What Is the Risk of Using a Subjective Oracle for a Binary Option? ⎊ Path

What Is the Risk of Using a Subjective Oracle for a Binary Option?

A subjective oracle, one that reports on an event that is open to interpretation (e.g. "Was the event successful?"), introduces a high risk of dispute and manipulation.

Since the outcome is not a simple, verifiable number (like a price), the oracle's report can be challenged, leading to delays or an unfair settlement. Binary options rely on objective, verifiable data for trustless settlement, making subjective oracles unsuitable.

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