OKX’s X Layer will leverage Chainlink’s cross-chain services to connect traditional finance with DeFi.
- OKX’s X Layer will leverage the Chainlink Cross-Chain Interoperability Protocol
- Ethereum layer-2 network X Layer will connect multiple blockchain networks
- Chainlink’s oracle network enables X Layer developers to access off-chain market data
The lines between traditional finance and decentralized protocols are increasingly blurring. On Monday, November 3, crypto platform OKX announced its Ethereum layer-2 network, X Layer, will tap into Chainlink’s infrastructure for cross-chain capabilities and tradFi integration.
Specifically, X Layer will use the Chainlink Cross-Chain Interoperability Protocol to enable seamless data transfers across major blockchain networks. What is more, the Chainlink CCIP also gives these DeFi apps access to real off-chain data from banks and other major institutions.
“By integrating Chainlink’s industry-leading oracle network, X Layer developers gain direct access to high-quality, tamper-proof market data, the same data infrastructure trusted by a large share of Web3 and leading institutions, to power secure DeFi, tokenization, trading, and automation,” OKX stated.
At the same time, Layer X joined the Chainlink SCALE program to reduce the costs to developers. This means that OKX will cover the cost of Chainlink’s services for the X Layer applications. This enables developers to build X Layer applications faster and more cheaply, while gaining access to off-chain financial data.
OKX partners with Chainlink to bridge DeFi and TradFi
Chainlink (LINK) has already partnered with major financial institutions to bridge off-chain and on-chain data. For one, American financial markets infrastructure firm DTCC uses Chainlink to publish fund data on-chain. At the same time, UBS and Swift leverage Chainlink in their tokenized funds.
This partnership enables OKX to tap into the same infrastructure, while also building its own DeFi ecosystem. OKX hopes that the native oracle integration will attract developers interested in building cross-chain DeFi applications.
