To capitalize on the rising recognition of blockchain traits like decentralized finance (defi), Zeitgeist shall be rolling out a brand new native prediction platform for Polkadot to develop the scope of alternatives accessible for retail crypto traders.
New Community to Construct on Substrate and Launch Solely on Kusama
Lengthy earlier than Satoshi Nakamoto unveiled the Bitcoin whitepaper that led to a flood of blockchain innovation, prediction markets had been accessible within the type of organized betting, typically on political outcomes. For hundreds of years these markets existed, serving to corral crowd-based knowledge within the type of betting odds, which stay standard to at the present time.
The blockchain iteration of those prediction markets promotes the identical thought: figuring out the chance of informational outcomes based mostly on hypothesis. Not like cryptocurrency buying and selling, these markets are binary, that means both a constructive or unfavourable final result outcomes from a contract between two events.
Predictions made utilizing these programs are thought of comparatively correct, both matching or outpacing various outcomes from focus teams, consultants, and opinion polls. As prediction markets intersect with the newest defi craze, one firm is probing new makes use of for blockchain’s structure in one other vital enlargement of decentralized finance’s horizons.
Zeitgeist, a startup that lately exited stealth mode, is pioneering a brand new base layer blockchain prediction market based mostly on Substrate, the event framework pioneered by Polkadot.
A Base Layer Method
After revealing the mission and elevating a $1.5 million seed spherical from a consortium of traders, Zeitgeist has unveiled its highway map. The mission, which shall be solely ruled by customers holding its native ZTG token, expects to launch its testnet titled “Battery Park” and a Kusama parachain by the tip of 2021.
Not like different prediction markets that function as decentralized functions operating on high of blockchains, Zeitgeist is constructing its chain, or base layer, which shall be launched solely on Kusama. Though associated to Polkadot, Kusama is designed to host experimental protocols whereas offering a testing floor that displays real-world situations. This can allow the prediction market to function at scale whereas minimizing transaction prices, opening entry to parachain belongings, and enabling for forkless upgrades.
Cryptocurrency exchanges ordinarily deal with a restricted variety of cryptocurrency pairs and derivatives. In contrast, Zeitgeist plans to host hundreds of various markets. Zeitgeist will initially help markets in cryptocurrency, sports activities and esports, politics, startups, and insurance coverage. Collectively, these will open up immense potential alternatives to retail merchants searching for to take a position on all method of outcomes whereas additionally reviewing sentiment throughout informational areas.
Over time the platform intends to combination the knowledge and information collected on the community to enhance decision-making, envisioning itself as a future hub for Web3 predictions. Curiously, additionally it is rolling out a function known as Futarchy, which is able to use insights from its personal prediction markets to assist step by step evolve the platform’s governance. Furthermore, its development on Substrate will assist Zeitgeist be appropriate with Polkadot if it intends to construct on a community parachain sooner or later.
With the rise of blockchain prediction markets, what’s subsequent for defi – sports activities betting? Tell us what you suppose within the feedback part under.
Picture Credit: Shutterstock, Pixabay, Wiki Commons, Zeitgeist, Kusama
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