The oracle project Chainlink has announced the debut of its NFT floor price feed service on Ethereum. This service is said to deliver the most competitive price for an NFT within a collection. The service will initially support ten different NFTs, such as Azuki, Bored Ape Yacht Club (BAYC), CloneX, Cool Cats, and others.
The company says that the floor pricing feed function in precisely the same manner as all of the other Chainlink Data Feeds. The NFT Floor Pricing Feeds are powered by Coinbase Cloud’s aggregation algorithm and Chainlink’s oracle technology. These two components work together to assist reduce severe price outliers and to make these feeds resistant to market manipulation.
Users are able to make use of the NFT Floor Pricing Feeds for use cases that are dependent on high-quality NFT data. Some examples of these use cases include lending and borrowing, on-chain derivatives, dynamic NFTs, gaming guilds, centralized finance (CeFi) products, futures markets, and much more.
Chainlink’s Data Feeds include this service as one of its components. According to the platform, using the data feeds is the easiest method to link smart contracts to observable data like asset prices, reserve balances, and L2 sequencer health.
According to Chainlink, Data Feeds use the Decentralized Data Model and Off-Chain Reporting to compile data from a wide variety of sources before publishing it on-chain.
It also features a Proof of Reserves feed, which provides the state of reserves for wrapped assets, real world assets, and stablecoins. Proof of Reserve Feeds service in a manner that is similar to that of NFT floor price feeds; however, the responses they provide are expressed in terms of units of measurement such as ounces (oz) or the amount of tokens.
