Pyth Network, a provider of real-time market data for blockchain applications, is set to introduce price feeds and Pyth benchmarks on Hedera, an open-source, proof-of-stake public ledger. In a press release on Feb. 26, it was announced that over 400 Pyth price feeds will be launched on Hedera. Grace Pfluger, HBAR Foundation’s director of business development, explained that these price feeds will provide Hedera users and developers with the latest price updates for various assets, including cryptocurrencies, foreign exchange, commodities, equities, and exchange-traded funds (ETFs), through a pull oracle design.
In addition to price updates, Pyth price feeds also offer a confidence interval feature that informs downstream protocols about ongoing market volatility and dislocations. HLiquity, a decentralized borrowing protocol that allows users to obtain interest-free loans against Hedera’s token (HBAR), will be the first application on Hedera to integrate with Pyth data. HLiquity utilizes Pyth data to track the current prices of HBAR and Swiss francs, ensuring that user vaults and the overall protocol remain overcollateralized.
Pyth Network serves as a financial oracle network, delivering real-world data with low latency to multiple blockchains. It recently launched price feeds for 13 Bitcoin ETFs, a move that could benefit decentralized finance platforms by expanding their portfolio options, enhancing risk mitigation strategies, and attracting institutional capital on-chain.
In January 2024, the Hedera Global Governing Council, responsible for overseeing the Hedera network, approved the allocation of 4.86 billion HBAR tokens, valued at approximately $408 million, for further development and advanced decentralized governance. These funds aim to strengthen Hedera’s foundation following its impressive performance in 2023, which saw over 33 billion real-world transactions on the network.