What Is an “NFT Appraisal Oracle”?
An NFT appraisal oracle is a decentralized service that provides a reliable, real-time estimate of an NFT's fair market value to a smart contract. Since NFTs are illiquid and subjective, these oracles use machine learning, sales history, and collection rarity data to generate a price feed, which is critical for calculating loan-to-value ratios for NFT collateral.