Breaking down Augur's v2 prediction market upgrades-now using Ethereum stablecoin Dai

Published on by Cryptoslate | Published on

Augur, a blockchain-based prediction marketplace, recently released its v2 upgrade, introducing a wide array of new features including Maker Dai integration, important bug fixes, and use-it-or-lose-it forking for REP.Augur's Long-Awaited v2 Upgrade.

Augur, a blockchain-based decentralized protocol that allows cryptocurrency users to create their own prediction markets, has announced the release of its version 2 upgrade.

The v2 contracts will still reference "Cash," a contract that wrapped ETH and was given additional trust by privileged transfers contracts, but will instead point to the Dai stablecoin in addition to its existing ETH offering.

Augur's New Rollout Addresses Problems and Bugs From V1. Invalid Market Hack Fixed: Apart from the ability to trade with a stablecoin, the Augur community wanted to solve the risk of invalid markets.

In v1, a market resolves as "Invalid" when reporters deem its outcome ambiguous or unverifiable.

As shares in such markets could be turned in for an equal amount of money, this allowed for "Bad actors" to manipulate the market.

The newest version made Invalid a tradeable outcome like any other, thus enabling traders to hedge the risk of Invalid outcomes and gauge their likelihood via market forces.

Mandatory Voting on Forks: Augur also implemented a "Use-it-or-lose-it" forking ultimatum-if a market in Augur v2 forks users have 60 days to participate or they will lose all of their REP. The platform's newest iteration also allows for disputes to occur immediately following one another.

The new standard is backward compatible with ERC20, Augur explained, but it also improves on many of its features.

Market Duration Limit: A limit to market durations was also introduced to combat the lack of security of markets that remain on the old versions of the platform.

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