Brief Overview
Most people are familiar with RedStone, a cross-chain data oracle technology that provides fast and cost-effective data access, complete historical audit tracking, and an insurance-backed decentralized dispute mechanism that gives users recourse in cases of inaccurate data provision.
Within four days of its TGE listing on Binance, it surged from around $0.2-$0.4 to $1.45, demonstrating the usefulness of oracle protocols.
However, today we will introduce another oracle protocol: Switchboard.
The article will compare RedStone and Switchboard.
I. Introduction: Do You Know About Oracle Protocols?
1.1 Why Do We Need Oracles?
Blockchain is a closed system, and smart contracts cannot directly obtain off-chain data. Many DeFi or DApp applications require real-time data, such as:
Current token price (e.g., BTC/USD)
Random number generation (for lottery in blockchain games)
Competition results, weather, and other real-world events
Oracle protocols act like an "information bridge", securely fetching data from the off-chain world and delivering it on-chain for smart contract use.
1.2 Simple Analogy: What Is It Like?
Imagine you're playing an on-chain price prediction game with these rules:
Players bet on whether BTC will exceed $100,000 tomorrow.
This game's smart contract needs a real, trustworthy price source, otherwise it's vulnerable to attacks or cheating.
You can use Switchboard as a price oracle, obtaining real prices from CoinGecko or Binance, and feeding them to the on-chain contract to determine the winner.
1.3 Basic Information About Switchboard:
Switchboard is a permissionless, customizable, multi-chain oracle protocol for universal data feeds and verifiable randomness. By allowing anyone to push any form of data, regardless of data type, it provides a one-stop service for users and helps drive the development of next-generation decentralized applications.
Switchboard raised a total of $11 million in seed and Series A funding
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