A customized, trusted validator set

As an SPE, Pythnet can be customized to its own specific parameters — including a validator set optimized for oracles. Pythnet is a proof-of-authority (PoA) network, in which a select group of validators known for their reliability and strong reputation are responsible for verifying and approving transactions. This approach streamlines the transaction process for Pythnet’s needs.
The Pythnet oracle is managed by the Pyth DAO, a decentralized organization governed through tokens, which makes sure only certain vetted groups can update prices. Once publishers are admitted, they are provided with Pythnet’s native token (PGAS) to perform their functions. PGAS is used as the token for transaction fees within the Pythnet environment. It acts as a gating factor, ensuring that only authorized publishers and validators can participate in the network. The token is considered valueless outside its specific use within Pythnet, emphasizing its role as a control mechanism rather than a tradable asset.
PoA environments are useful for protocols who want to use blockchain without everyone seeing their information. In the Pyth Network, only permissioned publishers can publish data, but anyone can read and utilize.

The benefits of Solana Permissioned Environments (SPEs)

The key advantage of SPEs lies in their ability to provide customizable, governable blockchain environments using Solana Virtual Machine (SVM) architecture. They are ideally suited for specific applications that demand customizable environments.
While Pyth operates on both Solana mainnet and Pythnet, it also retains the ability to transfer prices constructed on Pythnet to over 12 other blockchains — a function that is only possible from a high-performance mainnet such as Solana. This cross-chain capability is crucial for wider accessibility and usability of the data Pyth provides.
Utilizing an SPE model, Pyth can enable new uses for financial data sharing:

• Distributed: Pythnet presents a new, fully crowdsourced and transparent oracle system.
• High-frequency updates: Traditional oracles didn’t update fast enough for many financial applications, leading to inaccuracies and vulnerabilities. Pyth offers low-latency, high-frequency price feeds, a feature that requires a high-throughput blockchain like Solana to operate effectively and deliver real-time data.
• Coverage and availability: Developers have often lacked access to necessary price feeds for their specific blockchain, limiting the development of financial services. Solana's versatile environment supports a wide range of applications with the ability to integrate with Pyth data, such as exchanges, lending platforms, and analytics tools.
• Sourcing and quality: Previous data sources were opaque, often aggregated from third-party sources, undermining trust and accountability. Pythnet sources from multiple data publishers for each product, thereby enhancing the accuracy and robustness of its system. Meanwhile, Solana's decentralized infrastructure invites various publishers to submit pricing information securely and reliably. This combined decentralized approach helps in reducing the risk of manipulation or single points of failure.
• Transparency: Solana's permissionless environment aligns with Pyth's ethos of open access, allowing developers to integrate with Pyth data seamlessly and without barriers. Pyth data from Price Feeds can be viewed online. 
• Gas efficiency: Pyth’s Pull Oracle architecture is highly gas efficient, as users only pay for the prices they request. Solana's low-cost transaction environment complements this design, making it cost-effective for users to access data.

It's important to note that SPEs operate separately from the Solana mainnet, which means they do not inherently benefit from interoperability with the broader Solana ecosystem. Bridging SPEs to the mainnet is possible through the use of a bridge called Wormhole.
"We don't bridge currently back and forth between the two [Pythnet and mainnet] because there is no need," Jazoune said, explaining that two versions run in parallel. "We are bridging out from the appchain to other blockchains through the Wormhole bridge.”
According to Jazouane, the Wormhole bridge helps Pyth access as many as 45 other blockchains. 
“This is the power of [a permissioned environment] is connected to other blockchain worlds through bridging,” said Jazouane. 
The strategy, he says, allows Pythnet to operate directly within the Solana protocol’s high-throughput ecosystem while still participating in a broader multichain industry.