Moonrock Capital Reveals Third Incubation of Polkamarkets, a DeFi-Powered Prediction Market
In the latest development, Blockchain Advisory and Investment Firm Moonrock Capital announced its third incubation in a DeFi-powered prediction market named Polkamarkets. The announcement notes that the strategic sale is currently available open and interest for the same can be submitted at Polkamarkets’ official website.
As said, Polkamarkets is a DeFi-powered prediction market built for cross-chain trading and information exchange. The platform allows its users to take positions on the outcomes of real-world events. Interestingly, all this operates in a completely decentralized manner and the interoperable platform Polkadot.
The latest incubation from Moonrock Capital comes in partnership with Morning Star Ventures. The two will work together on building a successful platform to launch.
Solving Keys Issues of the Prediction Market
Currently, the prediction market isn’t mature enough and suffers from a lack of traders and thus the lack of liquidity. Very small volumes of less than $1 million per day (in 2020) make it difficult to hedge against future outcomes and also make it difficult for traders to take any positions.
This ultimately results in a death spiral in the prediction market thereby leading to virtually no users or daily volumes. Polkamarkets aims to solve this issue with the intersection of DeFi and information exchange. The Polkamarkets Prediction Market will allow traders to leverage their knowledge of the past, present and future and thus forecast the real-world outcomes. The announcement notes:
“Polkamarkets aims to solve the low usage & volume problems by incentivising liquidity providers and traders to facilitate & take large positions, while a system for curation and resolution ensures efficient and trustworthy markets. The platform will also leverage tried and tested DeFi incentives such as liquidity mining and yield farming to incentivise daily active use”.
Polkamaster will serve as an “entertainment DeFi platform” wherein it will offer sports and esports daily markets along with a live feed of events. There’s a lot more that the platform brings to the table. Check their official announcement to know more.
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