Chainlink to power all price feeds on the Synthetix DeFi platform

DeFi protocol Synthetix has recently announced the integration of Chainlink price oracles for all assets on its platform. Synthetix had earlier implemented Chainlink price oracles in commodities and forex Synths.

However, the exchange will now pivot from internally maintained oracles to the Chainlink solution as part of its fully decentralized governance journey. 

Synthetix generates synthetic assets as tradable tokens on Ethereum. The prices of different Synths are pegged to differing real-world assets, including digital assets such as Bitcoin or fiat currencies like British Pounds or Euros. 

The recent switch to complete Chainlink integration marks an important milestone for Synthetix, which had previously been relying on oracles built and maintained by the internal development team. Similar to protocols like Compound and Ren, Synthetix devs gained a great degree of control over the early development of the protocol. On the other hand, DeFi projects like Yearn Finance and Yam Finance have decentralized all governance from very early stages. 

Synthetix outlined the testing process applied to Chainlink oracles over the past few months, ensuring the supply of pricing data for different assets can scale as new Synths are added to the exchange. Chainlink also reportedly delivered more accurate pricing data compared to Synthetix’ internally developed oracle solutions.

LINK/USD daily chart

LINK/USD sellers stayed in control of the market for the second straight day. LINK/USD is presently priced at $14.795. The MACD shows sustained bearish momentum, while the relative strength index (RSI) is trending around 50. LINK/USD has strong resistance levels at $15.75 (SMA 20), $16.515 and $19.20. On the downside, we have healthy support at $14.15, $13 and $12.20 (SMA 50).