How To Develop a Prediction Marketplace Like Polymarket?

Polymarket, also known as a prediction marketplace, has gained a significant track record on different platforms where users predict outcomes based on events. Here, the platforms are a combination of varying trading mechanisms including blockchain that enables a transparent & decentralized ecosystem. One cannot predict the future, but yes with Polymarket you can bet. Let us explore in depth the existence of a prediction marketplace like Polymarket. Also know about the current market insights about the Polymarket, and how to develop prediction marketplace like Polymarket. What is the tech stack required for developing a prediction platform and how can a business grow by developing this marketplace?

Why Prediction Marketplace Platforms Like Polymarket Came Into Market?

Polymarket shows people what are the chances for things going to happen in the future. It is not going to tell the future. It can just predict based on the information users have. Let’s consider a simple example. A thermometer can let you know the exact temperature of the body as per the current atmosphere rather than guessing the temperature for tomorrow.

With the help of a prediction marketplace, people can bet on different results based on the events or current scenarios. This indirectly boosts public sentiment and the cost estimations as well. For the traditional marketplace, many limitations came into existence. It includes lack of transparency, access to limited information, no centralized control, etc.

To overcome these issues blockchain technology is implemented that provides a decentralized system. Polymarket, an innovation to the prediction market makes use of smart contracts and automates different activities like creating events, trade & distributing payouts.

Market Size Of Prediction Marketplace Platforms

The overall research shows the market size of the prediction marketplace was around $10 billion in the year 2022. With the rapid growth in the demand of the prediction marketplace, it is intended to grow up to $65 billion by the year 2032 with a CAGR of 20%. With the growing market for the prediction platform, it is now the time for businesses to get involved into the prediction marketplace.

Like with the expanded definition of predictive analytics, it will be more powerful by 2032. This is so because data-driven decisions in such diverse industries as healthcare, entertainment, and finance have increasingly increased over the years.

Steps to Create a Prediction Marketplace Similar to Polymarket

To develop platform like Polymarket, one needs to follow a strategic approach for the development. The following shows the process of how to make a prediction marketplace like Polymarket.

1. Selecting a Blockchain Platform

To choose a blockchain platform there are different factors to be considered. Whether it is Ethereum, Solana, etc. it is important to consider its scalability, the speed of transaction, support & security. One can make the best use of smart contracts for automotive market creation, trade, etc.

2. Creating A Robust Market System

It allows users to create their market depending upon the different events. To avoid fraud and harmful markets, one needs to set guidelines for the marketplace. Before implementation, it is important to review the process to make sure that events are acceptable;e & meet the ethical standards.

3. Inherent User Interface Design

If the interface is easy to navigate then it also becomes easy for users who are new to the prediction markets. Hence, creating a user-friendly interface is a good choice one can choose. To make it easy for users, one can provide guidelines and tutorials that help users better understand the workings of the prediction platform.

4. Secured & Transparent Mechanism for Settlement

There should be a transparent dispute resolution mechanism. To resolve the market outcomes, one can integrate with Oracle for reliable data feed. Users can independently review the market settlement or can also file a complaint if the settlement is not done properly.

5. Organizing a Balanced Pricing Mechanism

During determining the prices, one needs to consider the market demand, its supply, and the probability as well. It should make use of the same pricing algorithm that adjusts the prices depending on the market activity. This will make the users broaden their space.

6. Security is Priority

To prevent hacking and safeguarding user funds needs robust security. It is important to ensure consent with laws and regulations especially when it comes to gambling and financial services. If the platform deals with real financial transactions, then it is important to implement KYC & anti-money laundering procedures.

Tech Stacks Required To Develop Prediction Marketplace Like Polymarket

Developing a prediction marketplace like Polymarket includes both blockchain and other traditional developments. The following shows the tech stack to develop a prediction marketplace.

Frontend:

1. JavaScript Frameworks: React, Angular, or Vue.js-
2. CSS Frameworks: Bootstrap, Material-UI, or Tailwind CSS-
3. State Management: Redux or Zustand

Backend:

1. Programming Languages Used: Python, Node.js, or Ruby
2. Web Frameworks: Django, Flask, Express.js, or Rails
3. Databases: PostgreSQL or MongoDB-
4. Caching: Redis or Memcached

Oracles

1. Chainlink: To fetch and verify off-chain data.
2. UMA: For decentralized data feeds.

Wallet Integration

1. MetaMask API: For Ethereum-based wallets.
2. Wallet Connect: To enable multi-wallet support

Conclusion

For entrepreneurs or businesses, it’s a great opportunity to develop prediction marketplace like Polymarket integrating with blockchain technology. This is because it provides a decentralized system with user-driven insights. To develop this type of prediction marketplace platform detailed analysis and research, right from selecting the blockchain technology for a secured and scalable solution.

Along with this, it provides a transparent settlement system. It is a great opportunity to attract wide users to the platform by offering a wide range of markets with user-friendly design, and easy to navigate. To build trust among the users, it is important to prioritize security, consent to regulations & fair pricing.

How Opinion Lab Can Help You In Prediction Marketplace Platform Development

At Opinion Lab, we aim to Develop a Prediction Marketplace Platform that helps reach the goal of the user. Our skilled team of developers has outstanding coding experience and aims to deliver secured and scalable solutions that increase the engagement rate of users. Using our technical knowledge we convert your visualization into reality by integrating a decentralized system & other customizations required. Connect with us and create your prediction marketplace setting new standards in the industry.