Summary

Subscribe to Redstone price feed for DOLA to support third party DOLA lending market opportunities on Base.

Why Inverse Needs a DOLA Price Feed

-- We are in the proposal stage with multiple lending markets on Base where DOLA will be proposed as a borrow-only or collateral asset. While Chainlink remains the “industry standard” for price feeds, volume and other requirements make a Chainlink oracle for DOLA unavailable in the near term. Redstone, a Chainlink rival, is increasingly accepted among popular lending markets as an alternative price feed and a DOLA feed from Redstone can be built and supported for a fee. -- Protocols where DOLA is proposed just as a borrow-only asset (not collateral) to-date have also responded that there is a strict requirement for a Chainlink or Redstone price feed and proposals relying on hard-coding DOLA to $1 will be downvoted.

About Redstone

Website: https://redstone.finance/

How Redstone works: https://docs.redstone.finance/docs/smart-contract-devs/get-started/redstone-classic Data feeds: https://app.redstone.finance/

Sample data feeds on various EVM chains with the RedStone Core model: https://showroom.redstone.finance/

Third party (pro-Redstone) analysis:

Exploring the Distinctions Between RedStone, Chainlink, and Pyth Oracles https://medium.com/@legendarycobraclub/exploring-the-distinctions-between-redstone-chainlink-and-pyth-oracles-415b71a47e54

Chainlink vs. Redstone. Both Chainlink and RedStone are https://medium.com/@stnetchile/chainlink-vs-redstone-9b5e6f6e91a1

Oracle Risk Assessment: RedStone - HackMD https://hackmd.io/@PrismaRisk/RedStone

Audits

https://redstone.finance/#audits

Terms

Setup Fee:

$25k fixed, one-time fee. This covers the setup of a price feed including the development, data sources setup, and infrastructure setup, e.g. relayers.

Infrastructure Maintenance:

Base fee for maintaining the feed on one network: $1k/month Launching the feed on an additional network: additional $500/month per network

Gas Fees:

https://docs.redstone.finance/docs/smart-contract-devs/get-started/redstone-classic

On Ethereum mainnet: ~$1k-$1.5k/month at standard Gas Costs levels (estimate) but can get pricier if there is a lot of volatility on the market.

On L2s: ~$150-$300/month per network in Gas Costs.

Analysis

A Redstone DOLA price feed for Base only would require approximately $40,600 in one-time setup and monthly maintenance and gas costs over 12 months, or an average of approximately $3,400 per month. Prelim analysis, with a hypothetical four chains for purposes of analysis, here: https://docs.google.com/spreadsheets/d/1JwWz2aWaI6sDsMvHMuTk8qBVwOeQpqpVSAuaB0Pio5I/edit?usp=sharing

The benefits of a Redstone price feed for Inverse on Base include:

o Partnerships that lead to new sources of demand for DOLA, lowering liquidity costs and improving FiRM lending capacity

o Opportunities to announce partnerships with well-known third-party lending protocols, attracting still other lending protocols across chains

o Redstone oracle serves as a proxy for quality or reliability which enhances the DOLA brand.

Proposal

Authorize the Growth Working Group to spend up to $32,800 over six months on a Redstone DOLA oracle.

Forum proposal here: https://forum.inverse.finance/t/proposal-to-add-redstone-oracle-for-dola-on-base/390/1