Chainlink token model / tokenomics

in #chainlink5 years ago

Chainlink token price pumped 60% a few days ago after Google Cloud said they will support link. I didn't pay much attention to this token until the Google Cloud announcement. I did a little digging today and would like to share this with my readers. Here's how chainlink token works in the link ecosystem:

Chainlink is used by node operators as collateral. Node operators with more link get higher rewards. That's how chainlink gets its main usecase.

Node operators or a pool like linkpool uses chainlink to make more chainlink. You can pool your link on linkpool to get a cut from the total rewards linkpool receives.

Link doesn't have much use at the moment. Linkpool made 1629 tokens in two weeks.

Distribution of the earned $LINK from our node is complete! Just over 1629 LINK was sent to all our holders. View our ownership dashboard within our app for your exact amount.

https://twitter.com/linkpoolio/status/1140231614347317249

The price is mostly speculative at the moment. The holders are speculating on the success of link and its utility.

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