🔎What is Prognoze?
Last updated
Last updated
Prognoze is an onchain prediction market platform that allows users to trade event markets with up to 10x leverage.
Leverage in the prediction markets is made possibly by a new-generation innovative virtual Automatic Market Market (vAMM) model purposely built for prediction markets to create synthetic leveraged trading experience without the need for liquidity providers.
Similar to Uniswap and other spot crypto markets, traders can trade an event market contract directly without the need for counterparties, market makers, liquidity providers, or order books. The model ensures onchain liquidity based on constant product curves, as pioneered by the Uniswap's AMM model.
Unlike perpetual futures trading platforms, market prices on Prognoze are independent and not anchored to any external sources of information, ensuring stability and sustainability of the markets.
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The lifecycle of a prediction market on Prognoze is split into two distinct trading stages, which have different Profit and Loss (PnL) calculations methods to ensure the sustainability of the markets and profitability for the traders.
Open Trading Stage: traders buy Yes or No shares with leverage, with each trade impacting the the YES and NO share prices. PnL is directly linked to the YES or NO share price, with traders allowed to realize the position's profit or loss on demand.
Resolution Stage: after the outcome of the market is accepted, the trading in the market ends. Winning traders divide the losing side's total collateral, while the losing traders lose the entire collateral of their positions in the market. To supplement traders' profits at this stage, the fees accumulated in the Reward Pool are shared with the winning traders.
Trade any binary prediction market up to 10x leverage
PnL can be realized at any point
No need for liquidity providers due to the unique vAMM model for prediction markets
Custom deep virtual liquidity, preventing market manipulation
Robust Liquidation and Limit Orders engine to handle trading activity
