<p>I assume that a good solution would be to provide an oracle that calculates the average price coming from different exchanges.</p>

CC BY-SA 4.0
2021-05-26T11:11:06.333Z
Sounds like a great idea to me. Practical and appropriate Oracle application indeed. Though it would mean that the converter cannot function until it gets data feed from an Oracle first.
Mr. D
CC BY-SA 4.0
2021-05-26T11:08:36.993Z
2021-05-26T11:08:36.993Z
Johannes Sirsch
<p>Will it convert tokens based on ADA/ETH pair price at the moment of conversion? If so, which exchange will it use for knowing the rate of exchange?</p>

CC BY-SA 4.0
2021-05-26T17:03:09.273Z
Are you sure the ERC-20 converter can be used to swap tokens? My understanding is that it can be used to move the same token between the Ethereum network and the Cardano network.
Joshua Chia
CC BY-SA 4.0
2021-05-26T17:17:43.947Z
I'm not sure, I only assumed. Good point. But then how would an ERC20 token benefit from the Cardano network advantages? This would give rise to many other questions.
Mr. D
CC BY-SA 4.0
2021-05-26T17:20:05.077Z
For one thing, the ERC-20 could be an escape valve from the high gas fees on the Ethereum network if similar smart contracts on Cardano cost less to use.
Joshua Chia
<erc20>
What will the ERC20 converter use as an exchange rate?
# What will the ERC20 converter use as an exchange rate?

(Asked by: username_0 on 2021-05-26)

Will it convert tokens based on ADA/ETH pair price at the moment of conversion? If so, which exchange will it use for knowing the rate of exchange?

**Tags:** erc20
> **Comments:**
> **username_1**: Are you sure the ERC-20 converter can be used to swap tokens? My understanding is that it can be used to move the same token between the Ethereum network and the Cardano network.  
> **username_0**: I'm not sure, I only assumed. Good point. But then how would an ERC20 token benefit from the Cardano network advantages? This would give rise to many other questions.  
> **username_1**: For one thing, the ERC-20 could be an escape valve from the high gas fees on the Ethereum network if similar smart contracts on Cardano cost less to use.  

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## 1 answers

### Answer by username_2 on 2021-05-26. Score: 4

I assume that a good solution would be to provide an oracle that calculates the average price coming from different exchanges.

> **Comments:**
> **username_0**: Sounds like a great idea to me. Practical and appropriate Oracle application indeed. Though it would mean that the converter cannot function until it gets data feed from an Oracle first.  

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