Pyth Network, a leading Oracle network, has expanded its reach into the decentralized finance market with a new feature called Redemption Rate Feeds.
Announced on October 24, Redemption Rate Feeds, or RRFs, provide real-time valuations for liquid staking tokens, re-staking tokens, and yielding stablecoins. Through this feature, Pyth Network (PYTH) provides the DeFi market with broader access to pricing data that traditional price feeds do not provide.
The practical impact is that DeFi platforms now have access to accurate valuation data of complex assets.
“Think of it as moving from an estimated value to an exact value, a crucial upgrade that allows more protocols to use Pyth price feeds,” Pyth Network wrote.
How it works
Crypto repurchase rate feeds provide live values of tokens, with data extracted directly from the smart contracts of the underlying assets. According to the Pyth Network team, these true values include accrued rewards and interest.
This is what makes RRF “fundamentally different from market price data,” Pyth added in an article on X.
This type of valuation is for derivative products such as liquid staking tokens and yield stablecoins. Streams are permissionless and accessible to DeFi builders across the ecosystem.
At launch, Pyth Network’s refund rate feeds will cover 19 values in real-time on Ethereum Virtual Machine (EVM) compatible networks. These include Crypto.com’s staked ETH (CDCETH), Mountain Protocol’s wUSDM, Ondo Finance’s US Dollar Yield (USDY), and Ethena’s USDe, a synthetic dollar.
Streams will also include ETH staking pairs, such as Coinbase Wrapped Staked ETH (cbETH) and Rocket Pool’s liquid rETH staking token.
Pyth Network’s product enters the market through key industry integrations with market makers, lending protocols, aggregators and derivatives providers. Launch partners include Ionic, ZeroLend, UniDEX Exchange and Polynomial.