How does a lending protocol know how much your collateral is worth?
First, a definition: smart contracts themselves cannot directly access off-chain data, such as token prices or match results. Oracles write this data to the blockchain.
How it works: Using the spot price from a single DEX pool as a price feed is risky. When the pool is small, a single flash-loan transaction can skew the price.
$LINK is the token of the decentralized oracle Chainlink. Currently 10.408.
Don't put all your funds into one project.
These are just opinions for discussion. You are responsible for your own gains and losses.
First, a definition: smart contracts themselves cannot directly access off-chain data, such as token prices or match results. Oracles write this data to the blockchain.
How it works: Using the spot price from a single DEX pool as a price feed is risky. When the pool is small, a single flash-loan transaction can skew the price.
$LINK is the token of the decentralized oracle Chainlink. Currently 10.408.
Don't put all your funds into one project.
These are just opinions for discussion. You are responsible for your own gains and losses.
