A verifiable oracle ensures the authenticity and integrity of this data by providing cryptographic guarantees.
For example, a smart contract managing a DeFi lending platform might need the current price of Bitcoin (BTC) in USD to calculate collateralization ratios. By leveraging a verifiable oracle, the platform can confidently use this price data, knowing it originates from a trusted provider (e.g., Binance) and has not been tampered with.
The architecture below demonstrates how an AI agent integrates with an oracle system to fetch data from an external provider, such as Binance, ensuring the submission of verifiable data.
The data provider serves as the source for the external data (e.g., Bitcoin price). Here’s an example showcasing how to verify the validity of the BTC price retrieved from Binance. You can easily customize this process for other providers.