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The Chaos protocol is built on a robust, decentralized architecture designed to provide reliable and secure oracle services. The system is composed of several key components that work together to deliver accurate, real-time data to blockchain applications.

Key Components

This architecture ensures decentralization, reliability, and real-time data provision for DeFi applications while allowing for easy integration and on-chain verification.
  • Exchanges: Multiple exchanges providing raw price data.
  • Chaos protocol: Decentralized nodes collect and validate data, with a leader node coordinating consensus.
  • Risk Simulation Engine: Advanced simulation engine that continuously analyzes market conditions and generates risk parameter recommendations.
  • API layer: REST API endpoint and WebSocket for data distribution.
  • Blockchain: Smart contracts on EVM-compatible or SVM-compatible chain consuming the oracle data.
  • Client applications: Decentralized applications (DApps) and TradingView integrations utilizing the oracle data.

Data Flow

The flow shows how data is collected from various sources, processed by the oracle network, and then made available to client applications through the API layer and on-chain smart contracts.
1

Get data from sources

The system gathers raw price data from multiple exchange sources to ensure broad market coverage.
2

Validate and aggregate data with Chaos nodes

Decentralized Chaos nodes validate the collected data and aggregate it to filter out anomalies and ensure accuracy.
3

Reach consensus among nodes

The network of nodes reaches consensus on the final price data, ensuring trust and reliability.
4

Distribute processed data via the API layer

The validated and consensus-driven data is made available through REST API endpoints and WebSocket streams.
5

Update smart contracts on-chain

Smart contracts on supported blockchains can have data pushed to them by the Chaos team or the consuming protocol can request data from the API and push them onchain themselves.
6

Client applications consume verified data

DApps, analytics platforms, and integrations like TradingView access and use the verified oracle data for their operations.
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