Coinbase Cloud Integrates Chainlink Oracle Network

Coinbase Cloud will utilize its global infrastructure and expertise in managing blockchain data to increase the security and dependability of the Chainlink blockchain oracle network.

In a partnership aimed at enhancing the decentralization of the Web3 ecosystem, the cloud service of the U.S.-based cryptocurrency exchange will become a new node operator on the Chainlink network.

The infrastructure of Coinbase Cloud already supports several prominent blockchains, including Ethereum, Solana, Algorand, and Aptos.

Operators of Chainlink nodes are an integral part of the network and are responsible for connecting smart contracts on various blockchains to data and systems.

By sourcing, formatting, and transmitting data to smart contracts, Chainlink builds a bridge between Web2 and Web3.

Chainlink’s provision of decentralized price feeds safeguards an estimated $22 billion in value locked in decentralized finance (DeFi) protocols such as Synthetix, Aave, Compound, and dYtX.

Kai Zhao, group product manager for Coinbase Cloud, emphasized the significance of node operators in the cryptocurrency ecosystem for ensuring the security and dependability of smart contracts:

“By building decentralized Oracles, we are helping to create a more decentralized and trustworthy future for blockchain technology. We believe on-chain is the next online, and we look forward to working with Chainlink to further this future.“

William Reilly, global head of centralized finance, sales, and strategy at Chainlink Labs, added that the newest node operator would add experience and robust infrastructure to the Oracle network, which would be advantageous to a wide range of Web3 products, services, and applications:

“Their [Coinbase Cloud] involvement will undoubtedly contribute to the advancement of decentralized applications, further propelling the blockchain industry to new heights.“

Surojit Chatterjee, Coinbase’s chief product officer, stated that the company aspires to become the Amazon Web Services of the cryptocurrency industry by 2021, signaling Coinbase’s intent to become a pillar of the Web3 ecosystem.

Coinbase Cloud is central to this strategy, as its suite of products powers a variety of ecosystem services.

The service is the result of Coinbase’s early 2021 acquisition of blockchain infrastructure provider Bison Trails.

The Node platform of Coinbase Cloud enables users to create and manage Web3 applications, while the Base Ethereum layer-2 network was launched in February 2022.