Statistical analysis demonstrates that Flare Time Series Oracle prices maintain a high degree of accuracy over time.
The analysis was performed by comparing the decentralized prices output by the FTSO on the Songbird network (Flare’s canary network) and the equivalent centralized prices on the Kraken exchange. USD prices for BTC, ETH and XRP assets were compared for a period of two weeks between 7 January and 21 January 2023. FTSO price epochs currently last 3 minutes, so this analysis period included a total of 3,360 prices per asset which were outputted by the FTSO system.
The analysis concludes there is no significant difference in FTSO prices compared to Kraken’s exchange prices during this period. This is despite the fact that some variation is to be expected because BTC, ETH and XRP are highly liquid assets and Kraken has a large number of trades occurring for each asset within every 3-minute FTSO price epoch.
The FTSO is one of the most decentralized oracles in blockchain. This new evidence suggests that it is also one of the most accurate, when compared to pricing on Kraken.
