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Polymarket is a prediction market that allows people to predict the result of real world future events and bet on that. This includes anything from political elections, sports, crypto market, business, science, etc. in this article we will explore the Polymarket and prediction market.
Let’s learn about the Why, What, and How behind Polymarket:
Polymarket is for betting on the result of real world future events. We can say it is a place where users can predict the result of events. Users can bet on who will win an election, which sports team will be the best, or even what will happen in the world of technology or business, and many more events. The platform is built on polygon – Ethereum layer 2 blockchain so every transaction is recorded in a way that anyone can see but no one can change. Polymarket was founded by Shayne Coplan in 2017. They have raised Series B worth $45M led by Founders Fund, Vitalik Buterin, Dragonfly, and many others.
According to Defillama, $83.93m Total Value Locked in this platform. their USD inflow for July was $45.63M. Take a look at the below image for monthly USD inflows. Inflow refers to the total amount of capital or assets entering a DeFi protocol or platform.
According to Dune on 31st July, Polymarket CLOB Volume was $19,689,631 and 6,940 wallets were active. in the last 28 days, It’s CLOB Volumes were $363,716,446 and 42,518 active wallets. Polymarket CLOB Volume refers to the total trading volume that occurs within the platform’s Central Limit Order Book (CLOB).
What made users to participate in Polymarket:
- It is user-friendly, which helps people onboarding easy for those who are not familiar with prediction markets or blockchain.
- Easy to set up an account. Users can quickly create an account, set up a digital wallet, and start betting.
- This platform makes it easy for users to send money to their Polymarket Polygon address without needing to bridge funds from Ethereum and soon more options will be available
- Because it uses blockchain technology, all bets and results on the platform are open for everyone to see. This transparency helps build trust as users can be confident that the outcomes are fair and not manipulated.
- Polymarket has many different betting markets covering topics like politics, crypto, spots, etc. There is something interesting for everyone to bet on their interesting topics
How to get started betting in Polymarket – borderless prediction markets?
- Visit their official website
- Create an account
- Deposit USDC in your account
- Look for interesting bet
- Place a bet and wait for result
- If you were right you will make money and vice versa
- Check below image this is the interface you will see while betting.
Here is the take from crypto community about the prediction market and the potential of the Polymarket:
- Nigel shared that this platform has fantastic UI/UX. The vast majority of the volume on this platform is on the election. Of the top 20 markets, only 3 are non election related, 2 on rate cuts and one of the Super Bowl. The top non-election market has about 2% of the volume of top election market. Check full view from here.
- Yano shared this platform is among top leading consumer apps and 6% transaction fee of Polygon POS comes from this platform
Challenges in the Prediction market:
- Sustained Engagement: As we saw that in this platform most top markets are election markets which are not frequent markets. To get users to continue betting, prediction markets need events that make users continue to bet on events.
- Regulatory: Every country has their law against prediction markets because they are seen as gambling. This makes it hard to operate these markets legally
- Liquidity: Attracting sufficient liquidity for various markets can be challenging, especially for niche events.
This is a great platform for people who enjoy predicting the future and earning money. It also involves risk, so be careful and put the money that you can afford to lose.
Also, check this out, Secure Your Crypto with Snaps by Metamask, Essential Steps to Prevent Loss of Funds.
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Disclaimer: At CoinTopper, we like to cover interesting products and share them with our community. This article is for educational purposes only and is not sponsored or endorsed by the project team.