Lightspeed

How Pyth Propogates Financial Data At The Speed of Light | Mike Cahill

Feb 15, 2024

Mike Cahill, core contributor to Pyth, discusses the value of financial market data, the role of oracles in crypto, Pyth's SVM appchain, permissionless integrations, quality control for publishers, Pyth's airdrop and governance, liveness concerns, economics and trust minimization, the RWA opportunity, and the evaluation of crypto's ecosystems.

56:01

Episode guests

Mike Cahill

AI Summary

AI Chapters

Episode notes

Podcast summary created with Snipd AI

Quick takeaways

Pith aims to optimize valuable financial market data by bringing it on-chain and creating incentives for participation.

Oracle networks like Pith are essential for providing reliable and low-latency external data to the blockchain, prioritizing speed and trust.

Pith has potential in optimizing price discovery for liquid assets and may expand to include monetizing proprietary data outside the traditional advertising model.

Deep dives

Optimizing for Valuable Financial Market Data

The podcast episode discusses the idea behind Pith, a blockchain developed to optimize the valuable component of financial market data. The speaker highlights that the majority of the value lies within the first 15 minutes of accessing this data. Pith aims to capture this value by bringing the most valuable component of financial market data on-chain and creating incentives for participation. They emphasize the importance of optimizing for the highly valuable, time-sensitive data and expanding the capabilities of the blockchain. The episode also mentions the DAS London conference, an institutional crypto conference, and provides a link for more information.

Introduction

5min

Market Data Revenue Dynamics and the Oracle Problem in Crypto

4min

The Importance of Infrastructure and Cross-Chain Integration

7min

Institutions Onboarding Crypto and the Role of Independent Publishers

5min

The Role of Governance in Adding Price Feeds

30min

The Importance of Data Latency in Crypto and Insights on Different Ecosystems

5min

Mike Cahill joins us to discuss how oracles have become the linchpin of crypto. Mike is a core contributor to Pyth, a highly optimized oracle network integrated with 50+ chains and over 300 apps. In this episode, we cover crypto's oracle problem, why Pyth launched an SVM appchain, how Pyth ensures high-quality publishers, Pyth's Wormhole integration, how to monetize financial data, the RWA opportunity, where Chainlink went wrong and more!

- -

(00:00) Introduction

(01:07) The Value of Financial Market Data

(06:04) Oracles: The Linchpin of Crypto

(08:21) Why Pyth Launched an SVM Appchain

(13:28) Permissionless Integrations

(15:23) DAS London Plug

(16:20) Data Publishers: Quality Control and Incentives

(20:43) Pyth’s Airdrop and Governance

(25:15) Liveness Concerns

(28:05) Economics and Trust Minimization

(36:23) The RWA Opportunity

(46:05) Where Chainlink Went Wrong

(51:41) Evaluating Crypto’s Ecosystems

- -

Join us at DAS (Digital Asset Summit) in London this March! DAS is the #1 institutional conference in crypto, hosted by Blockworks. Use the link below to learn more, and use LIGHTSPEED10 to get 10% off your ticket! Sign up now because the price goes up every month. See you there!

Learn more + get your ticket here: https://blockworks.co/event/digital-asset-summit-2024-london/home

- -

Follow Mike: https://twitter.com/mdomcahill

Follow Mert: https://twitter.com/0xMert_

Follow Garrett: https://twitter.com/GarrettHarper_

Follow Lightspeed: https://twitter.com/Lightspeedpodhq

Subscribe on YouTube: https://bit.ly/43o3Syk

Subscribe on Apple: https://apple.co/3OhiXgV

Subscribe on Spotify: https://spoti.fi/3OkF7PD

Get top market insights and the latest in crypto news. Subscribe to Blockworks Daily Newsletter: https://blockworks.co/newsletter/

- -

Resources

Pyth Network

https://twitter.com/PythNetwork

Douro Labs

https://twitter.com/DouroLabs

- -

Disclaimers:

Lightspeed was kickstarted by a grant from the Solana Foundation.

Nothing said on Lightspeed is a recommendation to buy or sell securities or tokens. This podcast is for informational purposes only, and any views expressed by anyone on the show are solely our opinions, not financial advice. Mert, Garrett and our guests may hold positions in the companies, funds, or projects discussed.