Summary

It can therefore be compared to the intermediary that connects blockchain and real-world information. Connect smart contracts with verified and trusted data sources. Binance Oracle was originally designed for BNB Chain and may be expanded to other chains in the future. Currently, all projects built on BNB Chain can use and benefit from Binance Oracles. With Binance Oracle, developers no longer need to worry about data issues and can instead focus on other important aspects of their blockchain projects.

Introduction

Blockchain oracle is a blockchain ecosystem an important part of. Without oracles, smart contracts would not be able to access any real-world data. As a blockchain oracle, Binance Oracle enables smart contracts to access the real-world data sources required by blockchain applications, ensuring smart contracts get the right data at the right time.

What is a blockchain oracle?

The blockchain oracle service is a bridge between the blockchain and the real world, allowing smart contracts to access its native network. external data. In other words, they act as a link between on-chain applications and off-chain data.

Therefore, off-chain events can be expressed as on-chain events that can be recognized by smart contracts. This information can come from all aspects of daily life, it can be token or stock prices, it can be football match results, it can even be weather forecasts.

Blockchain oracles can also verify that data is accurate, although they are not the source of the data themselves, but rather similar to the collection and An additional layer that verifies the information and transmits it to the correct destination.

In addition, with the help of blockchain oracles, people can also use blockchain in contract agreements. For example, this is how you and your friends bet on a football match: First, you both agree on the terms and lock your bet funds in a smart contract. The blockchain oracle then informs the smart contract of the match results. Finally, when the game is over, the smart contract will release the funds to the winner of the bet.

Blockchain oracles can be divided into many different types, including software oracles, centralized oracles, decentralized oracles, Input oracles and output oracles. Essentially, how a blockchain oracle works depends on the purpose for which it is built.

What is the Binance Oracle?

Smart contracts rely on oracles to deliver necessary information to them. Without the assistance of oracles, smart contracts will not be able to interact with external data. In this respect, Binance Oracle is similar to other blockchain oracles—it is a data service provided by Binance and is dedicated to providing reliable and secure on-chain data for the blockchain.

Binance Oracle is currently built specifically for BNB Chain, but it may also be applied to other blockchains in the future. In addition, all projects built on BNB Chain can use the Binance oracle service.

BNB Chain ecosystem benefits from Binance oracles in many ways. First of all, Binance Oracle, as the native blockchain oracle of BNB Chain, enhances the credibility of its blockchain data. Secondly, the data provided by the Binance Oracle is more reliable, bringing new possibilities to new and old projects.

Finally, Binance Oracle can attract new developers to join the BNB Chain ecosystem. With Binance Oracle, any developer can connect their BNB Chain-based project to off-chain data, eliminating the hassle of maintaining existing data and mining new data sources, while avoiding the risk of using unreliable data.

What solutions does Binance Oracle provide?

Blockchain projects often rely on reliable data. Binance Oracle is composed of four aspects to ensure that its data services are accurate, timely and cannot be tampered with. The following will provide an in-depth introduction to the function of Binance Oracle to connect BNB Chain with the real world.

Data source

Binance oracles use carefully selected data sources to ensure the accuracy of the information and the trustworthiness of the data sources. For example, the Binance oracle takes price data from multiple centralized exchanges (CEX) and decentralized finance (DeFi) applications and aggregates the data using a weighted average formula.

Data processing and signing

Binance The oracle has data processing and signing functions designed to prevent data from being tampered with. It uses a distributed signature system called a threshold signature scheme to sign the latest data from different sources. Any public key holder can verify the accuracy and authenticity of a digital signature, but in order to change the data, a set of private keys is required.

Data release

Data is published on the blockchain through multiple nodes that publish only signed information. The smart contracts that store data are secure and have been audited, and multiple nodes can adjust the frequency of data release according to different market conditions. This means that during periods of high price volatility, smart contracts can still obtain accurate data. Even in the most extreme situations, multiple nodes can ensure the reliability of data distribution.

Data monitoring

The independent monitoring service of Binance Oracle operates 24/7 to ensure real-time data updates. It takes price data from different data sources and compares it with published blockchain data. If major data deviations are detected, the Binance Oracle customer service team will intervene.

How to use Binance Oracle

If you have already used the block For blockchain applications, there may be no need to learn how to use the Binance Oracle as developers have already connected their applications to specific data if necessary. However, if you are a blockchain developer who needs to use Binance’s oracle, you can refer to the official manual to complete the oracle integration process step by step.

Summary

Without the oracle, the information source of the blockchain will be limited to its internal data, and its potential and possibility of widespread use will be greatly reduced. While blockchain oracles do not solve the data availability problem, they can use external data sources to transfer off-chain data onto the chain.

Binance Oracle enables smart contracts to connect to all confirmed data outside of its network, and its operational processes ensure that data is always accurate and secure and updated in real time. Binance Oracle has developed four solutions to ensure that data is accurate and reliable and is always monitored so that problems can be resolved promptly when they arise.