The Pyth Network price feed is in trouble once more after providing erroneous data that forced Synthetify, a cryptocurrency trading platform, to shut down.
Trading is halted due to price feed errors.
Synthetify, a relatively new crypto platform focused on trading crypto assets, had to halt operations just hours after launching on the Solana blockchain due to a software bug.
ChainLinkGod, a crypto expert with the Twitter handle ChainLinkGod, tweeted,
“Pyth Network’s time-weighted average price (TWAP) for the $SOL/USD price feeds appears to be reporting a negative value (-$19) at the moment.” Now, I’m no mathematician, but an average of positive values does not usually result in a negative. Using the confidence value isn’t going to help you here.”
The team also took to Twitter to address the situation, announcing that they would be suspending operations for the time being due to the network’s incorrect TWAP price. However, it was declared that the funds were secure. The team later revealed that the issues had been resolved in a follow-up tweet. The system, however, would be turned off for the next 12 hours.
Pyth has been strongly backed by prominent investment and trading institutions and individuals in the market, so the news caused some consternation in the community.
Pyth’s Pitfalls: Second Error in Less Than A Month
The Pyth price feed not only provides price data for crypto assets, but also for stocks, metals, and traditional currencies. Unfortunately, despite the support of well-known trading and investment firms in the market, the Pyth price feed has glitched for the second time in a short period of time, causing larger issues.
The Pyth Network reported in September that the price of Bitcoin had dropped by 90 percent to $5402 due to a computation error. As a result, the Pyth team was able to narrow down the problem to two unidentified data supply firms that were experiencing a decimal error.
A bug in the system changed the BTC price as a floating-point number for one of the contributors. The software rounded the value to zero and published it because it was an integer. When a 0 was used as an exponent instead of -8, the programming failed for the other contributor. The erroneous price feed was created by averaging the incorrect values with bitcoin prices from nine other Pyth contributors.
This article is provided solely for informational purposes. It is not offered as legal, tax, investment, financial, or other advice, and it is not intended to be used as such.