The DeFi platform for crypto-derivatives Opium Protocol announced a collaboration with the decentralized platform UMA to launch the Optimistic Oracle solution, according to the developers’ press release.<\/p>\n
<\/p>\n
UMA’s new tool transmits off-chain data to the blockchain, making transactions faster and cheaper. The oracle operates on the assumption that all queries are valid. The transaction is settled with minimal gas usage.<\/p>\n
If a user disagrees, the dispute is referred to the Data Verification Mechanism. It mirrors the familiar logic: contracts are enforced, since otherwise a court would compel performance, potentially resulting in financial losses.<\/p>\n
Opium Protocol has implemented a risk-hedging solution via a decentralized insurance contract (CDS) linked to SpaceX flights using UMA’s optimistic oracle. It concerns the SmallSat Rideshare joint-launch program. It offers relatively inexpensive access to space for small satellite companies, starting at $1 million per payload of 220 kg.<\/p>\n
\n\u201cHowever, the cost still runs into the millions of dollars, and the payload owners, mainly satellite operators, may want to insure against the risk of a failed launch,\u201d the announcement states.<\/p>\n<\/blockquote>\n
The tool will also allow other parties with a financial stake in the success or failure of a given SpaceX mission to hedge risks or even speculate, as in a normal financial market.<\/p>\n
In February 2021, UMA and the YAM Finance project put to a vote a proposal to launch the synthetic contract uSTONKS<\/a> \u2014 a basket of ten stocks popular in the r\/WallStreetBets community on Reddit.<\/p>\n
In May, Opium Protocol unveiled the Bridge Protection solution, designed to hedge risks<\/a> when interacting with sidechains.<\/p>\n