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Chainlink Establishes Onchain LINK Token Reserve

source-logo  news.bitcoin.com 07 August 2025 12:50, UTC
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On Thursday, Chainlink announced the creation of the Chainlink Reserve, an onchain repository of LINK tokens funded by network revenue to support long-term growth.

Chainlink Reserve Holds $1M+ LINK, Aims to Grow

The reserve accumulates LINK tokens using offchain payments from large enterprises adopting Chainlink services and fees from onchain usage. This process relies on Payment Abstraction infrastructure introduced earlier in 2025.

Payment Abstraction reduces friction by allowing users to pay for Chainlink services in various forms, like stablecoins or gas tokens. These payments are then programmatically converted into LINK via Chainlink services and decentralized exchanges for deposit into the reserve.

Demand for Chainlink services, primarily from large enterprises paying offchain, has already generated hundreds of millions of dollars in revenue, the company stated. The reserve currently holds over $1 million worth of LINK accumulated during its initial phase (contract address).

Chainlink expects the reserve to grow gradually in the coming months as more revenue is converted into LINK. No withdrawals are anticipated for multiple years. An analytics dashboard at reserve.chain.link provides public visibility into the reserve and circulating LINK supply.

Chainlink co-founder Sergey Nazarov stated that the reserve connects offchain revenue and institutional adoption directly to the network’s growth and sustainability. The company believes increasing industry demand will further expand the reserve.

news.bitcoin.com