Difference between revisions of "Pyth Network"

The network incentivizes market participants — exchanges, market makers, and financial services providers — to share directly on-chain the price data collected as part of their existing operations. The network then aggregates this first-party price data (still on-chain) and makes it available for free to either on- or off-chain applications.<ref>https://pyth.network/whitepaper</ref> End-users of Pyth data can elect to pay data fees to gain protection against a potential oracle failure as well as attract additional publishers to make the network more robust.  

[https://pythnetwork.medium.com/today-were-beyond-excited-to-introduce-the-pyth-network-a-next-generation-oracle-solution-735a27504358 Started in]: April 7, 2021

The Pyth Network has also been involved in several public events within the Solana ecosystem and DeFi. Pyth was a sponsor for the [https://solana.com/solanaszn Solana Season Hackathon] (May 15-June 7, 2020) and the [https://serum-wormhole-hackathon.devpost.com/ Convergence - Serum x Wormhole Hackathon] (January 7-31, 2021). Pyth also held its first own [https://www.youtube.com/playlist?list=PLilwLeBwGuK6TE5QuMos8a8B9uOfS2cm1 workshop] in Chicago for developers looking to learn more about Pyth and building on top of it (January 17-21, 2022). Outside of DeFi, Pyth was a platinum sponsor at the 2022 [https://www.fia.org/events/international-futures-industry-conference?utm_source=FIAWeb&utm_medium=Top FIA Boca Conference] in Florida (Mar 15-17).

==== Definitions ====

Contemporary music science introduced the concept of high fidelity to audiophiles by demonstrating the importance of minimizing all distortions in sound reproduction. Simply put, sound engineers focused on reproducing music accurately (with more granularity) on new digital mediums.

==== Network Participants ====

''Their stake is slashed and paid out to voluntarily paying users.''

==== Data Feeds ====

* '''Price and Confidence EMA:''' Pyth Network also offers an exponentially-weighted moving average (EMA) price and exponentially-weighted moving average (EMA) confidence. These values are time-weighted averages of the aggregate price and confidence. Both the EMA price and confidence are natively available from Pyth price accounts.<ref>https://pythnetwork.medium.com/whats-in-a-name-302a03e6c3e1</ref>[[File:Pyth EMA Chart.png|thumb|Pyth EMA Chart]]While conceptually not as simple as an SMA (Simple Moving Average), the EMA has a particularly simple implementation for streaming applications such as Pyth. The exponential weighting method allows the entire history of prices and weights to be represented by a single number.  Anyone can find more details about Pyth EMA [https://pythnetwork.medium.com/whats-in-a-name-302a03e6c3e1 here] and the implementation in Pyth’s [https://github.com/pyth-network/pyth-client/blob/852b991fb4403dcf23043752e3a799a40ed0133b/program/src/oracle/upd_aggregate.h GitHub]

==== Publishers ====