How Does the Oracle Problem Complicate the Use of Commit-Reveal for Derivatives?
The oracle problem is the challenge of securely bringing reliable, real-world data (like the price of an underlying asset) onto the blockchain. For derivatives, the trade execution in the reveal phase relies on a trusted oracle price.
If the oracle price is manipulated or delayed, the commit-reveal's anti-front-running benefit is undermined, as the attacker could manipulate the oracle input during the commit-reveal window to profit from an unfair execution price.