ParabolicParabolicDOCS
Architecture

Oracle System

Multi-source weighted-median oracle with mark-price smoothing.

Custom multi-source oracle using weighted median (more manipulation-resistant than weighted average).

Data sources
Tier 1
55%
Prediction Markets (Polymarket, Kalshi)
Direct probability pricing
Tier 2
35%
Sportsbooks (DraftKings, FanDuel, Pinnacle)
Moneylines → implied probability
Tier 3
10%
Models (ESPN, Internal)
Sanity checks + tiebreakers
Mark price vs Index price

Index Price = raw weighted median (true consensus). Mark Price = dampened version for liquidations — prevents flash spikes from triggering mass liquidations.

Mark Price = 0.7 × Index Price + 0.3 × 5-second EMA of Index Price
Safety mechanisms
  • Staleness filter — sources not updated in 30s drop to zero weight
  • Deviation cap — source deviating 10%+ from median is excluded
  • Smoothing — 3-second EMA prevents flash spikes
  • Safe mode — 3+ sources fail: prices freeze, max leverage → 2x
  • Total failure — all sources down 60s+: trading halted

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