Explaining TrustPredict Phase 5: THEMIS — Supporting Traditional & Unique Options
By: Thomas Kal
Tags: Predictions, Open Predict, Defi, Cryptocurrency, Crypto

Throughout its development phases, TrustPredict equips users with an increasing range of trading possibilities, and allows for a greater amount of complexity with regards to trading activities.

To recap the development roadmap of TrustPredict, version one starts with SPOT which enables any two counterparties to come together in order to conduct P2P trades by minting assets that hold two opposing positions on any speculation. Version two continues with MARGIN which facilitates the deployment of digital assets as collateral for stablecoin loans which could be used for trading within the app.

With HORIZON being version three, it enables the collateral deposited for SPOT or MARGIN positions to accumulate interest while positions remain open. Version four, TrustPredict DAO, allows traders to determine finality for their P2P trades themselves, or to settle disputes via the DAO which adds additional layers of efficiency and reliability to the overall user experience.

THEMIS represents the fifth and final phase of TrustPredict. It adds support for both traditional and unique options trading, allowing both counterparties to earn varying amounts depending on how much the asset moves in correlation to their positions.

We can illustrate this with the following example:

Two traders come together to enter opposing positions on the price of Bitcoin, with one going long at $13,000, while the other goes short. THEMIS allows the long trader to earn after the price of BTC crosses $13,000, and it also allows the short trader to earn when it’s below $13,000.

Why is This Useful?

This form of synthetic asset trading is a good way of hedging positions in the long-term. It also allows traders to “ride out” fluctuations and earn as soon as their price speculations are correct. Synthetic assets also generate significant volumes with regards to short-term trades as traders can take positions on short time horizons such as a few days, or one week.

This creates more ways for both sides to earn. It is important to note that the trader going long in the above example is taking more risk if the price of Bitcoin is below $13,000 at the time the trade commences. As a result, the counterparty would have to pay a strike fee for participating in this trade.

Conclusion

With the launch of THEMIS, TrustPredict establishes itself as a fully comprehensive trading solution that enables the P2P trading of a vast range of digital assets. Our platform represents the imaginations and desires of our users where positions can be taken on an almost unlimited number of events, digital assets or synths.

As the final upgrade phase, THEMIS ensures that all types of traders are catered for, from the more traditional to the most sophisticated of traders. Anyone can use TrustPredict to monetize their expertise by making simple P2P trades, as well as to engage in more complex activities including margin and options trading that provide even more earning opportunities.

Website: https://openpredict.io

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