What Is a Common Mechanism for Incentivizing Decentralized Oracle Networks?

Decentralized oracle networks, such as Chainlink, incentivize data providers (nodes) through token rewards. Providers are paid a fee for accurately submitting data to the network.

Crucially, a staking mechanism is often employed, where providers must stake a native token. If they submit incorrect or malicious data, their staked tokens can be slashed (taken away), creating a strong economic disincentive for dishonesty.