RedStone Oracles to launch GHO Price Feed

[mattgurbiel]

PROPOSAL
To recognise RedStone as an official Oracle Provider for GHO Price Feed.

BACKGROUND
The upcoming mainnet launch of GHO means the start of DeFi activities based on top of it. At RedStone we are eager to cooperate hand-to-hand with Aave DAO Contributors on enabling maximal DeFi usage of GHO. Therefore, following the official GHO Mainnet Launch Proposal, we would like to express our willingness to support Aave as an official Oracle Partner in creating the Price Feed for GHO.

VALUE REDSTONE BRINGS TO THE TABLE
Covering wide DeFi use cases
With RedStone, the implementation of GHO Price Feed can be tailored to the needs of Lending, CDPs, Yield protocols, Options and other novel instruments. dApps will be able to consume the feed in 3 different models:

• Core model (On-Demand): data is dynamically injected into users’ transactions achieving maximum gas efficiency and maintaining great user experience as the whole process fits into a single transaction.
  Best for: most use cases, especially when frequent price updates are needed. Cross-chain out of the box.

• Classic model (Push): data is pushed into on-chain storage via decentralized and permissionless relayers. Dedicated to protocols designed for the traditional Oracles model + getting full control of the data source and update conditions (dApp contracts and relayer operators specify heartbeat & deviation threshold). Chainlink-familiar interface, no need to change the code.
  Best for: well-established protocols wanting to start using the GHO Price Feed immediately or other protocols wishing to stick to the traditional oracle interface.

• X model (No Frontrunning): targeting the needs of the most advanced DeFi protocols by eliminating the front-running risk through offsetting the delay between the user’s interaction and the Oracle price update
  Best for: Perpetuals, Options, Derivatives and every other use case where frontrunning is a serious risk (basically every protocol offering high leverage).

The Price Feed remains the same in all 3 models - it’s entirely up to the DeFi protocol to choose which one will be most suitable for their particular use case.

Broad chain coverage
Apart from standard ones (Ethereum, Arbitrum, Polygon POS, Optimism, BNB, Avalanche etc.) with RedStone, GHO will be available on all of the popular new chains, such as:

• zkSync Era
• Polygon zkEVM
• Avalanche Subnets
• Scroll
• Fuel Network
• Starknet

and many more. This makes it possible for the DeFi based on GHO to flourish, starting from mainnet day one on multiple chains.

Existing network of Partners
We are already in talks with protocols interested in consuming the GHO Price Feed with RedStone Oracles, such as Sommelier, Sturdy, DeltaPrime and many others. Our goal is to work towards high DeFi utilisation of GHO and promote the usage of the feed among +150 DeFi protocols that we have a strong relationship with.

ADDITIONAL NOTES
This partnership is not exclusive - we are aware that the community will probably also want to have a Chainlink Price Feed for GHO, which is natural and logical for us. We believe that the more choice for the protocols wishing to integrate GHO, the better. We are also convinced that the flexibility we bring to the table is a great value added on top of a traditional oracle integration and for the interested protocols it unlocks many new opportunities for building DeFi based on GHO.

CONCLUSION
We are fully committed to building an entirely dedicated solution for Aave including custom Heartbeat and Deviation Threshold parameters, chain-specific and use case-specific Price Feeds for GHO, risk mitigation mechanisms, i.e. dealing with lower liquidity on some of the new chains and much more. Additionally, we plan to be in close contact and at the disposal of Aave’s risk analysis Partners and keep on building a long-lasting relationship. We are opening up the discussion for the DAO and are happy to answer all questions.

LINKS
Website
Data Feeds
Docs
Classic Model
Core (On-Demand) Model
X Model
Angel Round Announcement
Seed Round Announcement

[MarcZeller]

Hello, in the eyes of the Aave protocol (as facilitator) GHO is oracle-less.

GHO oracle needs will be for third-parties protocols willing to use GHO as collateral or integrate it and it’s up to them to pick their own oracle solutions.

I do not think that should be something that the Aave DAO should focus on, until there’s a will to onboard GHO as collateral in some Aave Pools.

also, if this post intent was to create a proposal for the DAO, feel free to follow governance guidelines.

[mattgurbiel]

Hey Marc, thank you for the comment!

The intent of our post is to introduce a service that we want to provide to the DAO. The post itself is also partially inspired by your recent post about Skyward.

Widespread use of GHO in DeFi is in DAO’s best interest hence, to our belief, this should be also discussed on the DAO forum.

GHO oracle needs will be for third-parties protocols willing to use GHO as collateral or integrate it and it’s up to them to pick their own oracle solutions.

Agreed, this is our focus here. RedStone will be one of the options that the protocols can choose from, effectively making it easier for a lot of them to start using GHO as collateral.

Also, our goal here is to make ourselves available for the DAO Members seeing needs for the GHO Price Feed somewhere in the DeFi ecosystem or having other types of suggestions related to that topic. We want to show our willingness in addressing those.

As we have stated - we plan to stay close to the DAO and support it in that matter, therefore we decided to open a channel of communication on the official forum.

[0xkeyrock.eth]

Thanks @mattgurbiel for this post. Indeed it’s not so much of a proposal right now as it is mainly focused on providing GHO price feeds to third parties.

We’re supportive of this initiative and our view overall on oracles is that everyone has a different approach fitting for different use cases. Thus, there is place for each oracle provider to be adding value within the ecosystem.