage is kept for community reserves (5%). Employee and shareholder allocations work off of a two-year vesting schedule.  

At the time of writing, over 531 million CRV tokens are in circulation, roughly 16% of the total supply.  The market cap at the time was around $365 million, positioning the Curve DAO token network in the top 20 biggest platforms in the DeFi ecosystem.

How can I buy Curve DAO tokens?

If you’d like to buy Curve DAO tokens to include in your crypto portfolio, you can do so easily through the Tap mobile app. Providing a highly secure and equally simple crypto trading platform, users can buy CRV with British Pounds or Euros, or exchange tokens for other cryptocurrencies supported on the platform such as Bitcoin or Ethereum.  

Simply download the app, create an account and follow the steps to get verified through the KYC process. You will then have access to several wallets, and a much simpler crypto trading experience.  

We are delighted to announce the listing and support of 1Inch (1INCH) on Tap!

1INCH is now available for trading on the Tap mobile app. You can now Buy, Sell, Trade or hold 1INCH for any of the other asset supported on the platform without any pair boundaries. Tap is pair agnostic, meaning you can trade any asset for any other asset without having to worries if a "trading pair" is available.

We believe supporting 1INCH will provide value to our users. We are looking forward to continue supporting new crypto projects with the aim of providing access to financial power and freedom for all.

1inch is a cryptocurrency trading tool for traders, allowing them to quickly find and access competitive prices on decentralised exchanges (DEXs) using its innovative 1INCH token, which provides both utility and governance functionalities to token holders.

By utilising 1inch, traders have the convenience of trading from a single platform while being exposed to the lowest trading fees and best prices across several DEXs.

The 1INCH token is an ERC-20 token that serves as a utility and governance token for the platform.  On top of functions like spending, sending, holding, and staking, the 1inch token also provides voting rights to token holders on any proposed updates to the protocol.

Get to know more about 1Inch (1INCH) in our dedicated article here.