PancakeSwap, a decentralized multichain trading protocol, has officially unveiled a new AI-powered predictions market.
The DeFi protocol revealed in an announcement on Wednesday, June 26 that the predictions market is now on Ethereum Layer-2 network Arbitrum. PancakeSwap’s Prediction Market on Arbitrum will feature a price feed powered by Allora, decentralized AI network.
“Following the success of our Swap, Yield Farming, Syrup Pools, Perpetuals, and Options Trading features, this expansion signifies our commitment to delivering a wide array of functionalities to our diverse user base on Arbitrum,” the protocol said in a blog post.
Predict price movements to earn token rewards
PancakeSwap’s predictions market will allows users to forecast price movements of cryptocurrencies such as Ether (ETH) every 10 minutes.
Users will bet on the AI’s prediction, either going with it or against it. At the end of each round, participants will earn token rewards from a given prize pool.
According to the PancakeSwap team, the AI will not bet against users. In this case, a follow bet means the user trusts the AI prediction. The opposite means the user chooses to trust their own judgment on whether the price will fall or rise.
🐰PancakeSwap’s AI-Prediction Market is now live on @Arbitrum, powered by @AlloraNetwork🔮 Predict $ETH price movements to win a share of the prize pool🎁9-week campaign with 60,000 ARB in rewards🛡️Up to 100% Fund Protection👉Predict, compete, and win on PancakeSwap… pic.twitter.com/wYjDfCy8Tu
— PancakeSwap v4🥞 (@PancakeSwap) June 26, 2024
PancakeSwap offers 60,000 ARB promotion
At it marks the the successful launch, PancakeSwap has announced a 9-week campaign that will offer a reward pool of 60,000 ARB tokens. These tokens are from the 450,000 ARB grant the project got via the Arbitrum Long-Term Incentive Pilot Program.
As noted, the first supported tokens is ETH and a 3% fee will apply to the total pool. PancakeSwap plans to use a portion of these fees in a buyback and burn program, while the rest goes to the treasury for use across future marketing and development initiatives.