According to PANews, on Monday, June 3rd, a suspected software glitch in the infrastructure of the New York Stock Exchange caused the prices of several major stocks, including Berkshire Hathaway, McDonald's, and Wells Fargo, to plummet by up to 99.9%. The extreme price fluctuations led to the temporary suspension of trading for the affected securities, but trading for Berkshire Hathaway and other affected securities resumed shortly thereafter. The issue has since been resolved.
In response to this incident, Sergey Nazarov, the co-founder and CEO of Chainlink, spoke out, reminding the public that the traditional financial system, due to its highly centralized architecture, is susceptible to critical vulnerabilities. In an interview with Cointelegraph, he further explained how Chainlink's oracle network provides a solution for the inherent vulnerabilities of centralized systems.
Nazarov stated, 'The decentralized oracle network invented by Chainlink can reduce these risks by providing accurate, tamper-proof data. These networks aggregate data from various sources and use consensus mechanisms to verify information, ensuring data integrity and preventing erroneous transactions and price manipulation.' He further emphasized that integrating blockchain technology will allow for real-time verification and automatic response to anomalies, significantly improving the reliability and transparency of today's financial markets.