Oracles
The Price Oracle is a critical component of Elara Protocol, playing a vital role in determining the prices of collateral assets, which in turn influence borrowing capacities and liquidation decisions.
eOracle Integration
Elara Finance selected eOracle as its primary oracle provider to support rapid integration of new markets including BTCfi, LRTs, and Liquid Staking Tokens (LSTs). With $10.5B in staked assets and 130 oracle validators, eOracle brings Ethereum shared security to DeFi oracle infrastructure. This approach addresses previous oracle-related challenges in the space, while aligning with Elara Finance's security requirements and growth strategy. As protocol owners, Elara Finance participates in eOracle governance, helping shape decisions that benefit its user base.
Key features of eOracle
Real-Time Price Feeds: Elara Finance utilizes eOracle's data feeds to maintain current pricing across all supported assets, including newly integrated markets.
Enhanced Security: eOracle combines cryptoeconomic security through its staked assets and validator network with cybersecurity monitoring, providing price feeds with integrated risk assessment.
Decentralized Oracle: eOracle eliminates traditional oracle middlemen by connecting validators directly with dapps. This creates a more efficient market where validators and applications can interact freely, resulting in cost-effective, high-quality data delivery.
User Benefits
Data Reliability: Direct validator-to-protocol relationship ensures consistent price feed accuracy
Native Security: Leverages Ethereum's underlying trust mechanisms
Risk Management: Integrated security monitoring helps protect user assets
Transparent Operations: Large validator network operating on public infrastructure
Strategic Outlook
Elara Finance and eOracle are developing their partnership to support emerging data feeds, inclusing new wrapped assets and LRTs, focusing on maintaining security and reliability while expanding market coverage.
API3 integration
Elara Protocol has integrated API3 as its price oracle solution. API3 is a leading decentralized oracle network that provides secure and reliable real-world data to blockchain applications.
Key features of API3 in Elara
Decentralized Data Feeds: API3 utilizes a network of first-party oracles, ensuring that data comes directly from authoritative sources, enhancing accuracy and reliability.
Real-Time Price Updates: Elara leverages API3's real-time price feeds to access up-to-date market prices for tokens, enabling precise valuation of collateral assets.
Enhanced Security: API3's decentralized architecture minimizes single points of failure, protecting Elara against potential oracle manipulations or failures.
Wide Asset Coverage: API3 provides price data for a broad range of assets, allowing Elara to support diverse collateral types, including major cryptocurrencies and emerging assets.
Scalability: As Elara grows, API3's scalable infrastructure ensures consistent performance and data availability.
Benefits for Elara users
Accurate Collateral Valuation: Users benefit from precise and timely asset valuations, ensuring fair borrowing limits and liquidation thresholds.
Reduced Risk: The reliability of API3's data feeds minimizes the risk of incorrect pricing, protecting users from unfair liquidations.
Transparency: API3's open-source nature allows for community verification of the oracle's operations.
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