Oracles & Price Feeds
Lombard provides on-chain data feeds that allow anyone to verify protocol health and access accurate pricing information. This page documents the available feeds and their addresses.
Protocol Proof of Reserves
Chainlink provides a feed on Ethereum mainnet: https://data.chain.link/feeds/ethereum/mainnet/lombard-por
This value is used by the Lombard PoR page and Dune dashboards. It is the amount of Bitcoin that backs all of Lombard's products, i.e. both LBTC and BTC.b.
How it Works
Chainlink's oracle nodes index all of the Bitcoin addresses that are used underneath Lombard (on the published Base Address List), checks the value of Bitcoin in the addresses, and sums all together. If a majority of Chainlink nodes agree, the value is updated on-chain. Note: small value changes are not updated, the value is updated based on the configured deviation threshold and heartbeat.
Base Address List
Lombard publishes an open address list of all Bitcoin addresses backing Lombard on the Base network (for cost efficiency). The values can be obtained via the public read methods to iterate through the dataset.
Each address can be verified by the address derivation data provided, or an optional attached signature. A complementary library ts-verifier is available on Github to help.
LBTC Fundamental Price
Lombard and RedStone publish the Bitcoin value of LBTC. As LBTC gains value against BTC over time, it is therefore backed by an increasing amount of BTC. Lombard publishes the protocol defined ratio value, used for minting and redemption by the protocol.
RedStone's fundamental price feed provides a third-party view of LBTC, comparing Lombard's native BTC reserves that are assigned to LBTC, to the amount of LBTC in circulation. RedStone publishes the methodology in their documentation.
Contract Addresses
Price Feed Oracles
Price feed oracles provide the LBTC/BTC exchange rate on-chain. This rate increases over time as staking yield accrues.
Why Price Feeds Matter
Unlike BTC.b which is always 1:1 with BTC, LBTC's value relative to BTC changes. DeFi protocols need accurate exchange rate data to:
Price LBTC correctly in lending markets
Calculate proper collateral values
Enable accurate swaps and liquidations
Price Feed Contract Addresses
For Integrators
If you're building a protocol that integrates LBTC:
Pricing LBTC
Always use a price feed rather than assuming 1:1 with BTC. LBTC appreciates against BTC over time, using stale or incorrect pricing will cause issues in lending markets and other DeFi applications.
Choosing a Provider
Ethereum has both Chainlink and RedStone feeds available. Choose based on your existing oracle infrastructure and integration requirements.
Rate Update Frequency
The exchange rate changes gradually as yield accrues. There are no sudden jumps. For most applications, the update frequency of standard oracle feeds is sufficient.
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