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by nemothekid 1699 days ago
An oracle is just a provider of some kind of off-chain data. For example if I wanted to incorporate the stock price of AAPL in my smart contract I would need to "trust" some off-chain (and possibly centralized) provider of data to deliver that information to my smart contract.

The obvious problem is that if that data is manipulated somehow, the smart contract can potentially execute with malicious information.