Oracle attack vectors have received a lot of thoughtful treatments, probably none more so then Samczsun’s take here. In closing, he prudently advises use of TWAPs and more robust aggregation. The tradeoff with TWAPs, of course, is the lack of responsiveness that is well acknowledged in the article. The bleeding edge of financial applications require fast oracles, however, which means not only quick updates, but also no speed bumps along the way. This is why the Pyth network focuses on highly robust aggregation.
Today we’re beyond excited to introduce the Pyth Network, a next generation oracle solution designed to bring Hifi data to DeFi.
Pyth Network is being built by some of the biggest names in traditional finance and DeFi with the goal of providing the infrastructure for DeFi to support substantial growth in the market. This requires legally authorized access to unique data sets, sub-second update speeds, sophisticated outputs and aggregation methods, and a thorough incentive system to ward off spurious or malicious data breaches.
Why are we doing this?
Smarter data for smarter contracts. Pyth is designed to bring real-world data on-chain on a sub-second timescale.