In the dynamic and ever-evolving landscape of decentralized finance (DeFi), the need for robust and real-time data across different blockchains is paramount. Entangle's cutting-edge solution, Photon messaging, is a business-to-business (B2B) platform that addresses this necessity by ensuring seamless cross-chain data transportation and integrity, which is particularly vital for decentralized exchanges (DEXs) and other DeFi applications.
Photon Messaging: A New Era of Cross-Chain Connectivity
Photon Messaging revolutionizes the way data is handled in DeFi by offering an innovative suite of features:
Transmitters: These are programs designed to ensure a stable and secure data delivery from external chains to the Entangle oracle blockchain, providing the optimal balance between cost and data transition security.
On-Chain Data Verification: Data broadcast to the Entangle blockchain is authenticated and verified through the Controller smart contract, ensuring data integrity.
Circuits: Serving as cross-chain connection endpoints, these gateway smart contracts for Photon messaging allow easy integration into decentralized applications (dApps).
Cost-Effectiveness: Operating on the NGL model, the infrastructure is designed to be affordable without compromising on scalability.
Data Streaming: Transforming DEXs and DeFi Protocols
The traditional method of acquiring the data needed to run DeFi services use on-chain push mechanisms which require transactions and oracles that provide off-chain data to the network. These methods often face challenges in terms of speed, cost, and reliability. The ability to access real-time price feeds is a critical component for various operations in DeFi such as margin calculations, liquidations and the pricing of futures contracts and collateral.
This is where Entangle's Photon Messaging will transform the landscape. It empowers DEXs on platforms like Arbitrum to directly access the up-to-date swap rates of assets on a variety of chains, such as Ethereum's Uniswap pairs through a sophisticated off-chain push mechanism. This system not only taps into the advanced security protocols of Entangle's network but also offers a more economical and faster alternative to the existing systems.
Furthermore, the reliable on-chain price feeds provided by Entangle are especially crucial for assets that lack a stable off-chain source for oracle data. This capability of Photon Messaging can potentially enable DEXs on networks like Arbitrum to support perpetual contracts for emerging assets or to incorporate new assets as collateral.
Universal Data Feeds
At the heart of Entangle's data strategy is a sophisticated data feed and oracle solution, encompassing:
Keeper System: Off-chain programs that aggregate, sort and format data, preparing it for consensus voting on the Entangle blockchain.
Voting and Reward Mechanism: A robust system that incentivizes accuracy and penalizes errors, ensuring the reliability of data.
Data Finalization Process: This critical step involves recording data and calculating the merkle root, reinforcing the integrity and fairness of the data distribution process.
Data Distribution Flexibility
One of Entangle's most compelling features is its customizable data distribution model. This flexibility enables users to customize the frequency and type of on-chain data updates, accommodating a wide range of data types and ensuring efficient transportation across connected blockchains.
Conclusion: Entangle's Role in Advancing DeFi
Entangle, with its Photon messaging system and upcoming Lazy Messaging Protocol, is positioned to redefine the standards of data transportation and verification in DeFi. By providing a secure, cost-effective, and highly reliable data feed solution, Entangle enables DEXs and other DeFi platforms to operate more efficiently, responsively, and securely, paving the way for a more interconnected and robust DeFi ecosystem.