How do x402 and Switchboard co-create the "value artery" of the intelligent economy?

The infrastructure of the x402 track is currently in a blank state. Although the major market has taken away the “timing,” causing applications like Launchpad and intermediary layers like Facilitator to temporarily fall silent, it has provided more build time windows for the underlying infrastructure layer. Switchboard, as an Oracle Machine project emerging from the Solana ecosystem, recently proposed to provide data service layers for the x402 protocol. How exactly will this be done?

1. In terms of technical architecture, Switchboard uses a TEE (Trusted Execution Environment), which differs from traditional consensus models like Chainlink and Pyth that rely on network verification. The data is directly transmitted to the blockchain based on a secure enclave.

2. In terms of protocol compatibility, Switchboard is compatible with the x402 protocol standard, allowing the AI Agent to directly initiate data requests via HTTP 402, complete authorization through on-chain micro-payments, and receive data instantly. The entire process does not require additional adaptation layers or intermediate contracts.

3. In terms of billing model, it breaks the traditional subscription model of Oracle Machines and supports pay-per-call—Agents pay based on the number of calls and data points, paying only for what they use, which is completely in line with the on-demand payment design concept of the x402 protocol.

4. A more aggressive point is that Switchboard has completely removed the API Key mechanism. In the traditional model, calling data services requires registration, application for a Key, and permission management, which is a huge friction for Agents. Now, in a user's 402 transaction request, carrying enough can instantly access any data source without registration or approval.

The question arises, does the x402 protocol need a dedicated Oracle Machine service layer?

First, let's clarify a concept. In the x402 protocol architecture, the Facilitator is responsible for payment facilitation—acting on behalf of others, broadcasting transactions, and state verification, addressing the issue of “how money flows.” In contrast, the API services that the Agent actually calls, whether for obtaining prices, executing calculations, or invoking LLM reasoning, are provided by the Provider layer.

What Switchboard aims to do is to create a special type of Provider: a Provider that specifically offers on-chain trusted data services, constructing the core information layer for Agent value transmission.

Imagine if the Provider is a centralized API, what happens if the data is tampered with or the service goes down? In the Web2 scenario, these risks are mitigated by channel branding and legal contracts, but in on-chain execution environments, especially when it involves complex DeFi operations, verifiable data with on-chain proof is required.

If ERC-8004 addresses the trust and reputation issues of buyer Agents, then this type of Oracle Machine-guided Provider is to provide a layer of trusted assurance in the verification of seller (API) data credibility.

Essentially, the x402 protocol constructs the payment layer of the Agent service market, while Switchboard builds the data service layer. If the payment layer allows money to flow, the data service layer allows trusted data to flow.

Only by combining the two can the Agentic Economy have a complete infrastructure.