RedStone, a blockchain oracle provider backed by Arrington Capital, announced on Thursday the launch of its native token, $RED, on the Ethereum network.
In a press release shared with CryptoNews, the firm said the token is designed to secure and decentralize RedStone’s oracle infrastructure by allowing staking, enhancing economic security, and introducing a sustainable oracle economy.
“The introduction of the $RED token marks a crucial step toward decentralizing our oracle infrastructure while reinforcing the security and reliability of DeFi applications,” said Marcin Kazimierczak, co-founder of RedStone.
“By integrating staking through RedStone AVS on EigenLayer, we align incentives for data accuracy and expand the potential of what oracles can achieve,” said Kazimierczak.
Stakers Earn Rewards in $RED
The staking model will allow both data providers and token holders to participate in securing the network. Data providers stake $RED to guarantee the reliability of the price feeds they supply, while token holders stake directly within the RedStone AVS to further reinforce network security.
In return, $RED stakers will receive rewards from RedStone data users across multiple blockchain networks, with payouts in widely adopted assets such as ETH, BTC, SOL, and USDC. This structure creates a incentive system for active participants in the ecosystem.
To encourage widespread adoption and community participation, RedStone said it has allocated 10% of the total 1 billion $RED tokens for the Community & Genesis distribution.
This initiative includes targeted airdrops to reward early supporters, partners, and active contributors who have played a role in RedStone’s rapid growth.
RedStone Launches Bitcoin Staking Oracles
In October, RedStone launched Bitcoin staking oracles to enhance DeFi protocols on platforms like Ethereum, Avalanche, and Polygon. This allows Bitcoin holders to stake their assets in decentralized finance (DeFi) by delivering real-time data for liquid staking.
In July, RedStone raised $15 million in a funding round led by Arrington Capital, supporting its expansion efforts. The firm provides data feeds to blockchains and layer 2 technologies compatible with the Ethereum Virtual Machine (EVM).
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