Charli3 to Integrate Oracle Feeds for Optim Labs
Optim x Charli3 Integration Announcement
Charli3 is proud to announce an Oracle integration agreement with Optim, Cardano’s innovative yield aggregator and product platform. Our technical teams will work together to ensure efficient integration and compatibility for core products as well as custom oracle feeds to realize performance and security needs.
Charli3 is the leading Plutus native provider of oracle solutions for the Cardano ecosystem. An oracle is a service that brings off-chain data into the blockchain to increase the utility and reliability of smart contracts by providing accurate and verifiable decentralized data streams from the outside world. Optim’s Yield Aggregator will be able to use Charli3’s oracle price feeds to better respond to the volatile price movements of digital assets, enabling our Strategy Vaults to react to market conditions in real time.
With an effective oracle service, Optim’s protocol is less susceptible to price discrepancies among DeFi protocols in the ecosystem and can better take advantage of profitable yield streams while waiting for liquidity pool smart contracts to find proper market equilibrium.
Oracle solutions will also benefit Optim’s recently announced Liquidity Bond Market yield product in its current and future iterations. Data streams on Stake Pool performance metrics will enable the protocol to uphold quality standards defined by their benchmarking to ensure SPO bond lenders receive an optimal and expected return on their investment. These performance evaluation metrics could be used to prematurely end contracts that fall short of meeting standards if such a case were to arise.
In the initial launch version of this yield product, Optim is limited to only writing bond contracts in the ADA base token, but by using Charli3’s live price feeds a wider range of financial instruments, such as stablecoin or native token backed bonds, will be possible in the V2 release.
Additionally, in order to efficiently handle liquidations for their eventual Leveraged Yield Farming product, Optim will aggregate the best oracle feeds in the Cardano ecosystem for reliability and redundancy purposes, which are crucial for protocol performance. Charli3, as Cardano’s premier native oracle solution, will play an integral role in this aspect of Optim’s backend system.
We look forward to a fruitful relationship with Optim as we move forward as individuals in the ecosystem and as members of the Cardano Defi Alliance.