Fallback data provider
Increasing confidence of correct settlement by having a fallback data provider
DIVA Protocol incorporates a fallback data provider that steps in and provides a value if the primary data provider fails to submit within the 7-day submission period. The fallback data provider is granted a 10-day window following the submission period to report a value.
- The fallback data provider can decide whether to submit a value or not. The fallback provider may not report if:
- Markets are associated with unethical events such as the death of someone.
- The collateral token is useful and would not justify the costs for reporting.
- Values submitted by the fallback provider cannot be challenged by position token holders.
During the initial phase of the protocol, the fallback provider will be a Multisig entity owned by early contributors to the DIVA Protocol. However, the long-term goal is to transition to a decentralized oracle solution like Tellor Protocol.