How To Buy Chainlink (LINK)?

A common question you often see on social media from crypto beginners is “Where can I buy Chainlink?” Well, you’ll be happy to hear it is actually quite a simple and straightforward process. Thanks to its massive popularity, you can now buy Chainlink on most cryptocurrency exchanges, including Coinbase and Binance in 3 simple steps.

Step 1: Create an account on an exchange that supports Chainlink (LINK)

First, you will need to open an account on a cryptocurrency exchange that supports Chainlink (LINK).
We recommend the following based on functionality, reputation, security, support and fees:

In order to sign up, you will need to enter some basic information, such as your email address, password, full name and, in some cases, you might also be asked for a phone number or address.

Note: On specific exchanges, you might need to complete a Know Your Customer (KYC) procedure in order to be able to purchase cryptocurrency. This is most commonly the case with licensed and regulated exchanges.

Step 2: Deposit funds into your account

Many cryptocurrency exchanges will allow you to purchase Chainlink (LINK) with fiat currencies, such as EUR, USD, AUD and others. Furthermore, they will also provide you with multiple deposit methods through which you can fund your fiat account, such as credit and debit cards, ewallets or direct bank transfers.

Note: Some payment methods will have higher fees than others, such as credit card payments. Before funding your fiat account on your chosen exchange, make sure to do your due diligence to find out the fees involved with each payment method to avoid unnecessary costs.

Step 3: Buy Chainlink (LINK)

This process is similar across almost every cryptocurrency exchange. All you have to do is find a navigation bar or a search bar, and search for Chainlink (LINK) or Chainlink (LINK) trading pairs. Look for the section that will allow you to buy Chainlink (LINK), and enter the amount of the cryptocurrency that you want to spend for Chainlink (LINK) or the amount of fiat currency that you want to spend towards buying Chainlink (LINK). The exchange will then calculate the equivalent amount of Chainlink (LINK) based on the current market rate.

Note: Make sure to always double-check your transaction details, such as the amount of Chainlink (LINK) you will be buying as well as the total cost of the purchase before you end up confirming the transaction. Furthermore, many cryptocurrency exchanges will offer you their own proprietary software wallet where you will be storing your cryptocurrencies; however, you can create your own individual software wallet, or purchase a hardware wallet for the highest level of protection.

For more in-depth instructions, our ‘Absolute Beginner’s Guide To Cryptocurrency Investing‘ will take you through the process step-by step. In addition to providing instructions for sending and receiving your cryptocurrency.
And if you’re completely new to crypto our beginner, intermediate and advanced level articles will get you up to speed with everything you need to know about the cryptocurrency space starting out. 

Simplecryptoguide.com

What Is Chainlink (LINK)?

You could think of Chainlink as a committee of wise men and women who are always looking to determine the closest thing to the truth. But why can they be deemed more trustworthy than others? Let’s see.

Chainlink is a blockchain-based decentralized oracle network that allows smart contracts to connect to external data sources. These can include APIs, internal systems, or other types of external data feeds. LINK is an ERC-20 token that’s used to pay for this oracle service on the network.

How does Chainlink work?

Chainlink uses a network of nodes in an attempt to make the data provided to smart contracts as trustworthy and reliable as possible.

Let’s say a smart contract requires real-world data, and it puts out a request for it. The Chainlink protocol registers this event and forwards it to Chainlink nodes to take their “bids” on the request.

So, how is this connected to LINK? Well, the smart contracts that request the data pay Chainlink node operators in LINK in exchange for their service. The prices are set by the node operators based on the market conditions for that data.

Chainlink development updates in 2023

Chainlink has experienced a series of significant developments in 2023, which have notably advanced its position in the blockchain and Web3 spaces. Here’s a summary of the key updates:

• Expansion of Chainlink Functions Beta: The Chainlink Functions Beta, initially launched on Polygon Mumbai and Ethereum Sepolia testnets, expanded to the Avalanche testnet. This expansion indicates the growing scope and reach of Chainlink’s oracle services. The Functions Beta has attracted over 2,200 applicants, highlighting its increasing importance and utility in the Web3 ecosystem​​.

• Chainlink Cross-Chain Interoperability Protocol (CCIP): The CCIP has become a significant protocol for cross-chain communication in 2023. This protocol facilitates seamless interaction between various blockchains, enhancing blockchain interoperability and enabling the transfer of data, tokens, and programmable instructions across different networks​​.

