NEST: put the price on the chain of the prophet | project

Blockchains and smart contracts cannot access data from outside their networks, and Oracle is designed to write information outside the blockchain into the blockchain. Therefore, the prediction machine is a very important function in the blockchain. With the prediction machine, the blockchain world can be connected with external information.

& have spent

The predictor can be used in lending platforms, currency stabilizers, gambling, prediction markets, etc., but currently it is mainly used in DeFi.

& have spent

NEST Protocol is a network of distributed price predictors. With NEST Protocol in place, what will happen to the predictive machines on DeFi? I believe you will have a clear understanding after reading the introduction of BlockBeats.

& have spent

Program logic

& have spent

At present, DeFi commonly USES the price predictor, which is generally adopted by the "trusted" node by the centralized trading platform, and transmitted to the chain in the form of data for DeFi to call. A fundamental problem with this scheme is that the price is not validated. Some DeFi use decentralized trading platform prices, but due to the low transaction depth, it is easy to be attacked and cause data problems. Is there a direct verification of the price of the predictive machine to ensure that the price is accurate, timely, and the cost of attack is extremely high? At the same time, the scheme is distributed, that is, there is no risk of centralization. Summed up in the following five points:

& have spent

1) the price is accurate: it can truly reflect the market price

& have spent

2) price sensitivity: react quickly enough to market prices

& have spent

3) the price is resistant to attack: the cost of distorting or influencing the real price is extremely high

& have spent

4) directly verify the price: and the verifier is any third party, and no review or threshold is required

& have spent

5) the quotation system is distributed: there is no need for review or threshold, and it can enter or exit freely

& have spent

In theory, 1, 2 and 3 cannot be achieved perfectly at the same time, but we can make a modest concession on one of the three in exchange for the holding of 1-5.

& have spent

NEST Protocol has chosen to sacrifice some of its agility to make 1-5 work.

& have spent

Competing goods analysis

& have spent

The difference between NEST prophecy machine and other prophets:

& have spent

The most common types on the market are Chainlink, Tellor, Band, and UMA. These are called "indirect" predictors. The node ACTS as a porter of price data, mainly responsible for transferring the price data from the chain to the contract on the chain.

& have spent

According to the NEST community, the project's prognosticator generates (forms) prices directly on the chain by quoting miners' "two-way quotes," rather than uploading price information. This is a fundamental difference, and a special feature of NEST's predictive machine.

& have spent

The former does not validate the price data, whereas each NEST quote is validated by a market-wide verifier before it participates in the chain's price generation.

& have spent

But NEST is vulnerable to network congestion and gas charges because it needs to move its prices up the chain.

& have spent

Through the economic

& have spent

NEST Protocol is based on NEST, the ERC20 card launched over the ethereum network. NEST has a constant total of 10 billion pieces, 100 percent of which are released through the "quote and mine" method of NEST predictor.

& have spent

NEST 80% belongs to the guardian node, mainly the early investors and supporters of NEST Protocol, etc. & cake; NestNode owner; 15% goes to the NEST Protocol developer team; Five percent went to the miners who took part in the quotation for NEST's prophecy machine.

& have spent

& have spent

NEST tokens of address: 0 x04abeda201850ac0124161f037efd70c74ddc74c.

& have spent

Technical path

& have spent

& have spent

NEST's quotation mining system is mainly divided into four parts: the bidder, the quotation market, the verifier and the price generation system. There are three kinds of participants: the miner, the verifier and the price caller.

& have spent

The miner transferred the quoted assets ETH and USDT into the quoted contract, and participated in the mining according to the commission scale paid to obtain NEST. After the miner submits the assets and price to the quoted price contract, any verifier thinks there is room for arbitrage at the price and can trade according to the miner's quoted price. The verifier, after executing the price of a quote, forces a new price but no longer pays a commission and does not participate in the mining. This cycle, the formation of a continuous chain of prices.

& have spent

According to DeFi's current demand for price, NEST Protocol designs the validation period for any quotation to be 10 minutes or 5 minutes, so the price of each invocation by the price caller is in principle delayed by 5-10 minutes compared to the market spot price.

& have spent

The price chain itself is an anti-attack mechanism, that is, the attacker must leave a price and the corresponding asset after attacking the price. This means that after the attacker attacks, he either leaves the correct price or an arbitrage space, and there must be a verifier in the market to arbitrage and correct the offer.

& have spent

The team and the management

& have spent

According to the website and the white paper, the team did not publicly reveal its background and backers, so pulse looked up information on its GitHub and App.

& have spent

NEST DAPP Github page

& have spent

According to its official App "NEST DAPP" interface, its company is Morning Mist Network Technology Co., Ltd. According to the name, the company that can be collected and related to the block chain is "morning fog technology". Through the public information, it can be found that morningfog technology is mainly committed to the research of IPFS. However, as can be seen from the business information, the main leaders of IPFS research all quit in 2019.

Of course, there is no certainty that Morning Mist Network Technology is Morning Mist Technology.

& have spent

BlockBeats interpretation

& have spent

According to the official information, NEST 2.0 version has been launched, all contracts have been completed open source, and it is expected to remove the maximum rights after 3.0 version, complete decentralization. But we found out on GitHub that its most recent update was last September, and it only got two forks and eight stars.

& have spent

& have spent

Just after bitcoin halved in value, DeFi is seen by some investors as a hot spot in a market that lacks gimmicks, and it still gets a lot of users' attention. In theory, the mechanism of NEST Protocol is feasible to some extent, but because it is not online, it is unclear whether its quotation system, which is 5-10 minutes later than the market spot price, will work smoothly under extreme conditions.

& have spent

In addition, perhaps because the project is still in the early stage of development, the specific background of the development team and investors of NEST project are not clear. The content of the white paper is concise and does not reveal much information about the development of the project. While keeping an eye on new projects, investors should pay attention to investment risks. In any case, the advent of NEST provides a new way of thinking about the predictive machine market and looks forward to its future development.

Welcome to join the official BlockBeats community:

Telegram Subscription Group: https://t.me/theblockbeats

Telegram Discussion Group: https://t.me/BlockBeats_App

Official Twitter Account: https://twitter.com/BlockBeatsAsia