> For the complete documentation index, see [llms.txt](https://docs.seda.xyz/home/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.seda.xyz/home/archvie/seda-litepaper/introduction.md). # Introduction ## SEDA | The Evolution of Data and Blockchains Blockchain networks are isolated execution environments that lack the ability to directly interface with data sources beyond their native environment. This isolation creates a fragmented landscape between blockchain networks and any data source from the traditional internet. Furthermore, this isolation prevents blockchain networks from unlocking the full potential of their technology, which relies heavily on its capability to query data beyond the confines of the network itself. Smart contract-based systems, commonly referred to as "oracles'', were developed as a technology to bridge this gap. Yet, the prevailing oracle systems exhibit shortcomings, such as unsustainable economic models, centralized bottlenecks, bandwidth restrictions, and limited accessibility, let’s call these systems oracles 1.0. When a smart contract depends on oracles 1.0 designs, they inadvertently sacrifice some of the advantages of their base network by introducing a single point of failure. In this litepaper, we delve into how SEDA has solved these challenges, offering a scalable and secure solution that aligns with the core principles of permissionless technology, enabling the next evolution of oracles, oracles 2.0. SEDA is a layer one network that supports the permissionless data flow from any source to any destination network. SEDA addresses the core centralization and failure risks we see today when accessing off-chain data. SEDA is a necessary building block to achieve a modular, purpose-built future for layer one and layer two networks. SEDA is the foundation for data in web3. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.seda.xyz/home/archvie/seda-litepaper/introduction.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.