Oracles are third-party services that supply external, real-world data to blockchain smart contracts. They act as bridges between the blockchain and the outside world, enabling smart contracts to execute based on information such as market prices, weather, or events.
These services are crucial for expanding the functionality of decentralized applications by incorporating dynamic, off-chain data.
The reliability and accuracy of oracles are essential, as the performance of smart contracts directly depends on the quality of the data provided.
« Back to Glossary Index