Blockchains are inherently isolated and cannot directly receive information from the outside world (e.g., stock prices, weather data, sports match results). That's where oracles come in!
What are they? Oracles are services that provide smart contracts with verified, reliable information from external sources. They act as a bridge between the blockchain and the real world.
Why are they important? Without oracles, smart contracts would be severely limited. They are essential for the functioning of most decentralized applications (DeFi), NFT projects, insurance, and much more.
Reliability: The key task of oracles is to ensure the integrity and reliability of the transmitted data to avoid manipulation.
Oracles are invisible but critically important components that make blockchain truly useful for real-world use cases.
