Flux Protocol is a NEAR-powered trustless oracle data layer and blockchain-agnostic platform for decentralized applications.
Blockchain platforms, even with their secure and decentralized architecture, aren’t immune from the so-called “bad actors,” who can use a platform’s own system to gain unfair benefits. And since forcing a centralized solution to eliminate this problem is already out of the question, one platform came up with a solution to minimize unethical transactions while maintaining its decentralization.
Table of Contents
Background
Jasper De Gooijer, one of the founders of Flux Protocol, has worked at Finality Labs, a community of developers and engineers that create new crypto tech applications, before starting Flux.
His co-founder, Peter Mitchell, established EveryDapp.com, the first platform that curates and ranks decentralized applications.
Eventually, they founded Flux and built it on top of the NEAR Protocol to achieve their goal of creating a scalable and innovative oracle design.
What is Flux Protocol?
Flux Protocol is a NEAR-powered trustless oracle data layer and blockchain-agnostic platform for decentralized applications.
Its agnostic nature allows developers to utilize its oracle aggregator, which improves security for data feeds, on various blockchains without added cost. The platform’s significance in the blockchain industry is highlighted by big venture capital firms that support it, which include Coinbase Ventures, Greenfield One, NEAR Foundation, and more.
Ensuring Honesty Among Validators and Users
Validators must put FLX tokens, the platform’s native token, as bonds for every data request to stake on the correct outcome for requests on the network. This mechanism protects the inputs needed to verify transactions on the Flux network and is also designed to encourage honesty among validators and users.
The outcome with the highest staked tokens will be considered by the system as the right result, but it wouldn’t be final as others can challenge it by staking on an opposite outcome.
FLX Token
FLX is Flux Protocol’s cross-chain native utility token with a primary purpose of helping validators secure the platform’s on-chain data.
The token, with a 1 billion max supply, is used for oracle interface creation, transferring off-chain data on-chain, and protocol governance. It can also serve as collateral for nodes and for disputing and challenging data results, making transactions fair, transparent, and rewarding for participants.
The team has allocated 5% of the token’s total supply to support Web3 projects that use Flux oracles, and the grants that will be given can be in the form of FLX or USDC. Through this, project developers can get seamless access to Flux platform support and advanced tools in developing their ecosystem.
And of course, FLX tokens can be used for staking, and for complete instructions on how to stake them, please click this link.
Flux DAO
Flux DAO is composed of FLX token holders with major responsibilities, which include accepting or rejecting whitelisting applications for interfaces and managing data request settlements and disputes.
And like any DAO, it is designed to provide rewards on productive contributions such as voting and honest behavior and penalize malicious acts that distort the harmony of the entire system.
How Flux Token Helps Flux DAO?
Eliminates Unnecessary Data Requests
FLX token is used in creating and eliminating request interfaces to provide token holders with the power to control project standards that interface with the Flux Oracle.
With this mechanism, Flux DAO can create more value for validators and the protocols as much as possible by shielding them from useless data requests.
Strengthens Network Security
Strong security measures are already in place to secure the DAO platform, but Flux still recognizes possible threats such as data outcome manipulation from malicious users.
By staking FLX tokens, validators have the power to challenge data request outcomes during dispute periods.
This mechanism cannot totally eliminate the risk of manipulation, but it can significantly reduce the possibility of this unethical act from taking place.
Protocol Governance
FLX token allows holders to change network parameters, change data request fees, and upgrade systems through voting.
The token empowers the DAO’s decentralized orientation by allowing a democratic way of changing important aspects of the platform.
Foreteller Ambassador Program
Validators play a massive role in the Flux Protocol, but for those with minimal to no coding expertise, they still have a big role to play in the platform. The Foreteller Ambassador Program opens the door for individuals with various skillsets outside coding and gives them a chance to help boost Flux using their own talents.
The program is searching for people with capabilities in content writing, video production, translation, and more.
The role of a Foreteller is to bring a new audience for Flux, translate content to accommodate regional audiences, engage with platform partners, and provide feedback on products and features. Participants can either choose one role or juggle various tasks, as long as they possess the expertise to execute expected results. Foretellers can receive rewards, including Flux merchandise and upcoming project tokens.
Flux Protocol Collaborates With Amberdata
Flux Protocol has partnered with Amberdata, a blockchain and crypto-asset data company, to provide the platform with crucial and real-time data feeds.
Amberdata provides various financial institutions with high-value information such as metrics and signals, changes in the crypto market, and DeFi information verification.
The crypto data provider will feed Flux Protocol with real-time data on different crypto asset prices, both on centralized and decentralized exchanges.
With these rich data now delivered straight to Flux, projects can now leverage these data for specific use cases and see a more accurate picture of the market.
Also, Amberdata is currently partnered with twelve blockchains, an asset that is aligned with Flux’s cross-chain goals in the future.
Conclusion
Flux Protocol is on track to become a heavyweight player in the blockchain arena with its seasoned team, large investors, right partnerships, and innovative solutions. With these crucial pieces linked together, the platform certainly has what it takes to deliver secure and efficient Web3 cross-chain oracle services to the industry.
