Openlayer Defi Prediction Market

DeFi Prediction Market Platform using Openlayer

Overview:

This platform will enable users to predict outcomes on various real-world events and commodities, using real-time data streams from OpenLayer. Users can place bets on the future prices of commodities like gold, oil, or on sports outcomes, and win rewards based on the accuracy of their predictions.

Key Features:

1. Data Integration:

   • Fetch real-time data for various commodities (gold, oil, silver, etc.) using OpenLayer's smart contracts.
   • Support for custom data types and real-time updates for less frequently updated feeds.

2. User Interaction:

   • Allow users to create prediction markets specifying the data type (e.g., GOLD/USD price) and the prediction conditions (e.g., will the price of gold be above $2000 at a specific time).
   • Users can participate in existing prediction markets by placing their predictions.

3. Betting Mechanism:

   • Users place their bets in the form of cryptocurrency tokens.
   • A smart contract will hold the bets securely and distribute rewards based on the outcome.

4. Automated Data Fetching:

   • Use OpenLayer’s data feeds to automatically fetch and update the data required for the prediction markets.
   • Smart contracts will trigger data fetch requests and read the latest data for validating the outcomes.

5. Reward Distribution:

   • Once the prediction time is reached, the platform will fetch the latest data, determine the outcome, and distribute rewards to the winners.
   • A portion of the winnings can be taken as a fee to sustain the platform.

6. User Interface:

   • A web interface where users can create new prediction markets, view existing markets, place bets, and track their predictions and winnings.
   • Real-time updates on the status of prediction markets and outcomes.

Implementation Details:

1. Smart Contracts:

   • Market Creation: Smart contract to create and manage prediction markets.
   • Betting: Smart contract to handle user bets and secure funds.
   • Data Fetching: Smart contract to interact with OpenLayer for fetching real-time data.

2. Frontend:

   • Nextjs for building a responsive and user-friendly interface.
   • Web3.js or ethers.js for interacting with the smart contracts on the Ethereum network.

3. Backend:

   • Nextjs Routes for server-side logic.

4. Data Fetching Code Utilisation:

   // Request new data fetch from Javascript
   const addr = "0x12345....abcde";
   const priceFeed = new web3.eth.Contract(OpenOracleCommonDataFeed, addr);
   const taskType = 1; // GOLD/USD
   
   priceFeed.methods
     .requestNewReport(taskType)
     .call()
     .then((requestData) => {
       console.log("Request Hash:", requestData[0]);
     });
   
   // Read latest data fetch from Javascript
   priceFeed.methods
     .latestRoundData()
     .call()
     .then((resultData) => {
       console.log("Result:", parseInt(resultData[0]) / 100.0);
     });
   

5. Custom Data Types:

   • Add support for custom data types like sports scores, weather data, etc., by specifying the API endpoint and JSON response paths.

Example Use Cases:

1. Commodity Prices:

   • Predict the price of gold, oil, or silver at a future date and time.
   • Use real-time data from OpenLayer to settle bets.

2. Sports Outcomes:

   • Predict the scores or outcomes of sports matches.
   • Fetch real-time sports data to determine winners.

3. Weather Predictions:

   • Predict weather conditions like temperature or rainfall on a specific date.
   • Use weather data feeds to validate predictions.