# Trustless Data & Oracles

## Powering Trustless Data on Bitcoin with Torram Oracles

Written by Torram Labs CTO [Lee Raj](https://www.linkedin.com/in/leeraj/).

A few weeks ago, we released the alpha version of the **Torram Network**. This version successfully demonstrated five critical assumptions about leveraging the Bitcoin network:

1. Bitcoin can store more than just meme data. It can be used to store the world’s most important financial data, including U.S. Treasury yields, the S\&P 500, and crypto-native data.
2. Data can be stored in Bitcoin blocks in a decentralized and trustless manner—without compromising the ethos of the Bitcoin network.
3. Stored data can be indexed from Bitcoin blocks into highly readable, human-friendly formats.
4. It is economically viable for a decentralized P2P network to spend real Bitcoin (on mainnet) to secure data.
5. It’s possible to build a Proof of Stake network with the security guarantees of Bitcoin’s Proof of Work.

**Crash Course: How Torram Oracles Work**

Currently, the Torram network consists of a decentralized set of **30 validators**, who operate in a trustless manner by following these steps:

**Step 1:** Validators aggregate data from trusted sources (e.g., Coinbase, Kraken, Binance) and compute VWAP (Volume-Weighted Average Price) values.

**Step 2:** Validators collaboratively sign the aggregated data using our **Threshold Signature Scheme (TSS)**, which leads to consensus on the data proposed for submission.

*(Note: We are working actively to improve the oracle consensus mechanism)*

**Step 3:** Once consensus is reached, a Merkle proof of the data is generated. Our network of **trustless relayers**—operated by validators—then broadcasts this proof for inclusion in Bitcoin blocks.

**Step 4:** After six confirmations on the Bitcoin blockchain, Torram nodes index the validated information from Bitcoin blocks into the Torram network.

Here is a more graphical overview.

Figure 01: Torram produces 1-minute blocks to scale Bitcoin natively

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-01-Torram-produces-1-minute-blocks-to-scale-Bitcoin-natively-1024x584.png" alt="" height="584" width="1024"><figcaption></figcaption></figure>

Figure 02: Merkle proofs submitted to Bitcoin every 10 minutes

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-02-Merkle-Proofs-Submitted-1024x592.png" alt="" height="592" width="1024"><figcaption></figcaption></figure>

Figure 03: Torram data links to Bitcoin blocks; hashes included post-confirmation

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-03-Torram-data-links-to-Bitcoin-blocks-hashes-included-post-confirmation-1024x639.png" alt="" height="639" width="1024"><figcaption></figcaption></figure>

Figure 04: Validators timestamp data during submission and consensus

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-04-Validators-timestamp-data-during-submission-and-consensus-1024x882.png" alt="" height="882" width="1024"><figcaption></figcaption></figure>

Figure 05 (a): After 6 confirmations, data is indexed; crypto chart shown

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-05-A-After-6-confirmations-data-is-indexed-crypto-chart-shown-1024x664.png" alt="" height="664" width="1024"><figcaption></figcaption></figure>

Figure 05 (b): After 6 confirmations, data is indexed; stock chart shown

<figure><img src="https://torram.xyz/wp-content/uploads/2025/05/Figure-05-b-After-6-confirmations-data-is-indexed-stock-chart-shown-1024x661.png" alt="" height="661" width="1024"><figcaption></figcaption></figure>

The complete list of supported prices feeds can be found in our Github repo – <https://github.com/TorramLabs-Team/Torram_Network>

For more information and to start building, visit the links below:

[Follow us on X](https://x.com/Torram_xyz?ref=hackernoon.com)

[Follow us on LinkedIn](https://www.linkedin.com/company/torramlabs?ref=hackernoon.com)

[Join our Builders Community](https://t.me/torrambuilders?ref=hackernoon.com)


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