It's actually like this:
Oscillator determines frequency of DC current being turned on and off. On an oscilloscope you would see a square wave all above the base line. Processor is made of millions of transistors (switches) and for each "tick" if no current passes thru it it's a 0, if there is current 1 is registered. (either 0 or 1 make one bit). If straight DC is used without it being cut to 0v at exact intervals, all you would get i 1 (ones) and it can't do nothing but heat up. So ticks are necessary to make it binary system instead of a small heater.
Once upon a time there was a crystal on MB that determined frequency but now a PLL (Phase Locked Loop) in the processor itself that does that.