@Pyth Network Narrative 1: Embedding 'Credibility' into the Clearing Line
A leading perpetual exchange decided to change the reference of the clearing engine from a single price point to a dual input of 'Price + Credibility'. After integrating Pyth, the risk control panel added an adjustable slider: when the confidence interval experiences extreme volatility, it doubles, and the system automatically raises the initial and maintenance margin in sync, returning to the baseline according to the bandwidth during stable periods; all changes are logged along with 'Quote Hash + Credibility + Block Height'.
In the first week of going live, the most noticeable observation in the clearing room was the reduction in phone calls—unnecessary clearings during night sessions decreased significantly, and new positions were not congested, with trading depth not being squeezed. This is not a coincidence: pull-based updates avoid ineffective pushes during peak periods, and the readiness time for P50/P95 prices converges within a predictable curve, with margin tiers for long and short positions being shaped concretely by the 'credibility band'. We are more concerned about verifiability: customer service tickets now come with playback links, and complaints are archived with specific numbers;
Audit sampling follows the path of 'Timestamp → Credibility Band → Parameter Changes' for playback, with technology and legal aligning on the same page for the first time. In more pragmatic terms, @Pyth Network did not provide the exchange with 'more magical prices', but rather the engineering capability to treat uncertainty as a primary input; when parameters are no longer determined by guesswork
