Hello HydraDX Council,
The proposal which follows is to integrate DIA oracles into HydraDX, enabling HydraDX to leverage robust, accurate, and verifiable price feeds for its on-chain money market. The integration will be specifically advantageous for fostering growth and adoption of the HydraDX money market due to DIA’s unique strengths of supporting ecosystem-native assets, which will empower HydraDX to create money markets for Polkadot-native assets.
What is DIA:
DIA is a cross-chain oracle provider that enhances data transparency, customization, and accessibility. With a unique architecture that aggregates raw trade data directly from first-party sources, namely centralized and decentralized exchanges, DIA offers 100% source transparency and bespoke customization.
This enables the provision of price oracles for over 2,500 cryptocurrency tokens, including Liquid Staked Tokens and more unique assets, with the ability to customize each feed for specific protocols and use cases.
DIA oracles have played a key role in driving innovation and growth for dApps on 41 layer 1 and layer 2 blockchain networks, and have proven to be an integral component to the success of many thriving blockchain ecosystems.
What Problems DIA Solves and the Benefits:
Data Transparency: Different from other oracles, DIA’s architecture is unique in that data is sourced on a first-party level, directly from 80+ centralized and decentralized exchanges, instead of relying on premium data providers. This sourcing methodology enables end-to-end, 100% transparency about the origin of data on the individual exchange level, solving the issue of data opaqueness and providing HydraDX and its users with complete transparency regarding data sources.
Learn more about DIA’s data sourcing here
Data Customization: DIA's granular data scraping enables the creation of tailor-made data feeds to meet the specific needs of HydraDX. This solves the problem of one-size-fits-all data feeds and allows HydraDX developers to customize the parameters of the HydraDX dedicated oracle including data sources, data cleansing filters, pricing and computational methodologies, update mechanisms and more.
Support for More Assets than Traditional Oracles: DIA's ability to construct price feeds for crypto assets traded on any of DIA’s supported DEXs and CEX’s, so long as they meet DIA's liquidity, volume, and sources criteria, addresses the problem of limited data availability for less commonly traded assets.
This benefits the users of HydraDX’s money market by expanding the range of supported assets on the network, especially with regard to supporting Polkadot-native assets.
What Services DIA Will Provide:
DIA will deploy, monitor, and maintain 10 market-based price oracles for HydraDX’s on-chain money market. The assets which will be initially supported are: WBTC, WETH, DOT, VDOT, and the remaining 6 assets will be added upon request.
Assessment of Services Provided:
DIA has conducted a thorough assessment of the oracle requirements for the deployment of a money market on HydraDX in collaboration with the Intergalactic Limited team.
Integration Cost:
The integration entails a 1-time integration fee of $19,887.50 in HDX. The funds will support the deployment of DIA's oracle smart contracts onto HydraDX, and the development of a HydraDX feeder to deliver the asset prices on-chain.
Monthly Cost and Service Period:
The monthly cost to maintain the oracle infrastructure is $3,762.50 in HDX. These funds support the long term monitoring, maintenance, and live support with regard to DIA’s institutional-grade oracle infrastructure for the HydraDX money market.
Timeline, Payment and Duration:
After successful approval of the proposal, we estimate an integration time of no more than 4 weeks including testing. The integration cost will be due on the day of approval of the proposal. The monthly cost will be due on the first day of each month after the deployment, over a period of 24 months.
Payment is conducted in HDX equivalent to the USD value. The USD equivalent of each HDX delivered shall be equal to the close price of HDX on the day before each payment is due. The source for the closing price will be based on the Coingecko price UTC time zone EOD. Further prolongation of the infrastructure and associated monthly costs would require new approval from the HydraDX community after the end of the Service Period.
The following funding address will be used to receive all HDX payments:
7JKXHdpVz3EL4bH4mKGjRLYu8NAc2xctRkEr7xYqobA6T2p1
Dear Hydration Council and Community - A Quick Update:
As suggested by the Hydration team and to remain aligned with the standard OpenGov tip request metric, the HDX conversion rate for retroactive tip requests moving forward will be based on the 7-day EMA of HDX, rather than the single-day closing price previously proposed. The EMA will reference the 7D EMA HDX price reported on Subscan
Since it is an essential step to have lend & borrowing, I believe it is an integration that will be worth the money spent
so Im aye