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> If an oracle relies on a single source of truth (centralized), that can lead to issues: the data source can be hacked in a man-in-the-middle attack, or altere
by ShamelessC 5y ago
> If an oracle relies on a single source of truth (centralized), that can lead to issues: the data source can be hacked in a man-in-the-middle attack, or altered by its owner, in order to sway smart contracts. Decentralized oracles (consensus oracles) increase the reliability of the information provided to smart contracts by querying multiple data sources, thus distributing trust between participants. However, this does not achieve trustlessness, since oracles are not part of the main blockchain consensus, and thus not part of the security mechanisms of public blockchains.
https://wikiless.org/wiki/Blockchain_oracle https://wikiless.org/wiki/Blockchain_oracle
- logicalmonster 5y agoIf this is a topic you're curious about, look into some of Sergey Nazarov's interviews and/or pay attention to the topic of "cryptoeconomic security" in relation to oracles. Basically the idea is to have a system where the cost of corrupting the information on a network is always far more than the potential gain. Whether or not this is possible or will succeed is a question mark, but I'd think many potential objections and question marks have been addressed.