Many financial experts believe that prediction markets have the capacity to completely redefine the way the capital sector will be governed in the near future. With the information revolution that the internet set into motion in the 90s, it is now clear that data science is going to be increasingly reliant on prediction markets as time goes by. However, even with all of the information that is there to back up the efficacy of this system, prediction markets still do not possess mass appeal, especially when it comes to currency forecasting and investment decision-making.
Gnosis is a prediction market platform that can serve as the foundation for machine information driven economies. It uses innovative aggregation algorithms to collect real-time data from various legitimate sources and offers users with information markets that are open, equitable, and transparent.
Additionally, Gnosis is based upon the Ethereum blockchain and is highly secure. Not only that, it can also be accessed remotely via the use of devices such as smartphones, laptops and PC’s.
From a functional standpoint, we can see that this platform will be usable in a variety of different markets including finance, insurance, data aggregation. Other than that, Gnosis prediction markets also be compatible with other interesting financial avenues such as
- Distributed market-based governance protocols,
- Local and global economies that make use of an incentivised structural model.
- A financial market that is based entirely on the global Internet of Things (IoT) model.
Overview of Gnosis
- Highly useful tool for investors who prefer virtual securities.
- Well developed ecosystem that is ready for commercial use.
- Explores new market territory.
- Provides users with an inbuilt customized information search feature.
- Serves as a stable and efficient forecasting tool.
Key Features
Gnosis is aiming to create an open prediction market platform that makes use of a single liquidity pool. From a functional standpoint, we can see that all of the information that is represented in relation to specific assets is delivered in a way that enables automated information trading between humans as well as AI’s and bots. As a direct result of this, Gnosis will be able to make smart decisions that can help increase user returns.
Core components of the Gnosis platform (courtesy of the official whitepaper)
The platform makes use of three primary components, namely the core layer, service layer and app layer. The Gnosis Core module provides the foundational smart contracts which are used for the governance of market outcomes and settlements. This layer is free for everyone to use, and the only fee that is incurred is during the outcome token creation phase.
Similarly, the Service layer has been designed to offer customers with additional services that compliment the ones being delivered by Gnosis Core. These services include advanced functionality tools such as chatbots, stable coins etc. They can be used to build customized consumer apps and can also help users in interacting with the Core layer more effectively.
Lastly, the Gnosis application layer consists entirely of smart apps that will be used to govern particular prediction markets. These apps may be built by Gnosis developers or by other third party users. In all probability, these applications will use a fee model that can help the devs earn some side revenue.
Products
(i) Gnosis Prediction Interface: as the name suggests, this is the core management interface that allows customers to participate in various trade markets. Additionally, it features a highly intuitive UI that provides users with vital information regarding:
- Deposited and withdrawn funds
- ERC20 token balance
- Predicted profits from investments
Screenshot of the primary management interface
Not only this, but the interface also comes with a dedicated markets page that has been designed to provide the user with a good overview of:
- Current prediction markets
- Markets resolving soon
- Recently-created markets
(ii) Gnosis Safe: this multisig wallet will allow users to safely store their Ethereum as well as other ERC20-compliant tokens. In terms of its features, Gnosis Safe can be fully integrated with web3 wallets such as Metamask and will support offline signing. Upon its release, Gnosis Safe will be made available for smartphones as well as desktops.
(iii) Dutch Exchange: Gnosis Dutch Exchange is an all-new decentralized exchange platform that will facilitate ERC20 token trading via a Dutch auction.
Screenshot of the Dutch Exchange
There will be two primary modes in which this exchange will function:
- Pre-Auction state: this is when sellers can deposit their tokens in order to participate in a particular auction.
- Active State: this is when buyers can actively participate in a prediction market.
Gnosis History
The foundation of Gnosis can be traced all the way back to 2013 when founders Martin Köppelmann and Stefan George first conceived the idea of creating a prediction market application that was completely decentralized. Since then, the Gnosis platform has evolved tremendously and is currently one of the forerunners of disruptive technological innovations today.
Martin is the CEO of this venture and is also the person behind the conceptual design of the Gnosis platform. Stefan serves as the company’s CTO and is in charge of developing the architectural framework of the system. Lastly, Dr. Friederike Ernst is the COO of Gnosis. According to her official biography, she “structures, organizes, and directs all company operations.”
Token Performance
The market performance of GNO is quite understated, as the value of the token has remained quite stable even though the crypto domain is subject to significant volatility.
GNO token performance chart from June 2017 to February 2018 (courtesy of CoinMarketCap)
The currency reached its peak value on the 6th of January, when it was priced at a staggering US$440.32. However, the price currently stands at US$150.72 as of the 10th of February, 2018.
Final Thoughts
Gnosis has the potential to revamp existing forecasting models in use by market analysts globally. Thus, it would come as no surprise to see GNO reach new heights in 2018.
However, the past performance of a currency should never be taken as a sure indicator of what’s to come in the future. Thus, all investments in this token should be made after careful deliberation.
If you’d like to start investing in Gnosis, GNO trading pairs are currently being offered on Binance.
