MahaDAO is Integrating Chainlink Price Feeds to Secure the ARTH GMU Peg
MahaDAO is super excited to announce our upcoming integration of Chainlink Price Feeds to generate a custom GMU price that supports the launch of the ARTH 2.0 valuecoin. By integrating Chainlink’s market-leading decentralized oracle network, MahaDAO will ensure that the ARTH valuecoin consistently remains stable based on the most precise and up-to-date market price of Global Measurement Unit (GMU) — a weighted index of multiple different fiat currencies, Gold, and Bitcoin.
We selected Chainlink as our go-to oracle solution because it provides pre-built decentralized price oracles across all assets in the GMU basket, which are all time-tested and proven to secure billions of dollars in value for leading DeFi protocols. Chainlink Price Feeds source price data from high-quality data providers with strong market coverage, as well as have a strong reputation for uptime, even during record levels of market volatility and network congestion.
ARTH GMU and Price Oracles
MahaDAO is soon to launch v2 of ARTH, the world’s first valuecoin. Most stablecoins are pegged to 1 USD, however, ARTH stands apart by being pegged to the Global Measurement Unit (GMU).
The GMU is a unit of measurement that ties its value to global purchasing power. ARTH uses a unique composition to calculate the GMU by creating a basket of assets. Therefore, the pegged price of ARTH is not affixed to 1 US Dollar, but rather to the combined value of the assets in the basket.
- 80% — World Fiat Currencies (this includes USD, GBP, INR, JPY, CNY, CHF, CAD)
- 15% — Gold (often considered a safe-haven asset)
- 5% — Bitcoin (also shown properties of being a safe haven asset as of recently)
More detailed information on the GMU basket can be found in our Gitbooks here.
Why We Selected Chainlink Price Feeds
Because ARTH is pegged to so many different assets, it is crucial to get accurate global prices on each asset and ensure the sourcing and delivery of that data on-chain is tamper-proof and readily available. Enter Chainlink.
Chainlink Price Feeds are widely used throughout DeFi because they are built to the highest industry standard when it comes to data quality, secure infrastructure, network reliability, and transparency in their on-chain performance. Some of the notable features of Chainlink Price Feeds that were key to our decision to integrate them include:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators like BraveNewCoin and Kaiko, leading to price data aggregated from hundreds of exchanges, weighted by volume, and cleaned from outliers and wash trading. This generates accurate global market prices that are resistant to API downtime, flash crash outliers, and data manipulation attacks like flash loans.
- Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises. Chainlink nodes have a strong track record for reliability, even during high gas prices and infrastructure outages (e.g., Infura).
- Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or oracle network.
- Reputation — Chainlink provides a robust reputation framework and set of on-chain monitoring tools that allow users to independently verify the historical performance of node operators and oracle networks, as well as check the real-time prices being offered.
Importantly, Chainlink is able to launch two new Price Feeds that are currently not live in order to support our weighted basket, which ultimately enables a complete GMU Price Feed to be created for MahaDAO.
“ARTH valuecoin is backed by multiple assets, giving it long-term value and stability. For this, we need the most accurate price feeds from the most secure and reliable oracle infrastructure, hence why we selected Chainlink. With our upcoming launch of ARTH 2.0, we are thrilled to have started our integration with Chainlink, giving us a highly robust mechanism for keeping the ARTH price pegged to the most up-to-date GMU.”
— Steven Enamakel, Creator of MahaDAO
Chainlink is the most widely used and secure way to power universally connected smart contracts. With Chainlink, developers can connect any blockchain with high-quality data sources from other blockchains as well as real-world data. Managed by a global, decentralized community of hundreds of thousands of people, Chainlink is introducing a fairer model for contracts. Its network currently secures billions of dollars in value for smart contracts across the decentralized finance (DeFi), insurance and gaming ecosystems, among others.
Chainlink is trusted by hundreds of organizations to deliver definitive truth via secure, reliable data feeds. To learn more, visit chain.link, subscribe to the Chainlink newsletter, and follow @chainlink on Twitter.
MahaDAO is a community-powered, decentralized autonomous organization on a mission to empower billions to preserve their purchasing power through the world’s first valuecoin, ARTH.