Tellor (TRB) coin is a decentralized oracle network based on the PoW (Proof of Work) consensus mechanism. Its main purpose is to allow all participants to provide the most authentic data and obtain award. This article will analyze the future value and prospects of TRB coins in detail and provide some useful information for investors.
What is TRB coin?
The full English name of TRB coin is Tellor. Tellor is a decentralized oracle network platform used to integrate high-value off-chain data into Ethereum. The system uses controversial network competition to solve the PoW problem, monitors user data requests on the chain, and monitors and receives data requests off the chain. Each successful Tellor data point will be mined using tokens, with the company taking a 10% development share to support the growth of the ecosystem.
To obtain secure oracle data, smart contracts on the chain need to submit data requests to the oracle. Based on the reward assigned to each request, the oracle selects the request with the most funds every ten minutes. Each request collects specific information (such as the price of ETH/USD) and makes it available on-chain.
Analysis of the future value and prospects of TRB currency
Advantages of the decentralized approach: Tellor has adopted a decentralized approach to construct its oracle from the beginning, which combines the advantages of PoW and PoS (Proof of Stake) staking. This hybrid mechanism brings it a certain security guarantee and a flexible incentive mechanism. Because the security of Tellor’s decentralized oracle is related to the value of its token TRB, in the early days, it was difficult for it to provide separate oracle services for DeFi (decentralized finance) projects involving hundreds of millions of dollars in value, because this would lead to attacks possibility.
Methods to improve Tellor’s own value
To prevent price attacks, the value of Tellor itself must first be increased. For example, if it grows into a project worth hundreds of millions or even billions of dollars, the cost of attacks will be greatly increased. To improve Tellor’s own value, there are two ways to go:
Develop together with early encryption projects: Committed to building a decentralized mechanism and gradually realizing a positive cycle of value growth.
Collaborate with other oracles: Enable more secure decentralized oracle services through greater decentralization across oracle networks.
Tellor's security mechanism: Tellor achieves the security of on-chain quotes through the three processes of "pledge participation + POW competitive quotation + dispute voting". Three of these links require the participation of token TRB. The higher the TRB value, the higher the attack cost, the higher the security of the agreement, and the more accurate the data. The project mainly focuses on servicing DeFi protocols, but the disadvantage is that retrieving data requires 10 minutes of competitive quotation to complete, and the data cannot be provided immediately.
Community governance and token destruction
The team has destroyed the manager’s private key to implement community voting governance. According to the latest interviews, the original development team’s wallet has approximately 90,000 TRB tokens, accounting for 5.7% of the current total circulation. The security of the Tellor network depends on the value of the token TRB. Currently, in the Tellor V2.5 community governance plan, half of the DeFi protocol call fee will be used to destroy the TRB token, giving the token value support. At the same time, the pledge amount is reduced to 500TRB, which will encourage participation in the construction of the protocol to a certain extent, achieve more decentralization, and provide more secure data. Future development will be sustainable.
Smart contracts and off-chain data
The editor hereby reminds investors that the biggest obstacle to the applicability of smart contracts in the market is the lack of trustworthy sources of off-chain data. The Tellor project has captured this point and tried to fill it through on-chain data. White space under the chain. At present, the development of the project is still good, and the recent market performance is also good. Investors who are optimistic about this currency can buy at a suitable point.
Summarize
Tellor (TRB) coin, as a decentralized oracle network, provides secure and accurate data for smart contracts on the chain by combining PoW and PoS mechanisms. Although it currently faces some challenges, such as long data retrieval times, its decentralized approach and community governance mechanism give it great development potential in the future. Investors can choose the right time to invest based on market performance and project development.
By continuously improving its own value and cooperating with other oracles, Tellor is expected to occupy a place in the field of decentralized oracles. For investors who are optimistic about the project, TRB currency is undoubtedly an investment target worthy of attention.