How Does "Staking" an Oracle Token Align the Incentives of Data Providers? ⎊ Path

How Does “Staking” an Oracle Token Align the Incentives of Data Providers?

Data providers are required to lock up a certain amount of the network's native token (staking). This staked capital acts as a financial guarantee of honest behavior.

If the provider submits inaccurate or malicious data, a portion or all of their staked tokens can be "slashed" (forfeited). This economic penalty ensures that the cost of dishonesty outweighs the potential gain from manipulation.

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