Synbit Using Chainlink Oracles on HECO Mainnet to Price Synthetic Assets
We are excited to announce that Synbit has integrated Chainlink, the market-leading decentralized oracle network, on the Huobi ECO Chain (Heco) mainnet to obtain prices on all collateral and synthetic assets available on the platform. Chainlink’s widely used Price Feed Oracles allow our smart contracts to accurately price collateral used to mint synthetic assets, consistently check the collateralization of synthetic assets, and set fair market exchange rates for synthetic asset swaps.
In order to secure all forms of collateral offered on Synbit, we will start out by leveraging the following Chainlink Price Feeds: SYN, HT, HUSD, USDT, and MDX. Additionally, to price all synthetic assets offered on Synbit, we will use the following Chainlink Price Feeds: USD, EURO, XAU, WTI, BTC, and ETH.
Synbit is a synthetic asset protocol, where users supply collateral to mint synthetic assets and can then swap between synthetic assets seamlessly. Synthetic assets are collateralized tokens that are tied to the value of other underlying assets (e.g., synthetic gold is tied to the real-world price of gold). Everytime a user mints a synthetic asset, swaps between synthetic assets, burns a synthetic asset to obtain their original collateral, or gets liquidated for failing to keep their position fully collateralized, a Chainlink Price Feed is needed to execute these on-chain functions.
We selected Chainlink as our go-to oracle solution to secure the entire Synbit platform because it has an unparalleled history of providing secure and reliable oracles to leading DeFi protocols. Chainlink Price Feeds are already relied on in-production to secure over $15B in USD value, serving as a testament to their ability to protect smart contracts responsible for substantial amounts of user funds. Some of the main features offered by Chainlink Price Feeds include:
- High-Quality Data: Chainlink sources price data from numerous premium off-chain data aggregators, providing extensive market coverage across all trading environments as a means of ensuring that Synbit data is accurate and protected against any single or small set of exchanges going offline, posting inaccurate prices, or being manipulated by flash loans.
- Secure Nodes: Chainlink Price Feeds are secured by numerous independent, security reviewed oracle nodes run by leading blockchain DevOps, generating both Sybil-resistance and reliable service quality.
- Decentralized Security: Each Chainlink Price Feed is decentralized at the oracle node and data source levels, leading to tamper-proof and hyper-reliable data feeds at all times.
- Blockchain Agnostic — Chainlink Price Feeds are running live and natively on the Heco mainnet, providing for a seamless integration that operates at the speed and cost of Heco without cross-dependencies on other blockchains.
Synbit Co-founder Edward says “By offloading our oracle mechanism to Chainlink, we were able to provide users with strong assurances on the precision, security, and reliability of the price feeds used in virtually every on-chain function on Synbit. Ultimately, this allowed us to accelerate the launch of Synbit on Heco without sacrificing at all on the quality of our oracle system.”
We look forward to additional opportunities to leverage Chainlink in the future, particularly as a means of launching support for more collateral and synthetic asset options. This will ensure Synbit can easily scale to support increasing consumer demand.
Chainlink is the most widely used and secure way to power universally connected smart contracts. With Chainlink, developers can connect any blockchain with high-quality data sources from other blockchains as well as real-world data. Managed by a global, decentralized community of hundreds of thousands of people, Chainlink is introducing a fairer model for contracts. Its network currently secures billions of dollars in value for smart contracts across the decentralized finance (DeFi), insurance and gaming ecosystems, among others.
Chainlink is trusted by hundreds of organizations to deliver definitive truth via secure, reliable data feeds. To learn more, visit chain.link, subscribe to the Chainlink newsletter, and follow @chainlink on Twitter.
Synbit (website: https://www.synbit.io), the first synthetic asset platform that realizes multi-asset pledge, and will achieve a fairer all-ecology incentive model, a better and safer clearing mechanism, and more diversified transaction varieties. Synbit will provide high efficiency/low cost and seamless experience based on HECO.