Thales is an Ethereum protocol that allows the creation of peer-to-peer parimutuel markets that anyone can join. This building block is the foundation of novel on-chain initiatives, from a platform for AMM-based positional markets to immersive gamified experiences, and much more.
In Parimutuel Markets, collateral is placed in a single shared pool, and that pool is awarded to winning participants after a market-settling event has occurred. Market-settling event can be one of the two mutually exclusive outcomes (e.g. Thales Positional Markets), or it can be one of many mutually exclusive outcomes (e.g. Thales Exotic Market with multiple options).
Let's take a closer look at what it means ...
This is the first screen we are faced with when we access the app. We have a large choice of options from many available coins. In the first column we have the coin, in the second column a type of discount has currently been implemented thanks to the distribution of $OP tokens, in the third, fourth and fifth columns we have: the final price that must or should not be reached, the current price and the expiry of the option. The sixth and seventh columns are the most important to keep in mind. They represent the liquidity available to market makers. Let's go into detail ...
In the current position we see the liquidity available to the pool, green for those who are positive at the closing of the position, or for those who believe that SNX reaches $2.8 on October 12 and red for those who believe the opposite.
Why the price difference? $ 0.192 versus $ 0.892? The way I tell it I like to see it as if the dollar value were a value in%: let's imagine that it is 19.2% that happens UP versus 89.2% that happens DOWN. As you can imagine the outcome is much more likely to be down (macroeconomic situation, bear market etc.) but the compensation for an up resolution is VERY high, we have the possibility of a 420.67% return!
I love these!
As for the explanation of the columns it is very similar to above, the change is that, instead of having a strike to get, we have a range in which our position must remain when time runs out! Let's go into details ...
I added the blue lines on the graph to better understand the message, even here we can decide if our decision will be inclined for an IN range or inside the price or an OUT outside
Another part that I prefer is being able to sell, as long as there is liquidity in the MM pool, an option in advance if this acquires value for me, as we can see in the clear line below.
With an initial investment of about $30 I could go and sell early for about $40
Obviously yes, thanks to the $OP incentives, each epoch lasting 15 days each is divided into a total amount of tokens allocated as Trading Incentives: 200,000 OP + 350,000 THALES
Subdivided according to the activity we perform on the protocol
11,000 OP + 20,000 THALES split between UP token Buyers
11,000 OP + 20,000 THALES split between DOWN token Buyers
6,000 OP + 10,000 THALES split between Ranged Markets IN/OUT tokens Buyers