What Is a “Data Feed” and How Does It Relate to Options Trading Oracles?

A data feed is a continuous stream of updated information, such as asset prices, delivered to the smart contract by an oracle. For options trading, this feed is critical as it determines the value of the underlying asset at any given time, which is necessary for margin calculations and final settlement.

The quality, latency, and reliability of this data feed directly impact the fairness and security of the options contract execution.