GMX, the decentralized cryptocurrency derivatives exchange, may soon integrate Chainlink’s low-latency oracles into its v2 platform. The proposal, put forward by a GMX DAO user, seeks to make GMX Chainlink’s exclusive launch partner.
The GMX v2 beta on Arbitrum, a layer-2 scaling solution on Ethereum, has already incorporated Chainlink’s low-latency oracles. The proposal, set to be voted on by GMX holders, highlights the benefits of integrating the oracles into the derivatives trading platform.
Chainlink’s Oracles Bring Key Benefits to GMX
Chainlink’s decentralized oracles offer several critical services in the DeFi and NFTs sub-sectors. The proposed integration will give GMX granular real-time market data for crypto and non-crypto markets, improving performance for traders.
The low-latency oracles are specially designed to cater to the needs of perpetual exchanges and other price-sensitive DeFi products. They are faster and more robust than standard oracles and leverage Chainlink’s broad network of decentralized nodes.
Chainlink’s Development with GMX Gives an Edge in the Competitive Landscape
Chainlink has been developing these low-latency oracles since 2022 with input from GMX developers. The approval for incorporation will give the protocol a key infrastructure solution and an edge in the competitive landscape.
A representative from Chainlink Labs also commented on the proposal, stating that the integration will harden data security, mitigate front-running risks, and make the protocol more sustainable going forward.
GMX’s Proposal Demonstrates its Commitment to Continuous Improvement
GMX’s proposal to integrate Chainlink’s low-latency oracles demonstrates the platform’s commitment to continuous improvement and providing the best possible services to its users. The GMX governance and utility token holders will have the opportunity to vote on the proposal, highlighting the decentralized nature of the platform.
As part of the deal, the DAO plans to direct 1.2% of protocol fees generated to Chainlink for the provision of their low-latency oracles. This highlights the value that GMX places on Chainlink’s technology and its importance in providing competitive services to users.
The proposed integration of Chainlink’s low-latency oracles into GMX v2 demonstrates the importance of integrating cutting-edge technology to improve platform performance and provide competitive services to users. If the proposal passes, GMX will be at the forefront of innovation in the cryptocurrency derivatives exchange space, providing users with real-time market data for improved trading.