EigenLayer New Oracle Vision: These Three Giants Collaborate for the Next Generation Oracle

EigenLayer New Oracle Vision: Partnering with UMA & Polymarket for the Oracle

Together, EigenLayer, Polymarket, and UMA are investigating the creation of an oracle system of the future. EigenLayer’s infrastructure will be utilized by the new oracle, which may make use of the EIGEN token and its restaking mechanism to facilitate safe and scalable data transactions. This partnership may be an important step in improving blockchain data solutions.

We’re working with UMA protocol and Polymarket to research a next-gen oracle utilizing the intersubjective security uniquely enabled by EigenLayer and the EIGEN token,

EigenLayer

New Oracle Innovation: How Ethereum Stakers Could Secure Prediction Markets?

In a blog post, UMA stated that the partnership aims to improve prediction market oracles’ dependability and functionality so they can manage a variety of situations as markets develop and change. According to the explanation, the three teams are developing an oracle that will enable prediction markets to scale both oracle capacity and economic security while more closely coordinating dispute resolution with their community.

With Ethereum’s financial support, the news would suggest that ETH stakers would choose to secure this oracle, enhancing its security. According to EigenLayer, the oracle would employ intersubjective truth, or truths that are accepted by the community, as opposed to strictly objective information like mathematical proof. This seems to fit prediction markets quite nicely.

What is Oracle? How Does It Work in the Blockchain Ecosystem?

An oracle is a mechanism used in blockchain ecosystems that transfers real-world data, like pricing or event outcomes, onto the blockchain for use by smart contracts. Oracles are used extensively by prediction markets such as Polymarket to settle wagers by establishing the veracity of an occurrence. Currently, Polymarket, a decentralized prediction market platform where users trade on the results of actual events, settles markets using UMA’s Optimistic Oracle, but it is looking to expand its functionality.

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