Band is certainly one of Chianlink’s fundamental opponents within the oracle area that’s primarily based on Cosmos know-how. In a current Cointelegraph interview, Soravis Srinawakoon, the CEO of Band Protocol, mentioned:
“When you have a look at Chainlink, one knowledge request proper now can take virtually $450 as a result of somebody must submit the request knowledge to ask for the info. As an example 20 knowledge suppliers must obtain that, reply to that with 20 transactions, after which the aggregation contract to do all of the computation earlier than returning the ultimate consequence, all of those require quite a lot of gasoline.”
Srinawakoon additionally provided a hyperlink to Chainlink’s Ethereum (ETH) contract to help his declare. If we look at a more moderen interplay with the identical contract, the fee appears to be even increased — $563.74. We requested Chainlink to answer these claims, their spokesperson informed Cointelegraph:
The hyperlinks don’t reference a request from a person that’s attempting to entry a feed. These are the general prices for a number of oracle nodes making a feed replace that’s shared by many customers, throughout a particularly excessive gasoline charge interval that’s distinctive and atypical.
Additionally they added that this demonstrates that Chainlink is ready to function efficiently “even in occasions of excessive gasoline prices and excessive gasoline charge spikes” and “we’re presently finishing <…> implementation of Threshold signatures. This answer reduces sure prices for securely operating an oracle community by as a lot as 1500X.”
Srinawakoon believes that low charges is simply one of many benefits that Band holds over its fundamental competitor, moreover noting higher interoperability (he talked about that Band oracles are already obtainable on Waves, TRON (TRX) and ICON) and decentralization.
Srinawakoon mentioned that decentralized incentives are constructed into Band on the protocol layer. Information suppliers should stake Band tokens (they’re presently staking $500-600 million value of tokens based on him), which additionally implies that in the event that they misbehave, they may very well be punished financially. That is much like the way oracles built by EMURGO and ERGO for the Cardano ecosystem function.
Srinawakoon admitted that up till now, Chainlink has been dominating the Ethereruem ecosystem, however mentioned that that is about to alter:
“And in case you have a look at Band earlier than, we truly have been fairly weak within the Ethereum ecosystem as a result of Chainlink has been dominating in that area. <…> I feel that is going to mark the start of us actually going into the Ethereum ecosystem, and we’ve been working with quite a lot of these main DeFi <tasks> on prime of Ethereum as effectively.”
A Chainlink spokesperson informed Cointelegraph that there are profound causes for why Band has not loved an identical degree of success on the Ethereum community:
Compared to Band, additionally it is essential to notice that their occasion on Ethereum had as much as 5 days and not using a value knowledge replace, that means that the info was dangerously out of sync with actuality. This is likely one of the a number of the reason why whereas they have been on Ethereum, there wasn’t a single stay person that was keen to tie their safety to Band’s oracles on the Ethereum community.
The DeFi area has grown by leaps and bounds this yr, pushing the worth of Ether and creating demand for oracalized knowledge suppliers like Chainlink and Band. But, as Ethereum gas prices rise, the competitors between oracle suppliers is heating up as effectively.