(1) History and Description. Does it have any token or cryptocurrency associated? Explain.
Tellor (TRB)
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Tellor is a decentralized oracle network where it's miners by virtue of the Proof of Work consensus mechanism competitively place their fetched data on-chain for a smart contract. The Tellor makes room for entities to drop off chain informations while the miners now compete to ensure the information is verified and then added to an on-chain platform.
Tellor protocol compensates it's users with it's miners with it's native token called TRB as reward. Usually, prior to becoming a miner or engage in the mining process in the Tellor protocol, the miner is mandated to deposit upto 1,000 TRB tokens which serves like a collateral and an assurance that the miner will only vote for information which is valid. Also floor users a motivated to ensure that the data mined is valid because if it is not valid, the the miner stands a chance of loosing his staked 1,000 TRB to the user that found out his err.
Tellor was developed and then later launched in 22nd November, 2019 by Nicholas Fett, Brenda Loya, Michael Zemrose in an attempt to solve the oracle problem which the Ethereum Blockchain was facing. Tellor is a decentralised maximum security oracle for DApps and it is Ethereum based.
The Tellor token at it's launch was worth $1.915 . Today at the time of writing, one TRB is worth $48.62 with a Market cap of $92,160,945 and trading volume of $65,159,698. Its rank is 360 in the crypto market Rank. Tellor token has a circulating supply of 1,888,508 TRB out of a total supply of 1,957,561 TRB.
(2) Functionalities and real-life applications.
Funtionalities of Tellor
• Decentralized Oracle: Tellor functions as a data source that is decentralised for Ethereum based applications which will require the execution of it's smart contract using data that is off-chain.
• Data Providers: companies that specialize in data publication and want to recieve more compensation can apply under Tellor network to provide them with relevant and valid data to include in their data feeds.
Some Use Cases of Tellor
• Market Data: Tellor is used as a place where market data can be sourced for open finance applications and decentralised exchanges. This crutial market data is a requirement by the samrt contract of decentralised exchanges in order to index asset prices correctly.
Prediction Market: Results of sports or even elections are famous off-chain data which Blockchain applications make use of to enable them creates market for decentralised bets.
(3)Pros and Cons.
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Advantages
• Maximum Security: It is near impossible for a 51% attack to occur in the Tellor network. This is because every individual miner has millions of dollars to lose when he jeopardize the truth or validates a false data.
• Data Authenticity: Since there are different miners who would validate the data then, the oracle is dependent upon multiple truth sources thereby authenticating the data provided.
Disadvantages
• Much time is Required: since there are more miners in the data sourcing, it will takeore time for individual miners to validate the data. It takes about 5 minuites for a block to be added to the chain in the Tellor network.
• Uncertainty: When a majority of the miners has voted, what ever data they validate will then be considered to be true even if it totally deviates from the real life truth.
Conclusion
Tellor currently has the back up and recognition of some already established names in the crypto world such as Maker DAO, Binance Finance Lab and Consensus.
Tellor is decentralized oracle network that is based on the Ethereum Blockchain. At it's data validation level and governance, thereby making it transparent at most levels.
Regards to Professor @allbert