Link math

>Node operators are paid in the currency the smartcontract specifies. LINK has no value

Lets remember that what is cool about LINK is that is creates Trustless Oracles. This means that nodes are financially incentived to provide accurate data.

>$80T in bonds (low estimate)
>at 3% average interest, $2.4T in interest payments yearly
>ChainLink captures 10% of the bond payment market... $240B yearly
>LINK is 100% staked in nodes. All nodes have equal reputation
>Those who pay out bonds demand 100% collateral
>1 node at 100% collateral is equal to 10 nodes at 10% collateral
>$240B is yearly payments means $657MM per day
>Assume average contract life is 1 day
>1B LINK securing $657MM worth of volume per day means 1LINK is worth $0.657.

This is essentially the bottom floor. This is at 10% of bond payments and nothing else. This doesn't factor in other use cases or ROI of running a node.

Other urls found in this thread:

chainlink-docs.smartcontract.com/#anatomy-of-an-assignment
twitter.com/SFWRedditImages

Link will be the first intergalactic currency

Assuming that all 1B tokens are staked. The amount staked vs. the amount being traded? So many unknowns.

yes. Assuming the only use of the token is to stake as collateral and so the only use to buy would be to enter the market in order to undercut someone else's fees.

I'm ignoring speculation value and looking for the price floor.

From white paper:
5.5 LINK token usage
The ChainLink network utilizes the LINK token** to pay ChainLink Node operators
for the retrieval of data from off-chain data feeds, formatting of data into blockchain
readable formats, off-chain computation, and uptime guarantees they provide as operators.
In order for a smart contract on networks like Ethereum to use a ChainLink
node, they will need to pay their chosen ChainLink Node Operator using LINK tokens,
with prices being set by the node operator based on demand for the off-chain resource
their ChainLink provides, and the supply of other similar resources. The LINK token
is an ERC20 token, with the additional ERC223 “transfer and call” functionality
of transfer(address,uint256,bytes), allowing tokens to be received and processed by
contracts within a single transaction.

nice quick mafs op

So what happens when all the tokens are paid out? Or are they expecting the price per token to be so high that the 350MM they have stored will be enough since each token is divisible?

prolly

chainlink-docs.smartcontract.com/#anatomy-of-an-assignment

I understand that this was the intention but their updated documentation seems to contradict this.

I think the difference is when it comes to external adapters vs. core adapters?