Keep3r oracle has been removed as the primary oracle from which Unit Protocol receives its price data.
Keep3r was supposed to include a time-weighted Uniswap and Sushiswap price feed at a certain time.
To Chainlink, Unit Protocol Switch Oracles
Unit Protocol is also working on an Oracle update, according to the team. As a result, the USDP borrowing limits for all collaterals will be temporarily set to zero, with the exception of ETH, which gets its feed from Chainlink. The update will take a few days longer to complete.
Users can close their CDP and repay the debt during this period if they wish. However, since the funds are safe, this is not a required step to take. Unit Protocol’s oracles will be switched to Chainlink, and new collaterals from the Chainlink price feed will be introduced. In terms of what the upgrade would bring to the protocol, the team stated that it will make the Unit protocol more stable and allow it to develop more quickly. Owning an oracle solution would allow you to add more collaterals in the future without incurring major protocol costs.
What Are Blockchain Oracles and How Do They Work?
Oracles (oracles) on the blockchain are third-party providers that provide smart contracts with external data. Oracles cross the gap between blockchain and smart contracts, enabling them to access data outside of the network.
Oracles connect off-chain and on-chain data, extending the capabilities of smart contracts that use them. The oracle is not a data source, but rather a layer that relays information from external data sources that it has queried, checked, and authenticated.
The data sent could be anything from a sensor’s temperature reading to price details or a good payment confirmation.
To expand its user base, Unit Protocol is looking to the community.
The Unit protocol is a decentralized borrowing system that accepts a wide range of tokens as collateral. The key token is $DUCK, which is used for governance. The $DUCK ecosystem receives stability and liquidation payments, which are then routed into the Unit protocol. During the first year, all payments will be charged directly to the protocol ecosystem.
The governance pool will play a critical role in ensuring the ecosystem’s stability. Stakers of $DUCK will be compensated for their contributions to the protocol’s decision-making system, and token holders will stake their tokens to gain protocol fees.
The infrastructure is still under construction, and the allocated fees will be used to purchase and burn $DUCK before it becomes operational. Changes in fee allocation in the future will be decided by governance decisions. Unit Protocol plans to focus on community involvement in the future to help it increase its user base and evolve more rapidly.