Interview & Article by Anderson Sima, Executive Editor, Foresight News
On the shores of Hung Hom, Sergey Nazarov, Co-Founder of Chainlink, flashed a thumbs-up to the audience. Active at the forefront of the blockchain industry, from New York to Singapore and Beijing, Nazarov has been a prominent figure in the space.
On October 30th, the annual SmartCon summit of the Chainlink oracle network was held in Hong Kong for the first time. During his opening remarks, Hong Kong’s Deputy Secretary for Financial Services and the Treasury, Chen Haolin, expressed his excitement about the innovative potential of blockchain and virtual assets, looking forward to further integration with the real economy.
In person, Nazarov fits the stereotype of a tech engineer, often seen in T-shirts or plaid shirts. During an exclusive interview with Foresight News, he humorously mentioned that he might appear a bit “strange” due to jet lag. Interestingly, he also has an unusual curiosity about electronic devices, often focusing on practical aspects like laptop heat dissipation on a desktop.
Nazarov’s journey with blockchain began in 2011, when the industry was still in its infancy and Bitcoin was the sole player. Initially drawn to Bitcoin as a gaming enthusiast, he soon became captivated by the decentralized philosophy behind it. He realized that Bitcoin, as a global standard that didn’t rely on corporate backing, had the potential to endure for the next 100 years—an unprecedented outlook at the time for digital currencies.
With the rise of smart contracts, Nazarov recognized the immense potential of blockchain technology. Instead of competing with emerging platforms like Ethereum, he and his team decided to build an oracle network—critical infrastructure that was missing at the time. The development of this oracle network created a bridge for smart contracts to connect with real-world data and systems, significantly expanding the use cases of blockchain technology.
Nazarov emphasized that Chainlink has played an indispensable role in the rapid growth of decentralized finance (DeFi). With Chainlink’s support, the total value locked in DeFi surged from less than $100 million to over $200 billion at its peak. The services provided by Chainlink have set the industry standard, enabling more advanced smart contracts and laying a solid foundation for the development of DeFi.
When discussing the latest technological advancements at Chainlink, Nazarov specifically highlighted the Chainlink Runtime Environment (CRE). This technology can coordinate multiple blockchain technologies, akin to how Cobalt and Java are used in the financial sector. He believes the launch of CRE marks an important milestone for Chainlink in its integration and application of blockchain technology.
Additionally, Chainlink has made significant strides in privacy technology. Nazarov mentioned privacy managers and cross-chain privacy transaction technologies, which are vital for bridging traditional financial systems with DeFi. By providing privacy protection, Chainlink enables more financial services to securely migrate to the blockchain.
Nazarov compared Chainlink’s Cross-Chain Interoperability Protocol (CCIP) to TCP/IP in the blockchain world. Just as TCP/IP unified the internet, CCIP provides a standardized connection platform for different blockchains. Through CCIP, Chainlink simplifies and streamlines cross-chain transactions and communication.
He also emphasized Chainlink’s role in advancing the standardization of blockchain technology. Nazarov believes that standardization is essential for the development of blockchain technology and a necessary step for mass adoption. Chainlink is working with regulators, financial institutions, and technology innovators worldwide to help drive this process.
“We believe that through standardization, blockchain technology can better integrate into the existing financial system and bring more value to the global economy,” Nazarov said.
On the topic of tokenization of real-world assets (RWA), Nazarov pointed out that, unlike cryptocurrencies, RWA requires proof of authenticity and existence. Chainlink’s role here is to provide the necessary proofs and authentication, allowing RWAs to be tokenized and traded on the blockchain.
Furthermore, Nazarov discussed the application of AI technology within Chainlink’s oracle network. He explained that AI is effective in converting unstructured data into structured data that machines can process. Chainlink can run multiple AI models and compare their results to reach a consensus. This AI-driven consensus mechanism is similar to how Chainlink handles price data, providing reliable data inputs for smart contracts.
Nazarov also shared his thoughts on the future development of blockchain technology. He believes that the evolution of blockchain is not just about technological iteration, but also represents a profound transformation in finance, economics, and even social structures. He envisions a more open, transparent, and decentralized world driven by blockchain technology.
“We are not just building technology; we are building a new economic model,” Nazarov said. “Chainlink’s mission is to act as a bridge between traditional finance (TradFi) and decentralized finance (DeFi), enabling seamless integration and jointly fostering global economic growth.”