Oracle

Oracle is a crucial component in blockchain technology, enabling smart contracts to interact with real-world data. It acts as a bridge between the blockchain and external systems, providing data such as price feeds, weather statistics, or any necessary information that smart contracts require to execute. Oracles can be centralized or decentralized, with decentralized oracles being more secure and resistant to manipulation. They're essential for executing complex smart contracts that depend on real-time data, expanding blockchain's utility beyond simple transactions. In crypto/fiat exchanges, oracles can ensure accurate pricing and reliable transaction execution.