# Oracle

## **The Role of Oracles**

Oracles provide off-chain data to on-chain applications, enabling smart contracts to **access real-world market prices** securely and trustlessly. In Bullet, oracles are critical for ensuring accurate mark prices, particularly for our perpetual futures exchange.

## **How Bullet Uses Oracles**

* **Set Mark Prices** – Ensuring liquidations, funding payments, and Profit and Loss (PnL) calculations use an accurate global price.
* **Enable Diverse Listings** – BulletX can list any perp market that has a reliable on-chain price feed, even if a spot market does not exist.
* **Protect Against Manipulation** – Using real-time oracle updates and aggregating from multiple publishers reduces the risk of stale or manipulated price data.

## **High Frequency Oracle**

Bullet is excited to be a launch partner for [Pyth Lazer](https://www.pyth.network/blog/introducing-pyth-lazer-launching-defi-into-real-time), a groundbreaking real-time market data oracle, delivering:

* **Millisecond Latency** – Prices update in near real-time, far beyond traditional block-based oracles, which is essential for networks like Bullet that process trades every few milliseconds.
* **Direct Exchange Feeds** – Data sourced directly from major exchanges for high-fidelity pricing.
* **Optimized for High-Frequency DeFi** – Ensuring smooth operation for Bullet’s perp traders, market makers, and automated strategies.

By leveraging Pyth, Bullet achieves low-latency, highly accurate price updates, creating a **CEX-like trading experience on a trust-minimized rollup**.