🏪Creating Markets on PlotX
Before any prediction can be placed, there’s one thing that needs to happen first - Market Creation Transaction. This explains how that happens.
Last updated
Before any prediction can be placed, there’s one thing that needs to happen first - Market Creation Transaction. This explains how that happens.
Last updated
Note: This feature will be part of the mainnet release of PlotX.
Before a market goes live on PlotX, it has to be created on the ETH mainnet first. PlotX has a unique AMM mechanism that helps its users initiate the creation of markets by letting them sign the Ethereum transaction that is required to create markets. Once, the market is created users can place their predictions.
This Ethereum transaction that is required to create a market is known as the ‘Market Creation Transaction’ and users who perform the actual transaction are rewarded in instantly claimable $PLOTs.
The steps are simple:
If you see that a particular market is not live then you can click on the “create market” button
This will require you to approve the transaction via your wallet and pay the required gas fees
Once, the transaction is complete the market will become live for predictions to be placed and you will be able to claim your rewarded $PLOT
A few things to note here are:
Signing the transaction required to create any market involves paying the necessary gas fees charged by the Ethereum network miners.
Whenever a user creates any market by signing the market creation transaction, they receive incentives for paying the necessary gas fees in the form of $PLOT tokens.
In order to provide these incentives to the market creators, the PlotX protocol charges a fee from the market participants. This fee is taken as a percentage of participation amount. For participations in $ETH, the fee is 0.1%, while for participations in $PLOT, the fee is 0.05%.
Any leftover fees, apart from the incentives of Market Creators, are accrued in the DAO on-chain, which is available for the community to decide on how to use via on-chain governance.
Any user can create a market by signing the market creation transaction in the market creation page that is active right after a market ends. For example- when an hourly market that is asking the price of BTC at 2:00 PM ends, the market creation page for the hourly market asking the price BTC at 3:00 PM will become active. During the time this market creation page is active, any user can sign the market creation transaction to create the 3:00 PM hourly market, and hence, enjoy their incentives in the form of $PLOT.
Via the mainnet application, PlotX offers three distinct time frames, namely Hourly, Daily, and Weekly. This means that for each prediction pair on the platform (eg - BTC, ETH), users can choose whether they want to predict the value of that asset on an hourly, daily, or weekly basis.
Moreover, no matter the market duration, each market goes through various stages that are common among all markets. These stages are called ‘Market Cycles’.
There are 5 Market Cycles/Stages in total that apply to each and every market on the platform. And in order to make it easier for the users to navigate through the platform, PlotX allows its users to see each market in various stages of its lifecycle. These stages are: -
Live
In Settlement
In Cooling
In Dispute
Settled
But, before any prediction can be placed, there’s one thing that needs to happen first - Market Creation Transaction.
