Original Title: "New Breakthrough in DeFi Oracle? In-depth Analysis of Pyth Network"

Original Source: TechFlow

Basic Information

Token Name: PYTH

Pyth Network is an oracle network that allows users to access the prices of cryptocurrencies, real-world stocks, and helps users understand various assets such as the latest prices of cryptocurrencies and stocks. This platform provides a special price indication service, which not only tells you the current price of an investment project, but also gives a so-called "confidence interval", which is a probability range for the accuracy of the price.

This price and confidence interval are derived by aggregating multiple data sources, which are various participants in the market, such as exchanges or other financial institutions, providing the latest and authentic market information. By aggregating data in this way, the Pyth network ensures that even if someone wants to mislead the market by false information or manipulate prices on other platforms, it is difficult to affect the aggregated price it provides. This is how it ensures the reliability of the price.

Figure 1: Pyth AUD/USD Price Feed (Pyth, n.d.)

Pyth's native token will be PYTH, which will be used to pay for updates to the oracle. The price feeds on Pyth will remain unchanged until someone pays for the update. This token will also be used for governance related issues:

·The size of the update fee

·Publisher reward distribution

·Approval of on-chain program updates

·How to list new price sources, including any reference data.

·How to grant publisher permissions

Competitors

Chainlink | Price: $15.53 | Market Cap: $893,252,853

Chainlink is a data provider oracle that allows smart contracts to access real-world data. Its latest feature, the Cross-Chain Interoperability Protocol (CCIP), provides users with a single interface for multiple blockchains. LINK, the native token of Chainlink, is used for node collateral.

Band | Price: $1.46 | Market Cap: $199,256,414

Band Protocol is also a data-providing oracle, similar to Chainlink. It can obtain real-world data and also connect APIs directly to smart contracts. Its native token, BAND, is also used for node staking.

Token Economic Model

Figure 2: PYTH release ratio process diagram (Pyth Network, 2023)

The total release period is approximately 42 months. This is a quite long period of time. It should also be noted that in May 2024 - around the next Bitcoin halving - a significant portion of the tokens will be released. Additionally, all rewards, except for those for the community and the launch, will be released at the same rate and time.

From the information they have released, a considerable portion of the Token will be allocated to the ecosystem. Specific examples are as follows:

Figure 3: PYTH Token Distribution Table (Pyth Network, 2023)

Investor

The top five investors (out of a total of 13 investors):

·CMT Digital

·Everstake Capital

·IMC Trading

·Jump Crypto

·Kucoin Labs

It is worth noting that PYTH has also received a grant of 40,000 OP from the OP Foundation.

Bullish Fundamentals

·Vela Exchange

·Unidex

·HMX

·Synthetix

欢迎加入律动 BlockBeats 官方社群：

Telegram 订阅群：https://t.me/theblockbeats

Telegram 交流群：https://t.me/BlockBeats_App

Twitter 官方账号：https://twitter.com/BlockBeatsAsia