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Oracles

This page talks about how Rezerve uses oracles to get pricefeeds of various assets

RZR adopts Dia Dataarrow-up-right as its primary data layer.

We integrate DIA at three distinct tiers:

  1. Treasury Mark-to-Market: Each epoch the Rebase Controller calls DIA's price feeds for USDC, BTC, and tokenised T-Bills; it also requests a virtual price feed for Curve and Balancer LPs. The sum sets the stable-asset numerator in the backing-ratio β.

  2. LP Token Accounting: For volatile-stable pairs (e.g., RZR/USDC Uni-v3 0.05 %), DIA publishes a bound-checked TWAP with an adaptive window: 30 minutes by default, expanding to 2 h if intra-block variance is high. This mitigates the sandwich vector that required custom keepers in Olympus.

  3. RZR Reference Price: A dedicated RZR/USD feed sourced from at least four exchange venues and re-weighted every block with liquidity score sets the reference used by external money markets like Aave forks. Lenders can therefore calculate LTV against a floor that only ratchets upward and a spot oracle.

Why Oracles Matter

Every moving part in a reserve-currency protocol: how many tokens to mint, how high to set collateral ratios, how much a bond should cost depends on unbiased, real-time asset values. An oracle is the bridge between onchain logic and those off-chain truths.

If that bridge is slow, fragile, or manipulable, the protocol can mint unbacked tokens, mis-price bonds, or even hand out free liquidations. A robust oracle mesh is therefore as critical to solvency as the treasury itself.

Interplay with Monetary Policy

A precise oracle feed feeds directly into RZR’s capped-inflation curve: if the BTC sleeve rallies, β rises, and the APR band can climb safely; if a flash crash slices 20 % off volatile holdings, the oracle reports it before the next epoch, β falls, and minting throttles to zero.

Likewise, bond discounts are applied to the DIA's RZR/USD feed, preventing under-priced minting. Because half of every inflow raises the Floor Price directly, an accurate treasury mark-to-market is the only guarantee that each 1% floor tick is fully collateralised.

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