Cryptoacademy season 3 week 7- Homework post for @allbert: Blockchain Oracle

Good day all, I'm @taziba and this is my homework post for professor @allbert on the week 7 topic, Blockchain Oracle. My post would comprise of a brief summary of what a Blockchain Oracle is and what I know about the particular Oracle I've chosen to write on. Read and be blessed☺️.

Blockchain Oracle

A Blockchain Oracle can simply be defined as a bridge between the centralized and decentralized atmospheres. It helps submit verified data from the centralized web to the decentralized web. Why does it do this? It does this due to the difference in systems(arrangement of operations). By difference in systems, I mean the decentralized Blockchain system cannot grasp the order in which centralized data is being recorded due to the randomness of the centralized system. What a Blockchain Oracle does is to arrange and authenticate the data to make it readable for the decentralized Blockchain. E.g of Blockchain Oracles include:

• ChainLink
• WinkLink
• Band Protocol, etc.

The Blockchain Oracle I'll be talking about is the BAND protocol.

BAND Protocol

Description
Just like other Blockchain oracle's, the BAND protocol provides a platform in which real life data is being assembled, validated and authenticate and are connected to smart contacts. It is a cross-chain data Oracle that operates on the Delegated Proof-of-Stake(DPoS) consensus. Validators on the network stake it's native token, BAND, in order to gain a portion of fees generated by the protocol.
History
The BAND protocol was released on the Ethereum Blockchain in 2019, with the major aim of being an intermediary between the real world and the decentralized world. Using the Cosmos-SDK, the BAND protocol even developed it's on Blockchain (Bandchain) which validators made use of the BAND token. The BAND mainnet was launched and was expected to undergo 4 phases of it's development which were:

Phase 0 is the foundational version of BandChain that enables BAND token transfer and staking for validators; Phase 0 Mainnet was launched on Jun. 6, 2020.

Phase 1 supports permissionless creation of customizable data oracle scripts that can query public and permissionless data sources; Phase 1 Mainnet migration was completed on Oct. 15, 2020.

Phase 2 aims to enable API providers to commercialize their data on-chain in a trustless manner and collect revenue on-chain.

Phase 3 supports private/identity oracle scripts and more payment options in the ecosystem, allowing developers to pay in a token of their choice or subscription model. The focus upon this release will complete the BandChain decentralize oracle network, ready to drive interoperability between smart contracts and traditional enterprise services.

source

The BAND protocol Token
As mentioned in the history of the BAND protocol, it developed it's own Blockchain and as we all know, for every blockchain there is a currency that is used for every Blockchain. The currency for the Bandchain is the BAND protocol Token.

As we can see from the information given by coingecko, the BAND protocol is ranked 182 in the mail and has a market cap of $267,404,475 and as at 6:19pm had a rice value of about $7.67.

source

Functionalities

• Efficient Transaction Speed: The BAND protocol offers users a quick and speedy transaction rate for all transactions done on the platform.
• Scalability: It also provides a platform which is able to accommodate a large number of data requests efficiently without delay or buffering.
• Data Flexibility: It is all also able to support both public and private data models.
• It provides users the ability to send data to other blockchains
• It provides an on-chain payment settlement which helps users mint money their data themselves without the use of middlemen.

Pros

• Data on the BAND protocol can be monetized on-chain without the help of middlemen.
• Since it operates on a DPoS consensus, validators can take part in the general protocol through voting on the originality of data.
• Validators can be part of the BAND protocol when they possess the BAND coin.

Cons

• Since it operates on a DPoS consensus, the Validators need the delegators too get rewarded.
• 2% of block rewards are put into a community finding pool which indicates that it's not free.
• The tokens can only be Delegated not staked.

Future Developments and New Projects
In an article posted today on the official BAND protocol telegram channel, it was announced that the BAND protocol is going to share an integration with the crooks chain. This integration is to being together BAND oracle's for Decentralized and end-to-end customizable oracle's for all applications on cronos.

The announcement

It(BAND protocol) also has some other integrations with have come during the course of it's growth. They are shown below:

Conclusion

Blockchain Oracles are the intermediary which connect the real world with the decentralized world. They help convert the random and should I say "disarranged" data to something organised for the Blockchain to interprete.

Lovely lesson by @allbert, I hope my post would be very much appreciated. Thank you.

CC: @allbert