Can a Decentralized Options Platform Function without an Oracle?

No, a decentralized options platform cannot function reliably without an oracle, as options are contracts based on the future price of an external asset. Without a secure, external data feed, the smart contract has no way to know the true market price of the underlying asset at expiration.

This makes accurate settlement, which is the core function of the contract, impossible, as the contract cannot determine if the option is in-the-money or what the payoff should be.