Blockchain & tech

Oracle

In shortA service that brings outside data — such as prices — onto the blockchain for smart contracts to use.

A lending protocol needs to know the ETH price to decide when to liquidate a loan; an oracle supplies it. Chainlink is the best-known oracle network.

If an oracle can be manipulated, attackers can trick protocols into lending too much or liquidating unfairly — a common DeFi exploit.

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