Polygon Alpha Podcast hosted by Crypto Texan
Polygon Alpha Podcast
The Web3 Connectivity Problem | API3 | Dave Connor & Ashar Shahid | Polygon Alpha Podcast
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The Web3 Connectivity Problem | API3 | Dave Connor & Ashar Shahid | Polygon Alpha Podcast

First-party oracles are the next-generation technology to access off-chain data. API3 is leading the movement from legacy third-party oracle networks to first-party oracle solutions.

Audio from the September 13, 2022 installment of “Polygon Alpha” with Dave Connor, co-founder & Ashar Shahid, core protocol developer at API3.

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API3

- API3 is a collaborative project to deliver traditional API services to smart contract platforms in a decentralized and trust-minimized way.

- It is governed by a decentralized autonomous organization (DAO), namely the API3 DAO. Therefore, its code is open source and its operations are transparent.

- The vast majority of the external integrations that decentralized applications need are to commercial Web APIs that traditional businesses have built to monetize their data and services.

- Therefore, what is widely known as the oracle problem is in practice an API connectivity problem.

- Existing oracle solutions fall short because they fail to make this distinction, resulting in inferior solutions that depend on third-party oracles and ecosystems that exclude API providers.

- By refining the definition of the problem, API3 aims to provide a much more optimal solution.

- At its core, API3 brings the ability for API providers to easily run their own oracle nodes.

- This allows them to provide their data on-chain, without an intermediary, to any decentralized app (dApp) interested in their services.

- At the heart of this mechanism sits Airnode, an open-source oracle node.

- It's designed to be easily deployed by any API provider with almost no maintenance.

- Because of Airnode, dApp developers can write smart contracts to interact with the on-chain data of API providers.

- Airnode is designed with mechanisms to remove the on-chain or off-chain concerns of API providers.

- The set-and-forget framework of Airnode is all about ease of implementation.


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