cRYPTO Glossary

Airnode is an oracle node and API blockchain gateway designed for seamless integration with the API3 blockchain protocol, enabling API providers to publish their data feeds on-chain.

Explanation:

• Role: Airnode serves as a crucial component in the API3 protocol by facilitating the secure and decentralized delivery of external data onto the blockchain.
• Functionality: It connects traditional APIs with blockchain smart contracts, allowing smart contracts to fetch real-world data reliably and efficiently.
• Deployment: API providers can deploy Airnode to bridge their existing APIs with blockchain networks, ensuring data integrity and transparency.
• Decentralization: By decentralizing data oracles, Airnode enhances trust in blockchain applications by ensuring that off-chain data inputs are reliable and tamper-proof.

Key Points for Beginners:

• Oracle node: Airnode acts as a mediator between external data sources (APIs) and blockchain smart contracts, ensuring accurate data delivery.
• API integration: It enables seamless integration of traditional APIs into blockchain applications, expanding the use cases of smart contracts.
• Security and reliability: Airnode enhances the security of decentralized applications (dApps) by providing authenticated and verifiable data from external sources.
• API3 protocol: Airnode is specifically designed for the API3 protocol, which focuses on decentralized APIs to enhance blockchain functionality.