The Conditional Tokens Explorer & Factory (CTE) enables users to engage with conditional tokens, an event-based asset class that comprises the building blocks of prediction markets. The CTE is a tool for creating event-based positions, paying them out, and wrapping them in an ERC-20 wrapper. Try it live today at: https://cte.gnosis.io/.
Since this summer, the conditional tokens framework has been live, powering the launch of Polymarket and the DXdao’s decentralized prediction market platform Omen. Through these platforms, the conditional tokens framework has already been utilized for diverse ends, from information discovery to modelling public confidence on events like the US election and Ethereum 2.0 launch. Even instrumental to decentralized governance, the conditional tokens framework enables the basis of GnosisDAO’s innovative futarchy mechanism.
Since our community began interacting with the conditional tokens framework through prediction market platforms, we’ve been receiving requests to expand the functionality of conditional tokens. Now, with the beta release of the Conditional Tokens Explorer & Factory, we are testing how to put the ability to mint and redeem conditional tokens with customizable logic directly in the hands of users, without needing to go through prediction market platforms like Omen.
While prediction markets can surface the answer to events like, “Will a coronavirus vaccine be approved in 2020?”, the CTE extends the utility of prediction markets by enabling tokens to represent arbitrarily complex logic — an “if this, then that” for tokens on Ethereum. For example, the vaccine question could incorporate the outcome of interdependent questions, such as “If the coronavirus vaccine is developed in 2020, will the EU lift travel restrictions on the US in 2021?” This can be accomplished using the CTE by minting conditional tokens, “splitting” the position into conditional logic, and wrapping conditional tokens into fungible ERC-20 tokens for payout.
Extending beyond prediction market use cases, however, the CTE enables users to mint conditional tokens with value based on successful project milestone completions, level access in a game, or conditional investing. The CTE could also support DAO-to-DAO issuance and ownership for common spending and joint ventures. With the beta release, we hope you will join us in testing, iterating, and expanding on the use cases of conditional tokens using the Conditional Tokens Explorer & Factory.
If you have a great idea for building on conditional tokens framework already, why not try your hand at our open bounty in the GR8 Hackathon? The hackathon runs through December 17, 2020.
For questions and discussion about conditional tokens framework, please join us in the #conditional-tokens channel on the Gnosis Discord Server at chat.gnosis.io and in the Conditional Tokens category on Gnosis Forum.