THORChain unveils Enshrined Oracles, aspiring to enhance price precision and fortify protocol reliability.

THORChain unveils Enshrined Oracles, aspiring to enhance price precision and fortify protocol reliability.

Say hello to THORChain's latest trick, the "Enshrined Oracles"! No longer relying on external sources for market prices, this fantastic new feature has been seamlessly integrated into THORChain's main framework.

So, what are these Enshrined Oracles? They're THORChain's homegrown pricing solution - snug as a bug in the core protocol! By pulling, crunching, and verifying pricing data within its very own network, THORChain is gunning for a fairer, more robust system - one that's less vulnerable to manipulation.

Here's a lowdown on how it all works:

1. Data gathering from trustworthy sources: Each THORNode grabs pricing data for certain trading pairs from five top-notch centralized exchanges. The selection is based on volume and credibility to ensure reliable information.
2. Gotta weigh 'em: Once the data is in hand, each node calculates a volume-weighted average price. This method gives extra emphasis to high-volume exchanges, resulting in numbers that reflect the true market situation.
3. Out with the outliers: Any prices that are way out of line are easy-peasy trailblazers – they get automatically booted! This keeps garbage data at bay and helps the network resist manipulation attempts.
4. Peer-to-peer data sharing: Each node inks its final price and passes it along to fellow nodes via a peer-to-peer gossip protocol. This allows for network-wide cross-verification without any centralized oversight.
5. The collective agreement: Once the majority agrees on the price, it lands on the blockchain for all to see and utilize! The process runs every block, keeping everything fresh and up-to-date.

To ensure integrity, THORChain's protocol lays down some strict rules: Nodes that don't cooperate are faced with penalties, while those who intentionally submit dodgy information risk getting slashed – hard! This encourages honest behavior and technical diligence, aligning node operators' interests with the protocol's well-being.

A Leap Toward Self-Reliance The move to enshrine oracles represents a broader step toward protocol-level self-reliance – a departure from relying on modular or plug-in infrastructure and a preference for homegrown, vertically integrated systems. This parallels a growing trend in DeFi, as protocols seek to internalize key components to boost security and performance.

So, what's next for THORChain? The community is invited to discuss staking mechanics, liquidity incentives, and expanded asset support, but one thing is clear: THORChain is no longer just rolling with the punches – it's writing the rules!

1. THORChain's latest feature, Enshrined Oracles, functions as a homegrown pricing solution within the core protocol.
2. By sourcing, processing, and verifying pricing data internally, THORChain aims to create a fairer and more robust system resistant to manipulation.
3. Each THORNode collects data for trading pairs from credible centralized exchanges and calculates a volume-weighted average price.
4. Prices that deviate significantly are eliminated to maintain the network's integrity and resist manipulation attempts.
5. Peer-to-peer data sharing through a gossip protocol enables network-wide cross-verification without centralized oversight, and once a majority agrees on the price, it gets recorded on the blockchain.
6. To maintain integrity, the protocol imposes penalties on non-cooperative nodes and risks slashing nodes that submit fraudulent information, fostering honest behavior and technical diligence. This transition toward self-reliance mirrors the broader DeFi trend of internalizing key components for enhanced security and performance.

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