• Tokenization of Real-World Assets (RWAs): Chainlink has made strides in tokenizing RWAs, bringing traditional financial assets onto the blockchain. This development is reshaping capital markets by enhancing liquidity, efficiency, and transparency, and making these assets more accessible and blockchain-compatible​​.

• Launch of Chainlink Data Streams on Mainnet: Chainlink Data Streams, designed for high-frequency and low-latency use cases in DeFi, have been launched on the mainnet. This service is particularly in demand for DeFi derivatives and is being utilized by various protocols, including GMX V2. It showcases Chainlink’s ability to deliver near real-time data accuracy​​.

• Chainlink Proof of Reserve (PoR): Chainlink PoR provides on-chain attestations about off-chain or cross-chain reserves backing tokenized assets. This service has seen new deployments, including integration with Swell Network for a liquid staking token and Alongside Finance for a real-world asset index token​​.

• Chainlink’s Role in the Wider Web3 Ecosystem: Chainlink’s expanded monetization model has enabled Chainlinked dApps and protocols to differentiate themselves through advanced oracle properties. This model aligns the success of participating dApps with Chainlink Network’s economics, representing a substantial expansion of economic opportunity within the network​​.

• Partnerships and Industry Recognition: Chainlink’s increasing prominence is reflected in various partnerships and media coverage, including collaborations with Vodafone for blockchain-based global trade processes and with SWIFT for blockchain experiments. These collaborations indicate Chainlink’s growing influence in both the traditional financial world and the digital assets space​​.

Overall, these developments in 2023 underscore Chainlink’s commitment to advancing blockchain technology and its integral role in the evolution of Web3 applications.

Official website: https://chain.link/

Best cryptocurrency wallet for Chainlink (LINK)

There are plenty of different crypto wallets available. The best one for you depends on your general trading habits and which provides the most security in your situation. There are two main types of wallets: hot storage wallets (digital) and cold storage or hardware wallets (physical). Both have their pros and cons, and there is not necessarily a right or wrong answer when it comes to figuring out which crypto wallet is best for you.

HOW DO I DECIDE WHICH cryptocurrency WALLET TO USE for Chainlink (LINK)?

Deciding which type of wallet to use depends on a variety of factors, including:

• How often you trade. In general, hot wallets are better for more active cryptocurrency traders. Quick login ability means you are only a few clicks and taps away from buying and selling crypto. Cold wallets are better suited for those looking to make less frequent trades. 
• What you want to trade. As mentioned earlier, not all wallets support all types of cryptocurrencies. However, some of the best crypto wallets have the power to trade hundreds of different currencies, providing more of a one-size-fits-all experience.
• Your peace of mind. For those worried about hacking, having a physical cold wallet stored in a safe deposit box at the bank or somewhere at home, provides the safest, most secure option. Others might be confident in their ability to keep their hot wallets secure.
• How much it costs. It is important to investigate the costs associated with each wallet. Many hot wallets will be free to set up. Meanwhile, cold wallets, like any piece of hardware, will cost money to purchase.
• What it can do. While the basics of each cryptocurrency wallet are the same, additional features can help set them apart. This is especially true of hot wallets, many of which come with advanced reporting features, insights into the crypto market, the ability to convert cryptocurrencies and more. Security features can also be a good differentiator.

For a more in-depth overview of cryptocurrency wallets visit our “Cryptocurrency Wallets Explained” guide.

If you’re going to be dealing in larger volumes of crypto, investing in cold storage might prove advantageous.
Most widespead examples of this being the Ledger Nano and the Trezor.

Ledger manufactures cold storage wallets designed for users who want increased security. Their wallets are a physical device that connects to your computer. Only when the device is connected can you send your cryptocurrency from it. Ledger offers a variety of products, such as the Ledger Nano S and the Ledger Nano X (a bluetooth connected hardware wallet).

Trezor is a pioneering hardware wallet company. The combination of world-class security with an intuitive interface and compatibility with other desktop wallets, makes it ideal for beginners and experts alike. The company has gained a lot of the Bitcoin community’s respect over the years. Trezor offers two main models – The Trezor One and Trezor Model T (which has a built in touch screen).