Update on DEX aggregated oracle
- The GitHub repository has been moved: https://github.com/pythia-oracle/pythia-library.
- I’ve identified a way to manipulate the oracle’s prices: adding a large amount of liquidity to a pool with an inaccurate price, updating the oracle, then removing the liquidity all in one transaction. To remedy this attack vector, we need resilient liquidity feeds. As UniswapV2 and Sushiswap don’t have liquidity accumulators/oracles, I’ve begun creating my own.
- The aggregated oracle now uses the weighted harmonic mean rather than the weighted arithmetic mean as the harmonic mean is a better reflection of the asset’s true price.
- I’ve created a GitHub organization and an npm repository organization that will host this project’s code.
Other than that, I’ve begun exploring research on the topic of asset pricing in markets with volatile liquidity. This topic is very important for people wanting to borrow against illiquid assets.
I’ve also narrowed down the mission of Pythia: to provide the most reliable, accurate, and trustless fully on-chain market data feeds for crypto assets.