# Oracle Risk ## Risk Description **Oracle risk** refers to the scenario in which the reported price of an asset, as provided by an external price feed, diverges from its actual market value at a given moment. Sendit relies on external oracle providers—specifically **Pyth** and **Switchboard**—to supply these price feeds. This constitutes an external dependency and introduces a form of **infrastructure risk**, as it stems from the integration of third-party protocols. **Pyth** is a well-established, highly reliable oracle provider with a strong track record and widespread adoption across the ecosystem. It offers robust price feeds for most large-cap memecoins and is considered one of the most advanced and battle-tested oracle solutions in the crypto industry. Given its maturity and proven performance, Sendit defaults to trusting Pyth as its primary oracle source. Notably, other leading protocols such as Jupiter, Kamino, Morpho, Synthetix, and Polymarket also utilize Pyth for price data. **Switchboard**, by contrast, is a more recent entrant to the oracle space. It allows users to create custom price feeds by aggregating data from various sources through a modular, plug-and-play architecture. The primary risk associated with Switchboard lies in the accuracy and reliability of the underlying data sources selected for a given feed. If those inputs are incorrect or manipulated, the resulting oracle price may be flawed. ### Risk Controls Each market listed on **Sendit** includes detailed information about its associated oracle provider, including the specific oracle and price feed IDs. This transparency allows any user to independently verify the oracle data being utilized. Furthermore, Sendit distinguishes between **Verified Markets** and **All Markets**. Upon the creation of a new market, an internal due diligence process is initiated to assess the integrity of the selected oracle. If the market utilizes the appropriate **Pyth** price feed corresponding to the underlying asset, it will be designated as a **Verified Market**. For markets employing **Switchboard** oracles, a comprehensive review is conducted to evaluate the accuracy and reliability of the selected data sources and the robustness of the resulting price feed. Only markets that meet Sendit's internal standards for data integrity and oracle reliability will be included in the Verified Markets category. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.sendit.fun/security/risks/oracle-risk.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.