Chainlink Functions: Serverless Off-chain Computation

Blockchain oracle services enable smart contracts to interact with data outside the blockchain network. This interaction is essential for the development of many decentralized applications that require real-world data. For instance, decentralized lending protocols and perpetual exchanges need the latest prices of supported assets to facilitate prompt liquidations of positions.

The demand for a secure source of external data extends beyond asset prices, as other less common or harder-to-observe data can serve as crucial inputs for the complex computation of key metrics integral to the operation of sophisticated financial products and automated financial strategies.