What can Oracle do ?

One of the primary functions of oracles is to aid in cryptocurrency investment. They track the prices of cryptocurrencies and can buy or sell them based on these fluctuations, making it easier to keep an investment portfolio up to date.

Another significant function is that oracles can integrate cryptocurrencies with the real world. For instance, suppose you and a friend are betting on an NBA basketball game through a smart contract:

First, both parties agree to the terms and lock the funds in the contract;

After the game, the blockchain oracle notifies the smart contract of the outcome;

Finally, the smart contract sends the funds to the winner of the bet.

Additionally, oracles help manage derivatives, insurance, and other risk management techniques. For example, farmers can use oracles to manage agricultural derivatives to guard against bad weather destroying their crops and ensure they receive insurance payouts during extreme climatic conditions.