The Binance Oracle network to link Web3 and blockchains via smart contracts

To begin with, Binance Oracle will allow existing decentralized applications and Web3 ecosystem partners on BNB Chain to access data sources and advanced calculations.

Crypto exchange Binance has announced the launch of a new dataflow network — Binance Oracle — that allows blockchain smart contracts to connect to real-world data, starting with its in-house blockchain offering, BNB Chain.

To begin, Binance Oracle will allow existing decentralized applications (DApps) and Web3 ecosystem partners on BNB Chain to access existing data sources and advanced computations. “More than ten BNB Chain projects have already integrated into the Binance Oracle network,” Binance confirmed.

The ability to connect smart contracts with off-chain data will be available to other blockchains in due course. Explaining the importance of the network, BNB Chain Chief Investment Officer Gwendolyn Regina said:

"Using oracles to greatly increase the smart contract's knowledge of what is happening outside the blockchain, allowing it to respond to external events with specific actions will be crucial."

Furthermore, Binance revealed the use of regional domains to ensure system availability amid unpredictable global calamities. The network uses components such as an internal Threshold Signature Scheme (TSS) for each data stream and price aggregation using an algorithm that Binance claims ensures high reliability.

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