How Does a ‘Data Feed’ Differ from a Single API Call?
A data feed, especially from a decentralized oracle, is a continuous, aggregated, and cryptographically signed stream of data sourced from multiple reputable data providers. A single API call is a one-time request to a single source.
The feed provides greater security and resilience against manipulation because it is verified by a consensus of nodes, unlike a single, vulnerable API call.
Glossar
Price Feed Manipulation Risks
Vulnerability ⎊ Price feed manipulation risks within cryptocurrency, options, and derivatives markets stem from the inherent reliance on external data sources to determine asset valuations.
External Data Source
Provenance ⎊ External data sources, within the context of cryptocurrency, options trading, and financial derivatives, increasingly demand rigorous provenance tracking to ensure data integrity and combat manipulation, particularly as regulatory scrutiny intensifies.
Api Call
Interface ⎊ An Application Programming Interface (API) call, within the context of cryptocurrency, options trading, and financial derivatives, represents a programmatic request transmitted to a system ⎊ typically an exchange, broker, or data provider ⎊ to retrieve data or execute an action.
Asset Price Feed
Mechanism ⎊ An Asset Price Feed is a critical infrastructure component that delivers real-time or near real-time pricing data for a specific underlying asset to a derivatives platform or smart contract.
Price Feed Design
Architecture ⎊ Price feed design refers to the technical structure and methodology used to source and deliver real-time asset prices to a derivatives trading platform.
Price Feed
Feed ⎊ A price feed is a continuous stream of real-time pricing data from various sources used to determine the fair value of an asset.
Data Feed Manipulation Risks
Hazard ⎊ This refers to the deliberate introduction of erroneous or misleading data into a price feed utilized by smart contracts for critical functions like liquidation or settlement.
API Connectivity Solutions
Architecture ⎊ API Connectivity Solutions establish the programmatic interface necessary for institutional clients to interact directly with crypto exchanges and derivative platforms.
Feed Reliability
Metric ⎊ Feed Reliability is a critical metric in quantitative finance, representing the consistency, accuracy, and low latency of the real-time price data stream used for marking, margin calculation, and settlement of crypto derivatives.
Crypto Price Feed Integrity
Definition ⎊ Crypto price feed integrity refers to the accuracy and reliability of the real-time price data used to calculate benchmark rates for derivatives.