Poseidon Network to Integrate with Chainlink for Off-Chain Connectivity
Poseidon Network will use Chainlink’s decentralized oracle network to enable smart contracts secure access to Poseidon’s off-chain computing platform. Chainlink oracles will verify data processed on the Poseidon Network and use it to trigger smart contracts that pay those nodes providing computing resources. Establishing this connection between on-chain and off-chain networks is foundational to the future of smart contracts.
Poseidon Network provides decentralized edge solutions aimed to create a worldwide P2P infrastructure, including decentralized CDN, storage, and computing. Users can provide their unused bandwidth and storage from their devices, such as NAS, computers, mobile devices, etc. Poseidon’s platform network collects and re-allocates these resources to users who need them. It utilizes idle resources and allows users to share those resources in exchange for rewards.
The team consists mostly of R&D, IT, and Internet industry members. Our Founder & CEO, Light Lin, established a company called Wretch, which he eventually sold to Yahoo.
During the development process of our decentralized edge product, we discovered that the combination of a token economy and decentralized architecture could facilitate a more complete and healthy ecosystem.
Why use Chainlink?
Decentralized oracles verify data more securely and efficiently, which helps foster trusted and reliable communication of data between on-chain and off-chain environments. Additionally, their development of threshold signatures reduces the costs of using decentralized oracles at scale.
In addition to confirming the status of network transactions, Ethereum can also handle coded logic in the form of smart contracts.
Take for example:
- If X occurs, then execute Y.
- When both X and Y data are stored on the blockchain (i.e., in smart contracts), the contract can be easily executed.
- However, once X and/or Y reside off-chain, execution gets more complicated.
- For example, a smart contract that uses node performance data (X) stored on the Poseidon Network to trigger a smart contract (Y) that distributes payment rewards.
- In this example, the node data (X) is a resource that exists outside the Ethereum blockchain, which increases the difficulty of integrating this data source.
Why is it important to have these features?
QEdge — nodes on the Poseidon Network process data in real-time, which causes several problems. If all these nodes are processing data on-chain using the current blockchain framework, the costs will be extremely high and it will lack efficiency.
Alternatively, if we establish a centralized database as a verification method, it’s also time-consuming and security and efficiency become serious issues.
The best way to solve the above problem is to have a decentralized, secure, and cost-effective data validation service that allows Poseidon data to be computed off-chain but then relayed back on-chain to make payments via API connected oracles. As the leader in oracle technology — Chainlink is the best option so far and we are delighted to use their technology.
How will Poseidon Network benefit from using Chainlink?
Chainlink is essential for connecting off-chain data with an on-chain smart contract.
- Network users send QQQ (the Poseidon token) to the smart contract to pay for computing power for their applications.
- A node on the Poseidon Network sends a request to the smart contract to be paid for services rendered.
- The smart contract uses a Chainlink oracle to retrieve and validate work done by the node.
- Th smart contract receives the data from the oracles confirming valid work.
- The smart contract executes and distributes the correct amount of QQQ rewards to the node.
These processes can be developed by our team in a centralized manner, but as we mentioned earlier, it’s time-consuming and the security cannot be ensured.
It’s easier and more secure to rely on third-party applications to complete the connection between on and off-chain given the smart contract (solidity) cannot natively support off-chain functionality. The best solution is to use Chainlink — — the leading distributed oracle solution, to leverage existing API infrastructure.
As Poseidon’s Founder Light Lin puts it, “Oracles are a key piece of the smart contract ecosystem that Poseidon Network wants to build. Chainlink helps Poseidon Network integrates off-chain, on-chain infrastructure.”
Chainlink is a decentralized oracle network that enables smart contracts to securely access off-chain data feeds, web APIs, and traditional bank payments. Chainlink is consistently selected as one of the top blockchain technologies by leading independent research firms such as Gartner. It is well known for providing highly secure and reliable oracles to large enterprises (Google, Oracle and SWIFT) and leading smart contract development teams. Learn more by visiting the Chainlink website, Twitter or Telegram.
Note: chainlinkecosystem.com does not claim any ownership of this content, all credit to Poseidon Network, view official announcement.