WOO network uses Chainlink to customize market data on new DEX »CryptoNinjas
The cryptocurrency trading platform WOO Network today announced WOOFi, a new capital efficiency DEX supported by institutional hedging and market-making technology. Since the spring of 2021, the WOOFi Swap proof-of-concept transaction volume on BSC and Polygon has been close to 4 billion U.S. dollars, proving the effectiveness of the market-making algorithm called Synthetic Active Market-Making (sPMM).
Need for highly reliable market data
DEX relies on fine market data from the WOO network to be frequently pushed to the blockchain in order to replicate the CeFi order book on the chain.
Unlike other oracles that push updates after the price deviates from the previous price by a certain amount, WOOFi requires additional parameters, including mid-price, spread and liquidity coefficient. WOOFi also requires more frequent updates of the oracle to ensure that the DEX can operate at a 0.1% swap fee.
In addition to these demanding requirements, one must also ensure Oracle Technology Even in turbulent market conditions, it can maintain a highly consistent uptime.As a leader in the construction industry Decentralized oracle infrastructure, Chain link Very suitable to support this customized solution.
Chainlink is running Even under the worst conditions, including periods of high volatility and network congestion, it can be maintained for more than 2 years. Currently, Chainlink supports more than 600 price feeds across multiple blockchains and helps ensure tens of billions of dollars in value on the chain.
Use Chainlink to provide support for advanced oracles
So far, Chainlink has supported infrastructure and data feeds maintained by a decentralized node network run by professional DevOps in order to provide users with reliable data feeds.
These initial decentralized oracle networks (DON) show the beginning of the larger vision of the Chainlink network, where any number of DONs run simultaneously and independently of each other with their own custom design patterns, external connections, and security configurations.
WOO Network is using the Chainlink infrastructure to build its own independent DON, which includes a series of on-chain data feeds and transaction parameters derived from the WOO network itself.
By combining the experience and technical expertise of Chainlink oracles with WOO Network’s rich market data, it is possible to create customized oracles for WOOFi based on WOO Network’s institutional data and liquidity provision strategies.
WOOFi is just the first example of on-chain products that can be created using Chainlink and advanced data sets. It benefits DeFi users by providing institutional-level liquidity provision strategies, providing users with low fees, deep liquidity, and competitive prices.
Looking to the future, WOO Network will cooperate with Chainlink to provide these market pricing oracles to third-party decentralized trading platforms. These platforms may use oracle pricing to provide reliable price information for various cryptocurrencies (including WOO tokens).