Predictions have always been a part of human life, whether being used in a sporting event or even scientific studies. Many people around the world use speculation to foreshadow an outcome of a certain event and often get extremely excited and joyful about certain outcomes, especially if they bet on them and win. Event betting has been a popular game around the world, giving participants a chance to win money or prizes for a successful prediction. It has proven to be quite addicting if a person indulges in the activity more than recommended.
A prediction market is a space where probabilities of outcomes are measured using information based on facts and figures gathered by everyone around to determine often accurate prices in the market. It is sort of a fun game that participants play to earn respect and a greater image around the community.
Prediction Markets For Crypto
In the case of Crypto prediction markets, outcomes are generated using multiple algorithm executions, also known as smart contracts. To put that into perspective, we now take a look at some top crypto prediction markets.
Stox is an open-source prediction market that runs on the blockchain through ERC-20 Ethereum Protocol. It is a decentralized framework that was launched at the end of 2018 and has proven to grow a lot in the past few years, setting a market cap of around $1.1 Billion for its native token called (STX). Key features include Open-source market creation, trading of STX currency for predictions, continuous liquidity by using en ERC-20 backed Bancor Token template called (BNT) and a centralized dispute resolution system.
Stox has been a target in the eyes of the United States SEC for being controversial, costing many popular celebrities with chargers for supporting the market.
Auger launched in 2018, which is a decentralized market founded through ERC-20 Ethereum protocol, also known to be pros of the crypto prediction market. Its key features include being all-out denaturalized, giving opportunities for people to create markets of their own, trading of stablecoin by Maker DAO, extremely low trading fee and a limited supply of tokens and a completely incentivized resolution system to make sure events are completed properly with all protocols followed.
Auger has been leading the crypto prediction market for many years because of effectively handling volatility and is now all set to launch version 2 on the network enabling support for DAI stablecoin.
Gnosis also runs on the same ERC-20 protocol. Its key features also include open-source market creation, a two-token system in which users have to lock a certain amount of GNO tokens while they generate OWL tokens for transactions and a largely centralized token distribution system in which the founders hold more than 90% of the total tokens generated.
This market has also been controversial but is also very attractive, raising over $12 Million in just under 10min during the time of the 2017 ICO boom.
Using the same ERC-20 Ethereum based protocol, this market launched in 2020 with an aim to prevent any miss spread of information resulting in successful predictions. Its key features include trading currency using stablecoin USDC, a fairly simple and easy-to-use user interface and a centralized resolution system to resolve events automatically. It is still in an early development phase but has proved to be a fairly stable market.
Delphy is a mobile prediction market built on the Ethereum network and is located in Asia to target mostly Chinese and closer Asian markets around. Key features include blazing fast transaction speeds, trading currency using DPY tokens for outcome trading and a centralized oracle designed to dynamically close predictions as quickly as possible by analyzing events.
Prediction Markets have proved to be accurate in terms of event and crypto predictions and continue to grow in popularity as more and more people invest in them to take advantage of the features and gain substantial profits from predictions.