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How Does an Off-Chain Reporting (OCR) Mechanism Improve the Efficiency of Decentralized Oracles?

OCR allows oracle nodes to sign and aggregate data off-chain before submitting a single, final, and cryptographically verified report to the blockchain. Instead of each node submitting its own data on-chain, which consumes high gas, OCR bundles the data.

This significantly reduces the transaction costs (gas fees) and network congestion associated with frequent, high-fidelity data updates.

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