DLC Oracle

Schnorr-signed attestations for Discreet Log Contracts on Bitcoin L1. Trustless settlement of financial contracts without custodial intermediaries.

How It Works

The Mycelia Signal DLC oracle follows a two-phase commit-then-reveal pattern:

1. Announcement phase. Before the event maturity, the oracle publishes an announcement containing pre-committed nonce points (R-values) for each digit of the price. Contract participants use these R-points to construct their Contract Execution Transactions (CETs) before the outcome is known.

2. Attestation phase. At maturity (hourly for BTC/USD), the oracle publishes Schnorr s-values — one per digit — that correspond to the actual price outcome. These s-values, combined with the pre-committed R-points, allow exactly one party to claim the contract funds.

Numeric Decomposition

The oracle uses 5-digit numeric decomposition for BTC/USD prices. Each digit (0–9) of the price gets its own R-point and s-value. For example, a BTC price of $84,231 is decomposed into digits: [8, 4, 2, 3, 1].

This allows contract participants to construct CETs for price ranges rather than exact values — you can build a contract that pays out if BTC is above $80,000 by only checking the first two digits.

Endpoints

Free Endpoints

curl https://api.myceliasignal.com/dlc/oracle/pubkey

{
  "oracle_pubkey": "02a1b2c3d4...compressed_hex",
  "key_format": "compressed",
  "key_bytes": 33,
  "curve": "secp256k1"
}

curl https://api.myceliasignal.com/dlc/oracle/status

{
  "oracle_pubkey": "02a1b2c3d4...",
  "announcements": 720,
  "attestations": 715,
  "pending": 5,
  "num_digits": 5,
  "pairs": ["BTCUSD"],
  "version": "v1"
}

curl https://api.myceliasignal.com/dlc/oracle/announcements

curl https://api.myceliasignal.com/dlc/oracle/announcements/BTCUSD-2026-03-03T17:00:00Z

Paid Endpoint (L402 — 1000 sats)

curl -i https://api.myceliasignal.com/dlc/oracle/attestations/BTCUSD-2026-03-03T17:00:00Z

This follows the same L402 flow as other paid endpoints — you'll receive a 402 with a Lightning invoice for 1000 sats, pay it, then retry with the macaroon + preimage.

Event ID Format

Event IDs follow the pattern: {PAIR}-{ISO8601_TIMESTAMP}

BTCUSD-2026-03-03T17:00:00Z

Events are created hourly. The timestamp indicates the maturity time — when the oracle will publish the attestation.

Announcement Structure

Each announcement contains the pre-committed R-points that contract participants need to build their CETs:

{
  "event_id": "BTCUSD-2026-03-03T17:00:00Z",
  "pair": "BTCUSD",
  "maturity": "2026-03-03T17:00:00Z",
  "num_digits": 5,
  "created_at": "2026-03-03T16:00:00Z",
  "nonce_points": [
    "03aabb...digit_0_R_point",
    "03ccdd...digit_1_R_point",
    "03eeff...digit_2_R_point",
    "031122...digit_3_R_point",
    "033344...digit_4_R_point"
  ]
}

Attestation Structure

After maturity, the attestation reveals the s-values for the actual price digits:

{
  "event_id": "BTCUSD-2026-03-03T17:00:00Z",
  "pair": "BTCUSD",
  "price": 84231,
  "digits": [8, 4, 2, 3, 1],
  "s_values": [
    "aabb11...s_for_digit_8",
    "ccdd22...s_for_digit_4",
    "eeff33...s_for_digit_2",
    "112244...s_for_digit_3",
    "334455...s_for_digit_1"
  ],
  "oracle_pubkey": "02a1b2c3d4...",
  "attested_at": "2026-03-03T17:00:05Z"
}

Error Handling

Technical Details