Blockchain boom: Is the oracle hype real?

Publity AG, a financial investor for commercial real estate, is planning to issue blockchain-based tokens for the digital securitization of shares in its subsidiary PREOS Real Estate AG. This emerges from a press release. The issue is expected to take place at the end of 2020. Established on the market since 1999, the company normally acquires commercial properties in western German metropolitan areas. But as it now emerges from a press release on August 10th, shares of its subsidiary Preos Real Estate, worth one billion euros, will soon be digitally securitized. As the parent company, publity currently holds around 86 percent of PREOS. But the company wants to reduce its current stake to 25 percent and thus give up the majority. The company has chosen an unusual route for this: an issue via the blockchain-based “PREOS token”, according to publity.

What are blockchain oracles?
An oracle in the classic sense is a supernatural source of information. The most famous is the oracle of Delphi in Greece. People have consulted the oracle for information about the future. Information that comes from outside of this world. Right here is the analogy to the blockchain oracle. Blockchains and especially decentralized programs need a trustworthy input of the data from outside. In the end, the entire concept of decentralized programs is only as strong as its weakest link. If the data entry is central, it is the entire smart contract. That would be like running the program on a central machine.