Oracle
Last updated
Last updated
Oracle is a crucial component in decentralized finance (DeFi) as it provides external data to smart contracts. Folks Finance uses an architecture that provides feeds that are:
Secure: delivered by the most trusted oracle protocols e.g. , .
Reliable: the prices, provided by multiple oracles, must be coherent i.e. not differ by more than a certain threshold.
Up-to-date: each price must have been updated within a certain time threshold.
In order to accomplish this, Folks Finance relies on:
Chainlink: a decentralized oracle network that enables smart contracts to interact with real-world data securely. It uses a network of independent oracles to fetch and verify external data, ensuring high security, reliability, and tamper-proof data inputs.
Pyth Network: a specialized oracle network designed to provide high-fidelity, low-latency financial market data to smart contracts. It focuses on delivering real-time price feeds from a consortium of leading trading firms, exchanges, and other financial institutions.