Radix Oracle Architecture

The Morpher Oracle on Radix is designed as a pull-based oracle system that provides secure, verifiable price data for blockchain applications. This page explains the overall architecture and components of the system.

System Components

Key Components

1. Off-Chain Data Sources

   • Exchange APIs: Direct connections to cryptocurrency exchanges like Gate.io
   • Market Data Providers: Services that aggregate and normalize market data
   • Price Aggregators: Systems that combine multiple price sources for reliability

2. Oracle Infrastructure

   • Oracle Backend: The core service that:
     • Collects and validates data from multiple sources
     • Processes subscription requests
     • Signs price data with the Oracle’s private key
     • Verifies NFT ownership and public key validity
   • Oracle Database: Stores historical price data and subscription information

3. DApp Infrastructure

   • DApp Backend: A service operated by the DApp developer that:
     • Securely stores the DApp’s private key
     • Creates and signs requests to the Oracle Backend
     • Forwards signed price data to the Frontend
   • Private Key Storage: Secure storage for the DApp’s private key
   • Frontend/User: The user interface and wallet connection that:
     • Initiates transactions requiring price data
     • Constructs transaction manifests with signed data
     • Submits transactions to the Radix network

4. On-Chain Components

   • Oracle Component: The smart contract that:
     • Verifies signatures from the Oracle Backend
     • Validates data authenticity
     • Provides verified price data to other smart contracts
   • Smart Contract: The DApp’s on-chain logic that:
     • Calls the Oracle Component to verify signed data
     • Validates data freshness for its specific use case
     • Uses verified price data for its business logic
     • Applies additional validation rules as needed
   • Subscription NFT: A non-fungible token that:
     • Represents a paid subscription to the Oracle service
     • Stores the subscriber’s public key
     • Controls access to Oracle services

Security Model

The Morpher Oracle employs a multi-layered security approach:

1. Data Signing: All price data is cryptographically signed by the Oracle, ensuring data integrity and authenticity.

2. Subscription Verification: Access to Oracle services requires ownership of a subscription NFT, preventing unauthorized usage.

3. On-Chain Verification: Signatures are verified on-chain before data is used in transactions, preventing manipulation.

4. Timestamp Validation: Price data includes timestamps that are checked on-chain to ensure data freshness.

5. Market Status Checks: The system validates that price data is consistent with the current market status (open/closed).

This architecture ensures that price data is:

• Authentic (signed by the Oracle)
• Fresh (recent timestamps)
• Authorized (linked to a valid subscription)
• Verifiable (signature checked on-chain)

In the next section, we’ll explore the Pull Oracle Flow in detail.