How Does a PoR Oracle Differ from a Standard Price Oracle?
A standard price oracle reports the market trading price of an asset, which is a dynamic, market-driven value. A Proof-of-Reserve (PoR) oracle, conversely, reports a static, verifiable quantity: the amount of a specific asset held in reserve by an issuer.
The PoR oracle's function is to prove solvency and backing, not to provide a market price. It is a verification tool rather than a price discovery tool.
Glossar
Por Oracle
Mechanism ⎊ A Price Oracle, often abbreviated as "Por Oracle" in some contexts, functions as a critical mechanism for feeding real-world asset prices into blockchain-based smart contracts.
Standard Price Oracle
Oracle ⎊ A Standard Price Oracle is a fundamental component of decentralized finance infrastructure, serving as the primary mechanism for securely relaying the spot price of an underlying asset from off-chain markets to on-chain smart contracts.
PoR
Mechanism ⎊ Proof-of-Reserve systems represent a cryptographic verification method designed to demonstrate that a centralized entity, typically a cryptocurrency exchange or custodian, holds sufficient reserves to cover its liabilities to users.