Oracles are often seen in DeFi as mere data transmission tools, but this understanding is actually too superficial.

Many people feel reassured just by using a certain oracle, but in reality, that's only psychological comfort. The true value lies in—when the market is highly volatile and protocols need to perform high-risk operations—you must have a hard proof that can be audited and verified, demonstrating that your decisions are well thought out, not just based on gut feelings.

It's like buying insurance. Instead of spending a large sum for a vague sense of security, it's better to have a systematic risk control proof. What a good Oracle should do is help protocols turn "hope this operation is fine" into "we can produce data to prove this operation is reasonable." This isn't about writing an article to boast; it must be something that is reproducible, verifiable, and withstands audits.

From a technical perspective, an Oracle needs to ensure verification speed is fast enough and integration is convenient; from an economic perspective, it should reduce the costs protocols pay for safety redundancies. Once these two points are achieved, protocols will dare to tighten risk control parameters, attracting more capital into the market.

But there are also many issues. Whether the verification process can be completed quickly, the integration costs across different protocols, user habit transformation—especially since Token incentive mechanisms can easily create false prosperity—all these can cause the entire approach to become just talk on paper.

Only by truly playing a role in high-risk trading scenarios can an Oracle prove its value. We are still waiting for that step.