Thread by @redstone_defi

Pioneering DeFi's with swETH 🌊

We're thrilled to announce our integration with the incredible @swellnetworkio.

As the trailblazers in the liquid staking space, their work with swETH has consistently impressed us.

Let's dive into what this integration means 🧵

1/ First off, if you're new to Swell, it's a top-tier decentralized liquid staking protocol that allows users to generate passive income by staking $ETH, earning blockchain rewards, & obtaining a yield-bearing liquid staking token (LST), swETH 🌊

2/ When users stake their $ETH with Swell, it's converted into Swell's liquid staking token swETH. It's a reward-bearing token, so its value increases over time to reflect the accumulated staking yield. And the best part? No potentially taxable transactions.

3/ So, what was the challenge? As Swell evolves into a leading LST protocol, there were limitations related to the existing oracle offerings, including establishing deep liquidity on swETH & a lack of standards around oracle requirements for LSTs across the ecosystem.

4/ RedStone Oracle team implemented a price discovery mechanism based on 3 of the most liquid DEXes where swETH tokens were deployed and set up a liquidity monitoring service to mitigate any manipulation attempts.

5/ We've also facilitated the deployment of multiple data provider nodes, relayer nodes, and monitoring services to actively track the operations of the data-providing infrastructure. This makes our integration a truly end-to-end solution for @swellnetworkio.

6/ Looking forward, our aim is to promote the use of the price feed, a critical tool providing accurate pricing across markets. We're keen to integrate projects wanting to utilize our SWELL platform, providing precise market data to fuel their innovation.

7/ We had an amazing chat with Swell CEO, @daniel_swell_ who outlined that "Redstone also has novel and efficient ways of getting data on demand that we and our protocol partners require as part of developing new and interesting strategies in DeFi such as LST-backed stablecoin.."

8/ This integration represents a major step forward in our mission to provide reliable, decentralized oracle services. Huge shoutout to the @swellnetworkio team for their collaboration.

Read more in the article: blog.redstone.finance/2023/06/22/cas…