Foreon Network Development Update: Edition 5

Foreon Network
3 min readAug 14, 2023

Exciting times ahead! We’ve just executed our first test transaction on the Pre-Prod testnet!

Journey So Far

Let’s recap our progress since our last development update.

  • The backend/smart contract team demonstrated the Foreon smart contract API using the LMSR Formula. However, instead of the typical approach, we employed binary logarithm and exponentiation. This establishes the prediction price as C(q´) — C(q), where q represents the initial number of shares and q´ indicates the number post-prediction.
  • The Logarithmic Market Scoring Rule (LMSR) by Robin Hanson is the backbone of our algorithm. For those interested in the technicality, the LMSR cost function is given by: C(q) = b * log(sum(e^(qi/b) for each i))
  • In our MVP, we’ve opted for a more straightforward model: the prize pot is evenly split among shares of the correct outcome.
    This ensures zero loss or profit for the question creator, and there’s no upfront funds lock-in.
  • The research team weighed in on optimal user experience for claiming rewards.
    Drawing from existing prediction markets, we noted users have to actively initiate and sign transactions to claim.
    Several solutions were discussed, but each came with its own set of challenges. The crux of the matter is ensuring user ease while maintaining security, especially since our design allows outcome tokens to be traded on secondary markets.
  • An interesting proposal was locking purchased outcome tokens within the UTXO. Once a question is resolved, these can then be converted to prize tokens.
  • The smart contract team is confident in our current design’s capacity to perform chaining. One way to achieve this is through the orders+batcher pattern. Further details and technical discussions on this can be found here.

Current Achievements in Bullet Points

  • Stored question details in our database.
  • Operationalized these API endpoints:
  • question/start (create, submit)
  • question/predict (create, submit)
  • question/claim (create, submit)
  • question/getById
  • questions
  • Our demo script is ready, showcasing a minimal example of a question’s life cycle:
  • User1 initiates an oracle,
  • User1 posts a question with specific parameters,
  • User2 predicts “Yes” for the question,
  • User1 updates the oracle UTxO to set the question’s outcome as “Yes”,
  • User2 claims their winnings,
  • User1 closes the oracle.
  • The backend team is wrapping up the tRPC protocol integration, bridging backend and frontend. We’re gleaning REST API and Open API documentation straight from the tRPC API description.

Our anticipated MVP testnet launch is fast approaching, and we’re on track to roll it out this quarter.

Wen ISPO?

Also our ISPO is very much around the corner, we have concluded the ISPO details and an announcement will be made in few days time.

Here is a brief preview / details about our upcoming ISPO

ISPO Allocation: 2,500,000 $FRN (Including Bonus Rewards)

Pool Margin: 99%

Reward formula: 1 $FRN for every 2000 ADA staked (excluding boosted Foreon NFT rewards per epoch)

We are also welcoming SPOs (Stake Pool Operators) who are interested in partnering with Foreon Network to make $FRN tokens available to their delegators.

Interested SPOs should fill the form below.
https://forms.gle/k38K6JY2CkaKdfp99

More details about the ISPO including the Duration, the starting epoch and the boosted rewards will be shared in few days time.

Stay tuned!

If you have any feedback or questions, don’t hesitate to reach out beep@foreon.network.

We value community engagement and insights, and they play a pivotal role in our growth and development.

Keep up-to-date with Foreon Network:

Website: https://foreon.network
Blog: https://foreonnetwork.medium.com/
Twitter: https://twitter.com/foreonnetwork
Discord: https://discord.com/invite/zwPfBRGDEu
Telegram: https://t.me/ForeonNetwork
GitHub: https://github.com/Foreon-Network

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