What is API3 (API3)?
Smart contracts often struggle to access reliable data. Application Programming Interfaces (APIs) are promoted as a solution to this problem.
API3 aims to enable the creation, management, and monetization of decentralized API versions at scale. As blockchain technology plays an increasingly vital role in the economy—from decentralized finance to supply chain management—the team behind this project believes providing smart contracts with "real-time, reliable real-world data" has never been more critical.
The API3 whitepaper, released in September 2020, highlighted the core issue with APIs: connectivity. Currently, smart contracts cannot directly connect to APIs to fetch the latest data, leading to the explosive popularity of oracles.
While oracles have partially addressed this issue, the industry now faces the "blockchain oracle problem." Oracles act as middleware between APIs and smart contracts, increasing costs and centralization. API3 circumvents this by allowing API providers to operate their own nodes.
The API3 token launched in early December after a token sale raised tens of millions of dollars.
Who Are the Founders of API3?
What Makes API3 Unique?
How Many API3 (API3) Coins Are in Circulation?
How Is the API3 Network Secured?
Where Can You Buy API3 (API3)?
FAQ
❓ What is the purpose of API3?
API3 enables decentralized APIs for smart contracts, eliminating reliance on third-party oracles.
❓ How does API3 differ from Chainlink?
👉 Unlike Chainlink, which uses external oracles, API3 allows API providers to run their own nodes, reducing centralization risks. Learn more here.
❓ Is API3 a good investment?
As with any cryptocurrency, conduct thorough research and assess market conditions before investing.
❓ Where can I track API3's price?
CoinMarketCap and CoinGecko provide real-time price data and charts for API3.
❓ How do I stake API3 tokens?
Details on staking are available on API3’s official documentation and supported exchanges.
👉 For further insights into decentralized APIs, explore this guide.