What is Augur (REP)? A beginner’s guide in 360 words.

1137

Augur is known as the first decentralized app launched onto the Ethereum network. Augur’s tokens, REP, were fully distributed in their ICO back in the fall of 2015 to just over 4,000 participants.

The premise of Augur is a prediction market. A user can make predictions on anything they choose, from the weather to prices of various financial instruments to public news. The user wagers a certain amount of Ethereum or Bitcoin on their choice and profits if correct based upon how much risk is present in the position. Tokens are won and loss dependent on the users accordance with the general consensus. Owning REP tokens is not required in order to predict on the Augur platform; however, owning REP tokens and making accurate predictions entitles users to an appropriate share of the REP tokens collected from transaction fees.

Users are able to participate in the market in three direct ways: trading shares in the market, creating new markets, or participating in the reporting system. Trading shares in the market is the buying and selling of shares in various predictions. Creating new markets is Augur’s term for posing a new question or stance to be predicted upon. Participating in the reporting system entails a user to hold REP tokens to participate. The token holder can report on an outcome that occurred within the last seven days that they believe to be faulty. The Augur network will then go into a dispute case where REP holders can vote on the updated outcome. If the previous outcome has been overturned, those who wagered REP will receive a 50% ROI. Augur has recently completed security audits by a third party firm, which indicates that their smart contracts have been completed for the network.

Augur has been running its functional beta since March of 2016. Head over to augur.net to try out the beta. Also, you are still able to purchase REP tokens at most crypto exchanges.

How can you buy REP?

You first need to buy Bitcoin or Ethereum on Coinbase and then transfer it over to your account at Binance or to exchange it for REP. For reference, check out our guide –Cryptocurrency Investing: How to Buy Altcoins. If you get stuck or need help, send us a message through our Facebook page or use our contact page and someone on staff will walk you through the process.

SHARE
Previous articleWhat Does Congress Think of Bitcoin and Cryptocurrencies?
Next articleCredoEx is the New Cryptocurrency Exchange from BitBounce
Orest Byskosh
Orest Byskosh is currently the President and Co-Founder of Fourier Solutions: a platform that allows retailers to accept Ethereum as a form of payment both quickly and seamlessly. He also works as a blockchain consultant to various projects in addition to currently finishing his degree in mathematics and economics at Northwestern University.