Polymarket, a platform for crypto-based prediction markets, is in a dispute with its data oracle provider UMA over the outcome of a market related to Barron Trump‘s involvement in ‘TrumpCoin’.
What Happpened: For days, controversy has surrounded the market asking if Barron Trump was linked to the TrumpCoin DJT/USD meme coin.
UMA, the decentralized service that verifies results on Polymarket, ruled “no” several times, sparking protests from users who bet “yes.”
On Wednesday, Polymarket took the surprising step of announcing they disagreed with UMA’s decision and would implement a “fix” soon.
This is the latest twist in the saga of the DJT meme coin, which has seen no public confirmation or denial from the Trump family or Barron himself.
The market contract on Polymarket specified that “a preponderance of evidence” would determine Barron’s involvement. UMA, acting as a decentralized referee, uses its tokenholders to vote on disputed outcomes, Coindesk reported.
In this case, a majority of UMA tokenholders voted “no.”
Over $1 million was wagered on the market, and convicted felon Martin Shkreli has been a vocal proponent of a “yes” outcome, despite a lack of response from the Trumps.
Shkreli recently posted alleged screenshots suggesting attempts to get Barron to publicly address the issue, but claims lawyers are advising silence.
Also Read: How Gangs Use Home Invasions To Target Crypto Holders
Why It Matters: This isn’t the first time UMA’s method of resolving contracts has been questioned.
Last year, a dispute arose regarding the “finding” of a missing submersible near the Titanic wreckage.
Similarly, a situation in May involved disagreement over whether an Ethereum ETF was truly approved or stuck in regulatory hurdles.
Polymarket CEO Shayne Coplan has not yet commented on the specific nature of the “fix” or its timeline.
The DJT token itself has seen a 7% price drop in the last 24 hours.
The evolving landscape of cryptocurrency and decentralized finance raises questions about the best methods for verifying outcomes in prediction markets.
The Benzinga Future of Digital Assets event on Nov. 19 promises discussions on these very issues, offering valuable insights for those interested in this dynamic space.
Read Next: ‘Gensler Will Cause Biden To Lose The Election,’ Ripple CEO Warns
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image: Shutterstock
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