• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Chainlink Introduces Value Recapture Solution for DeFi Protocols

user avatar

by Giorgi Kostiuk

a year ago

The oracle network Chainlink has announced the launch of a solution aimed at helping decentralized finance protocols reclaim maximal extractable value.

New Opportunity from Chainlink

Chainlink has introduced Smart Value Recapture (SVR), a solution for DeFi applications to recapture non-toxic maximal extractable value from Chainlink Price Feeds. Collaborators in the development of SVR include Aave DAO, BGD Labs, and Flashbots alongside Chainlink.

How Smart Value Recapture Works

SVR works by cutting unnecessary third-party dependencies. It also eliminates the need for intermediary smart contract integrations, leveraging Flashbots for enhanced efficiency and security. This functionality relies on Flashbots’ “Dual Aggregator” contract architecture.

Based on real-world testing, we believe Chainlink SVR can expect to achieve a realistic value recapture rate of approximately 40% (i.e., for every $100 that would have been leaked via liquidation MEV, $40 was recaptured).Chainlink Team in the blog announcement

Prospects and Implementation

Currently live on testnet, Chainlink SVR is preparing for its mainnet launch on Ethereum. A proposal for integration into Aave is being discussed, potentially providing the protocol with an additional revenue stream and supporting the economic sustainability of Chainlink's oracles. Future improvements may include increased decentralization, cross-chain capabilities, and gas efficiency enhancements.

Chainlink SVR offers new opportunities for DeFi protocols to reclaim some value lost during liquidations and maintain economic sustainability by reducing dependency on intermediaries.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Hyperliquid Faces Resistance at 30 Level Amid Recovery Signs

chest

Hyperliquid crypto is facing challenges in breaking past the 30 level despite recent recovery signs.

user avatarLuis Flores

Resistance Levels Indicate Need for Short-Term Cooling in POL Price Rally

chest

As POL approaches resistance levels, signs of hesitation and profit-taking have emerged, suggesting a potential cooling phase.

user avatarArif Mukhtar

Polymarket Expands Language Options to Enhance Global Accessibility

chest

Polymarket is testing a multilingual adaptation of its website to enhance global accessibility.

user avatarMaria Gutierrez

Polymarket Faces Market Uncertainty Amid Lack of Updates

chest

Polymarket faces market uncertainty due to a lack of updates, leaving users and investors with questions about the platform's strategic direction.

user avatarAndrew Smith

Polymarket's Multilingual Platform Tests Remain Unconfirmed

chest

Polymarket is rumored to have initiated tests for a multilingual platform aimed at global users, yet no official confirmation has verified these claims.

user avatarDavid Robinson

Grayscale's Cardano ETF Application Under Review by SEC

chest

Grayscale's application for a Cardano ETF is currently under review by the US Securities and Exchange Commission, with a decision anticipated in early 2026.

user avatarZainab Kamara

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.