An Oracle Network is a system that connects smart contracts to external data sources, enabling them to interact with real-world information. Smart contracts are self-executing agreements with terms directly written into code, but they usually can’t access data outside their blockchain.Oracles fetch data from various sources, such as APIs, websites, or data feeds, and relay it to smart contracts. This allows these contracts to execute based on real-world events. For example, an oracle could provide the current price of a commodity, allowing a smart contract to trigger a trade if a specific price point is reached.There are different types of oracles, including centralized and decentralized options. Centralized oracles depend on a single source for data, which can be vulnerable to manipulation. Decentralized oracles aim to provide more security and reliability by using multiple data sources to validate information.Oracle Networks play a crucial role in expanding the functionality of smart contracts, enabling use cases in finance, insurance, and various decentralized applications.