Markets
Chainlink could solve the current NYSE stock market problem as Berkshire Hathaway appears to be down 99%
Trading on the New York Stock Exchange (NYSE) was abruptly stopped today, after Berkshire Hathaway Class A shares saw a dramatic 99.97% drop in value. The stock last traded at $185.10, down from $627,214.90. The shutdown, coded M, was triggered due to volatility, and the cause of the sudden drop remains unclear.
In a related incident, a glitch at the NYSE operator caused volatility trading to halt at a dozen other companies, as Bloomberg reported. This follows a recent trend of technical issues affecting major exchanges. For example, on March 18, Nasdaq faced a three-hour interruption in pre-market trading due to connectivity issues with its matching engine. reported by the Bangkok Post.
The DTCC is currently in testing using blockchain technology with Chainlink for faster mutual fund settlements, but it seems the stock market needs blockchain more than it thought. Chain link decentralized oracle network could solve these problems by providing accurate and reliable data feeds. Chainlink uses multiple independent data providers to ensure data accuracy and tamper-evidence, reducing the risk of single points of failure common in centralized systems. This decentralized approach improves security and reliability, which is crucial for business systems where timely and accurate data is essential.
Chainlink oracles aggregate data from various sources and use consensus mechanisms to validate the information before it is fed into the blockchain. This process ensures data integrity, preventing manipulation or corruption. Additionally, Chainlink can provide real-time data verification, quickly identifying and correcting discrepancies to avoid erroneous transactions and price fluctuations.
Smart contracts supported by Chainlink can automate responses to certain conditions, such as large deviations in stock prices, by interrupting transactions or triggering alerts. This automation enables immediate action to investigate and resolve issues, thereby improving market stability.
By leveraging Chainlink’s decentralized oracle network, exchanges can improve transparency and trust among market participants. The decentralized nature of data flows ensures that no single entity controls the data, reducing the risk of manipulation and increasing market trust.
Ultimately, blockchain technology, particularly Chainlink’s decentralized, tamper-proof data feeds and real-time verification capabilities, could significantly mitigate the risk of glitches and erroneous exchange transactions, improving reliability and stability. global business environment.