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 prediction markets is made possible by a new-generation innovative virtual Automatic Market Market (vAMM) model purposely built for prediction markets. This model creates a synthetic leveraged trading experience without the need for liquidity providers.
Like Uniswap and other spot crypto markets, traders can trade an event market contract directly without needing counterparties, market makers, liquidity providers, or order books. The model ensures onchain liquidity based on constant product curves, as pioneered by Uniswap's AMM model.
Unlike perpetual futures trading platforms, market prices on Prognoze are path-independent and not anchored to any external sources of information, ensuring the stability and sustainability of the markets.
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.
The lifecycle of a prediction market on Prognoze is split into two distinct trading stages. These stages use different profit-and-loss (PnL) calculation 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.
