INTRODUCING THE UMBRELLA NETWORK: THE DECENTRALIZED LAYER 2 ORACLE SOLUTION
The configurations that connect blockchains to data and systems outside a network, allowing smart contracts to be implemented based on data from the outside world, are known as blockchain oracles.
Blockchain oracles are extremely important because they expand the use cases of smart contracts by providing them with external data. Smart contracts’ use cases would be severely limited if they could only operate with data on their networks.
Umbrella Network, a rapidly growing community-owned decentralized oracle service that innovatively procures access to data hitherto elusive to smart-contract authors, is an example of these oracle networks that are delivering sustainable solutions to blockchain-based applications.
The Oracle provides blockchain-based applications with incredibly scalable data solutions. These solutions are extremely safe, efficient, and cost-effective.
Umbrella Network is connected to a number of significant data providers to assist mitigate the risk of an assault on a single source.
By utilizing a layer two solution and batching transactions using Merkle trees, Umbrella Network addresses the persistent issue of scalability in Oracles.
WHY UMBRELLA NETWORK?
Several oracle initiatives have recently entered the cryptocurrency ecosystem; however, many of these projects are still in the early stages of development and lack sustainable business models.
Although it is clear that certain Oracles include elements of centralization, which have been a major hindrance to most blockchain initiatives, Umbrella is decentralized and regulated by the community, ensuring enhanced security through a web of community-driven validators that validate data.
Umbrella Network’s data covers a wide range of categories and is dispersed throughout multiple segments, including mid and longtail crypto assets as well as other financial data.
Ethereum, Binance Smart Chain, Arbitrum, Avalanche, and Polygon are the five prominent blockchain ecosystems on which the Umbrella Network is currently built. In the months ahead, the Umbrella Network hopes to integrate more chains.
Unlike other oracles, which retain high additional costs for transactions when their users request massive amounts of data, the Umbrella Network aggregates its data, allowing for massive scaling and minimal processing costs.
Other oracles choose to reduce the frequency of data updates or supply limited volumes of data in order to manage costs and ease of access to services for a large number of users. However, Umbrella Network currently has over four thousand data feeds that may be accessed quickly.
Umbrella has a solid blend of skilled professionals and business-oriented staff, well-known and important investors, key opinion leaders, a strong social media presence, and existing momentum in terms of partnerships and product development.
The Umbrella Network also includes a consensus algorithm in which validators evaluate the validity of data in exchange for rewards; the incentives ensure that validators are validating data correctly. The validator registry is managed by Umbrella DAO, which may add and delete validators.
In summary, Umbrella is well-positioned to play a significant role in the DeFi evolution for the foreseeable future.
Visit the following links to learn more about the Umbrella Network: