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Glossary entry

Oracle Network

infrastructure

An oracle network aggregates data from many independent node operators into one on-chain feed, reducing reliance on a single reporter.

Definition

An oracle network is a group of independent node operators that collect the same off-chain data, agree on a single value and publish it on-chain for smart contracts to use. Rather than trusting one reporter, the network aggregates many submissions — typically taking a median — so one faulty or dishonest operator cannot move the published figure on its own. Operators are usually identified by stake or reputation and can be penalised for reporting badly or going offline. The things worth checking are how many independent sources sit behind a feed, how often it updates, how far a price must move before a new update is pushed, and what happens if the network stalls. Those parameters decide how a protocol behaves under stress.

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