Price Oracle

Price Oracles: enhancing the integrity of our platform

To ensure the integrity and security of our platform, we employ a robust price oracle system to derive accurate trading and liquidation prices for all margin trading positions.

How Our Price Oracle Works:

Our price oracle is meticulously designed to aggregate real-time quote data from Jupiter and price data from Birdeye. By leveraging more than one data source, we minimize the impact of potential data anomalies that may affect the mark-to-market of open positions.

Key Components of Our Price Oracle:

• Data Aggregation: We continuously collect price data from Jupiter and Birdeye to ensure a comprehensive and reliable data feed.

• Data Validation: Rigorous validation processes are in place to filter out outliers, inconsistencies, and potential errors in the collected data. This ensures the accuracy and reliability of the final price feed. All transactions and sourced data will be signed on-chain so that our smart contracts can trigger the liquidation condition with full audit trail and transparency to resolve any disputes.

• Price Calculation: The Lavarage algorithm analyzes the aggregated data to calculate a fair and representative price. Eg: When both Jupiter quote price and Birdeye price show that the LTV is higher than the liquidation price, it will be used to determine the liquidation price for margin positions.

Our mission is to mitigate the inherent risks of data feed anomalies to improve the user's trading experience on Lavarage. By employing this advanced price oracle, we are confident that it will provide a fair and transparent trading environment for our users.