Parrot, powered by the Solana network, integrates with Chainlink to utilize price fees to price collateral and liquidate loans accurately.
Oracles Enabling DeFi on Solana Further
Parrot, a decentralized finance (DeFi) platform on Solana created to unlock liquidity growth through lending, has announced its integration with Chainlink, a decentralized oracle network, on Nov. 18.
Parrot, in an exclusive press release to Solana News, explained that it will use Chainlink’s tamper-proof price feeds to accurately calculate collateral requirements and liquidate loans on their lending platform. The price feeds enabled by Chainlink’s oracles will help the protocol maintain crucial security features vital for blockchain-based applications. The essential requirement of the platform was to receive decentralized data feeds that don’t come from a single source and thus are not susceptible to manipulation or inaccuracies of any kind.
“Chainlink is the industry standard for providing smart contracts with access to off-chain data feeds. By integrating Chainlink Price Feeds, we are implementing critical infrastructure that will help us protect user funds and trigger outcomes such as loan liquidations based only on high-quality and decentralized price data,” mentioned a representative of the Parrot Team in the exclusive press release to Solana News.
Parrot listed several reasons for integrating Chainlink:
High Update Frequency
As previously reported by Solana News, Saber, one of the leading decentralized exchanges (DEXs) in the Solana ecosystem, announced their support for Chainlink’s price feeds as well on Nov. 8 to support dApps using the DEX’s Liquidity Provider (LP) tokens.
Parrot is a decentralized liquidity network that enables borrowing and lending for its users through a suite of DeFi products like the stablecoin PAI, Synthetic BTC (pBTC), Parrot stake pool token (prtSOL), Synthetic SOL (pSOL), and yield generating +EARN Vaults.
Find more about Parrot here:
Chainlink is an oracles services provider that can power hybrid smart contracts on any blockchain network. It is one of the most widely utilized oracle networks in the DeFi Ecosystem, currently securing billions of dollars of funds.
Find more about Chainlink here:
Source : solana.news