Preface: ⏰
#Tellor is a decentralized oracle protocol that can securely provide off-chain data to smart contracts on the blockchain, narrowing the gap between the on-chain and off-chain worlds.
As of 23:30 on May 8, 2024, night report: Tellor token ($TRB ) price is currently $147.26, with a 24-hour increase of more than 30%.
1️⃣What is Tellor?
Simply put, Tellor is like an information bridge that connects the Ethereum network with data from the outside world. On this bridge, you can easily get data outside the Ethereum network, just like checking the weather on your phone.
Currently, the Ethereum network has a problem, which is like an isolated island, and it is difficult to obtain information from the outside world. But with Tellor, it is like building a bridge on this isolated island, allowing information to flow. You can use Tellor to request external data using smart contracts. For example, if you want to know the transaction data of the outside world or the information of other networks, Tellor can help you get it.
In addition, Tellor has a cool feature, which is submitting data.
2️⃣TRB
TRB is Tellor’s native token, used to encourage users to submit data. The total supply of TRB will increase with the reward for submitting data, so there is no fixed amount.
If you submit accurate data, such as providing correct weather information, you will get a reward called TRB. However, there are some requirements for submitting data, such as paying gas fees and staking some TRB to ensure that the data you provide is accurate.
In addition, TRB also plays a role in Tellor's dispute mechanism. When someone questions the accuracy of the submitted data, TRB will be used for voting arbitration. Only when the arbitration is successful can the user get the reward. At the same time, TRB is also used for the upgrade and governance of the Tellor protocol.
3️⃣Back to history:
In 2018, two developers, Brenda Loya and Nick Fett, co-founded Tellor. Their goal is simple: to solve a common problem in the blockchain world: the centralization and unreliability of Oracles. You can think of an oracle as a messenger that brings data from the outside world to the blockchain, letting smart contracts know what's happening outside. But the problem is that existing oracles are usually controlled by centralized entities, which brings risks to smart contracts.
Therefore, they set out to create a decentralized oracle network to provide accurate and reliable off-chain data for smart contracts. In 2019, Tellor was officially launched, dedicated to meeting people's demand for reliable and secure data sources, enhancing the functionality of decentralized applications (dApps) and enabling them to interact with real-world information.
As development progressed, Tellor launched its mainnet in December 2019, allowing users to access and use its decentralized oracle services. This event marked the project as one of the pioneering oracle protocols on the Ethereum network.
Since its launch, Tellor has been loved by developers and blockchain enthusiasts and has been integrated into various applications and use cases, including DeFi platforms and prediction markets. In addition, Tellor has also established partnerships with other blockchain projects to provide more powerful oracle solutions.
4️⃣Starting point:
TRB’s initial surge began in September 2023. According to data at the time, the price of $TRB began to rise significantly on September 7, soaring from more than a dozen US dollars to a maximum of US$45 within a week, and finally exceeded US$60 at the end of September, with a monthly increase of 275%.
5️⃣How it works:
The operating principle of Tellor is quite simple and easy to understand. It uses a group of decentralized miners to provide external data to smart contracts on the blockchain, which is its core model.
When a smart contract needs external data, it sends a request to the Tellor oracle network. Then, miners compete to provide the data required for this request, and the first miner to submit the correct data will become the winner. This data will then be verified by the network and stored on the blockchain in a secure and unalterable way.
In order to motivate miners to provide accurate and timely data, Tellor has set up a reward system. Reporter needs to stake a certain amount of TRB tokens before initiating data requests, and can only get more TRB token rewards after providing accurate data. At the same time, if the data provided by the reporter is inaccurate or the deadline is missed, it will be punished. This ensures that the data provided to the smart contract is reliable and trustworthy.
In addition, Tellor uses a special hash function called "Tributes". It includes the block hash, the reporter address, and the request ID to create a unique identifier for each data request. This helps prevent miner collusion and ensures that each data request is processed fairly.
6️⃣Tellor’s main features:
As a data transmission and protection platform, Tellor has several major functions:
●Reliable data transmission:
Tellor is committed to providing reliable data transmission to ensure that the data obtained by smart contracts is accurate and reliable. This function is achieved by incentivizing miners who provide accurate data and punishing miners who submit incorrect or delayed data. In this way, data can be prevented from being manipulated or maliciously tampered with, ensuring the reliability and security of the data.
Data security:
Data security is Tellor's top priority, and it has taken a variety of measures to ensure the security and immutability of data. One of the key measures is to use on-chain storage to ensure that data cannot be modified or deleted once submitted, thereby effectively preventing data tampering. In addition, through the unique hash function Tributes, Tellor prevents miners from colluding, ensures fair processing of each data request, and further improves the security and reliability of data.
●Multiple data sources:
Tellor supports multiple data sources and can flexibly access a variety of off-chain data. This includes various sources from APIs to IoT devices. Such diversity not only improves the flexibility of data, but also ensures data redundancy. Even if one data source has problems, accurate data can still be obtained from other sources.
●Partnerships and Integrations:
Tellor has partnered with numerous industry-leading projects and platforms and implemented multiple integrations. These partnerships allow Tellor’s services to be seamlessly integrated into a variety of smart contracts, enabling access to a variety of off-chain data sources. Some of the partners include DeFi platforms such as Aave, Curve Finance, and Balancer, as well as other blockchain projects such as Chainlink and Polkadot.
Through these partnerships and developer resources, Tellor is poised to continue to expand its impact across a variety of industries and use cases.
7️⃣Future Outlook
Tellor (TRB) is a promising project, especially for investors who are interested in the future of blockchain technology. It is a groundbreaking project that brings innovation to the blockchain industry.
Tellor's decentralized oracle network is what the industry needs right now, allowing smart contracts to access off-chain data in a secure and reliable manner. Its low-cost data transfer capabilities are a unique and valuable addition to the DeFi ecosystem, providing a decentralized alternative to centralized oracle services. Moreover, Tellor's use of multiple data sources and its ability to handle complex data sets give it a unique advantage over other oracle solutions on the market.
In addition, Tellor has established partnerships with a growing number of leading DeFi platforms and blockchain projects, demonstrating its ability to become an important part of the broader blockchain ecosystem. With a dedicated development team and a growing community of supporters, Tellor is well positioned to continue to drive innovation and development in the DeFi space.
8️⃣Summary:
For those who want to invest in the future of blockchain technology, Tellor is a project worth looking forward to. Although TRB has risen a lot, investment always comes with risks, and investors need to carefully evaluate risks and market performance.
Tellor is like opening a door to the Ethereum world, allowing it to communicate more freely with the outside world. TRB, as the key to this door, is also constantly injecting new energy into the development of Tellor.