Deutsche Telekom AG, Europe’s largest telecommunications company by revenue, is now one of the main data providers to Chainlink – the omnipresent oracle service on which decentralized finance (DeFi) relies.
Not only that, Deutsche Telekom subsidiary T-Systems Multimedia Solutions (MMS), says it has begun staking on the Flow Network, the ultra-scalable proof-of-stake (PoS) blockchain from CryptoKitties creator Dapper Labs, and has plans to begin staking on several other chains in the near future.
Yes, Deutsche Telekom is providing DeFi data support, and has quietly gone beyond helping with the infrastructure of PoS blockchains and actually started custodying, staking and earning crypto rewards.
But lumbering telco giants are meant to be mired in enterprise blockchain proofs-of-concept, or stuck doing rather dull blockchain-as-a-service cloud offerings, right?
“We started roughly five years ago, like everyone else, doing all those enterprise blockchain proofs of concept,” said Andreas Dittrich, head of the Blockchain Solutions Center at Deutsche Telekom. “But we gradually began to feel we were not focusing enough on public blockchains.This is where digital value will be moved in the future, and it’s really where a telco should be active.”
T-Systems announced it was going to run a Chainlink node back in summer of last year, right around the time DeFi basically exploded. Since then, it’s been “a hell of a ride,” admits Dittrich.
“We were really jumping into something new, providing public blockchain infrastructure and having a token-natured business model on top of that,” he said. “So, of course, we started really small, with few data feeds. But then scaled rapidly, and by now, I think we are among the top three data providers at the moment on the Chainlink network.”
Chainlink’s system of data feeds, known as oracles, pipe information into the blockchain world of smart contracts, eliminating reliance on any single, centralized source.