Chainlink Shakes Up Crypto: Onchain LINK Reserve Now Backed by Enterprise Revenue
Chainlink just dropped a bombshell—its LINK token reserves are going fully onchain, fueled by real enterprise cash flow. No more abstract promises—just verifiable, blockchain-backed value.
Why this matters: The oracle giant's move could set a new standard for transparency in crypto reserves. Suddenly, those 'fully collateralized' stablecoins look a bit... nostalgic.
The fine print: While the tech is bulletproof, let's see if Wall Street actually cares—or if they're too busy chasing the next meme coin.
Diagram of Chainlink’s Reserve explaining where the assets come from | Source: Chainlink
These funds are processed through Chainlink’s Payment Abstraction system, which converts them into LINK tokens. The converted tokens are then deposited into the Chainlink Reserve, a smart contract deployed on Ethereum.
According to Chainlink, the reserve has already accumulated more than $1.2 million worth of LINK tokens since the early stages of its launch. Because the reserves are on-chain, they are visible on Etherscan.
What Chainlink Reserve means for LINK
Unlike most firms with strategic treasury reserves, Chainlink is not publicly traded. For this reason, its accumulation of strategic reserves does not serve the same purpose as those of Strategy and Metaplanet.
These firms hold reserves as a way to give investors exposure to the reserve assets through their shares. On the other hand, Chainlink’s MOVE is geared toward boosting the price of the LINK token.
By converting revenue into LINK, Chainlink effectively ties its business performance to token demand. As revenue grows, so does the pressure to acquire more LINK tokens, creating additional demand and reducing circulating supply. This mechanism is expected to support upward price pressure on LINK over time.
