Fringe Finance Partnership with Pyth Network
Reliable price feeds to ensure security and seamless user experience.
Fringe Finance proudly announces our partnership with Pyth Network as a price feed provider. This addition strengthens our Price Oracle Model and gives our users a reliable data source enabling them to trade confidently on our platform.
Fringe Finance is the world’s most diverse DeFi lending and margin trading platform. Available on 5 chains (Ethereum, Arbitrum, Optimism, Polygon, and zkSync ERA), we support over 70 assets at the V2 launch, enabling its token holders to Lend, Borrow, leverage their position (Amplify), and Margin Trading using their asset. You can check all these trading facilities here.
Fringe Finance was awarded an allocation from the Pyth Network Retrospective Airdrop program. This article will explain how Fringe Finance uses price feeds #PoweredbyPyth and how we plan to use the tokens awarded.
Using Pyth Price feeds
The new price oracle model introduced by Fringe Finance significantly enhances the efficiency of liquidations on its platform. It achieves this by transforming abrupt price changes into a more gradual curve, ensuring borrowers are offered better prices for their collateral in the event of a liquidation. This improvement benefits borrowers and encourages the adoption of the Fringe platform.
Pyth Network plays a pivotal role in our New Price Oracle Model. It is one of our price sources, and provides price feeds for the assets available on our platform, enabling new listing opportunities for Fringe. As it supports over 400 assets, Fringe can now safely list a wider range of smaller-cap assets that lacked this info before. In addition, Fringe can now operate on more EVM chains, enabling it to operate on those chains with less competition.
How it works:
Fringe uses Pyth’s Pull Oracle design to access the data when we need to update the value of any specific asset as part of our price processing steps. Pyth’s Oracle provides a reportedPrice, which becomes the governedPrice after applying a volatility cap rule.
Our price processing offers benefits such as reducing risks of upward or downward price manipulation and extending the time it would take to conduct an attack, making attacks less profitable for attackers and, therefore, less likely. Having Pyth as one of our price sources increases the robustness of our model.
Notably, the new price oracle model supports more efficient liquidations on the Fringe platform by reducing price discontinuations into a smoother curve to ensure borrowers receive better prices for their liquidated collateral during any liquidation event. This is designed to benefit borrowers and promote Fringe’s adoption.
The other part of our Price Model, the price procurement, is designed around two main strategies: updates triggered by user interactions and the deployment of Fringe-operated bots for updating prices. Updates are triggered by specific user activities requiring a fresh price fetch, ensuring the platform’s prices are always current. For times when there’s low user activity for a particular asset, Fringe’s bots step in to update prices, maintaining the platform’s responsiveness and accuracy. Additionally, these bots are critical in recovering from price attacks and identifying and responding to suspected market manipulations by refreshing the affected asset prices.
This approach maintains the integrity and accuracy of pricing on the Fringe platform and enhances its security against potential market manipulation, providing a robust framework for price procurement and processing.
You can find all the benefits of this model in our article here.
Pyth Network Airdrop Allocation
Given Fringe has this deep connection with the Pyth Network, we were awarded a token allocation through the Pyth Network Retrospective Airdrop program. While we are happy to receive this recognition, our main focus has always been to have the best technological setup to ensure the security and agility of our platform and a seamless experience for our users, and Pyth helps us to achieve that.
Our plans for this allocation are to incentivize adoption, liquidity provision, and the development and security of the platform! Come check out all the benefits this partnership offers on fringe.fi!
Fringe Finance links
- Website: https://fringe.fi
- App:https://appv2.fringe.fi/
- Docs:https://docs.fringe.fi/
- Twitter:https://twitter.com/fringefinance
- Telegram:https://t.me/fringefinance
Pyth Network links
- Website: https://pyth.network
- Price Feeds: https://pyth.network/price-feeds
- Docs: https://docs.pyth.network
- Twitter: https://x.com/PythNetwork
- Discord: https://discord.com/invite/PythNetwork
