PROPHET

Prophet is a fully Autonomous, AI-native, privacy-preserving prediction market protocol built entirely on 0G Labs. Where Users turn their opinions and thoughts about events, being it sport, crypto, ai into a tradable markets . Everything after that — validation, liquidity provision, price discovery, outcome resolution, and fund distribution is handled by AI agents and smart contracts with zero human intervention.

On every other prediction market — Polymarket, Augur, Manifold — three problems have never been solved simultaneously:

Problem 1 — The Oracle Problem Who decides if an event happened? Polymarket uses a human committee (UMA protocol). Augur uses token holder votes. Both are slow, gameable, and ultimately trust someone. Prophet replaces them with an AI oracle agent running on 0G Compute that autonomously gathers evidence, synthesizes a verdict, and posts it on-chain — with full reasoning stored permanently on 0G Storage so anyone can verify it, forever.

Problem 2 — The Liquidity Problem New markets launch with zero liquidity. Human LPs only show up for popular markets. Everything else dies. Prophet deploys a Protocol-Owned Liquidity pool that uses AI scoring (via 0G Compute) to evaluate every new market's credibility and popularity, then automatically allocates liquidity to it the moment it's created. Every market is tradeable from second one no human LP needed.

Problem 3 — The Privacy Problem On Polymarket, every bet is publicly visible the moment you place it. Sophisticated traders monitor positions and front-run large bets. This drives serious capital away and makes prices less accurate. Prophet uses 0G's TEE (Trusted Execution Environment) to seal every position at placement. Nobody not even the chain — can see your direction or size until all positions are revealed simultaneously at resolution. Zero front-running. Zero information leakage.

Prophet solves all three. At the same time. For the first time.

Prophet has three core components:

Smart Contracts on 0G Chain Four Solidity contracts manage the financial logic: ProphetFactory deploys new markets, MarketContract holds collateral and manages the full lifecycle, PositionVault seals and stores encrypted positions, and PayoutDistributor calculates and distributes winner payouts. A fifth contract — LiquidityPool — holds the protocol-owned USDT pool that the AI market maker agent draws from to seed liquidity into new markets.

All contracts are deployed on 0G Chain specifically because of its 11,000 TPS throughput and sub-second finality. On Ethereum, the oracle alone would cost tens of dollars in gas per market resolution — making the product economically unviable before it launches. On 0G Chain, the same operation costs cents.

AI Agents powered by 0G Compute Prophet runs two autonomous agents:

The Oracle Agent wakes up when a market's deadline passes, calls 0G Compute (running DeepSeek V3), reads approved data sources, synthesizes evidence into a verdict with a confidence score, writes the full reasoning to 0G Storage, and posts the result on-chain. Payment flows automatically in $0G tokens per inference call. No API key, no monthly subscription, no single company controlling the model.

The Market Maker Agent wakes up when a market is created, calls 0G Compute for an opening probability estimate, seeds YES and NO liquidity from the protocol pool, and reprices every 60 seconds using updated signals from volume data and time-to-deadline. Every market has intelligent, AI-generated prices from the moment it launches.

0G Storage — The Accountability Layer Every oracle verdict's full reasoning chain is uploaded to 0G Storage's Log Layer (immutable, permanent). The returned root hash is written on-chain as verdictReasoningHash. The frontend reads this hash from the contract and fetches the full reasoning payload from 0G Storage for display.

This creates something no other prediction market has: a permanent, tamper-proof, publicly verifiable record of every oracle decision ever made. The oracle builds a cryptographic track record over time. Trust is not assumed it is proven.

How Each 0G Module Is Used

0G Chain

• All four core contracts + LiquidityPool deployed and live

• Market creation, bet placement, resolution, and payout are all on-chain transactions

• Sub-second finality means payouts reach winners seconds after resolution

• Full EVM compatibility means standard Solidity tooling works without modification

0G Compute

• Oracle Agent: LLM inference for market resolution (DeepSeek V3 on mainnet, Qwen 2.5 on testnet)

• Market Maker Agent: Probability scoring for opening prices and continuous repricing

• Question Validator: Lightweight classification of new market questions at creation

• All inference paid in $0G tokens via the @0glabs/0g-serving-broker SDK

• Provider attestation verified before every inference call (TeeML)

0G Storage

• Oracle reasoning chains written to the Log Layer (immutable) after every resolution

• Market metadata stored in KV Layer (mutable) for fast agent reads

• Market maker pricing state stored in KV Layer for continuous updates

• On-chain verdictReasoningHash links every contract state to its off-chain evidence

• Frontend fetches and displays full oracle reasoning directly from 0G Storage

TEE Sealed Inference

• Every user position encrypted at placement via TEE

• encryptedCommitment stored in PositionVault — opaque to all on-chain observers

• All positions decrypted simultaneously at market resolution

• Zero front-running: nobody sees direction or size until the market closes

• Directly implements the MEV-resistance that Track 2 explicitly requires

Protocol-Owned Liquidity (0G Chain + 0G Compute)

• LiquidityPool.sol holds protocol USDT on 0G Chain

• AI scoring agent calls 0G Compute to evaluate market credibility, popularity, and resolvability

• Score determines allocation size (high-credibility markets get up to 5% of pool)

• On resolution, principal + fees return automatically to the pool

• LP shares appreciate over time as fees accumulate — fully passive yield for depositors

Who Uses Prophet and Why They Come Back

Retail traders who want fair markets. Today they avoid Polymarket because their positions are public — they know whales are watching. Prophet's sealed positions mean they can bet freely without being front-run. They come back because Prophet is the first market that actually protects them.

Information traders — people with genuine edge on outcomes. A political analyst who correctly predicted three elections doesn't bet on Polymarket because their large position immediately signals their view and gets copied. On Prophet their position is sealed. Their edge is protected. They bet bigger. They come back because Prophet is the first market that rewards knowledge rather than punishing it.

Liquidity providers who want passive yield. They deposit USDT into the LiquidityPool, earn fees from every market that resolves, and never have to manually manage positions. The AI agent does the work. They come back because it compounds automatically.

Developers and protocols who want a permissionless oracle layer. Because every Prophet resolution is permanently stored on 0G Storage with a cryptographic hash linking it to on-chain state, Prophet's oracle can be used as a truth layer for other protocols — insurance, derivatives, governance. The market is not the end product. The verifiable oracle is.

Market Opportunity

The global prediction market industry processes over $1 billion in volume annually with Polymarket alone doing $500M+ in monthly volume at its peak in 2026. The total addressable market for information markets combining prediction markets, event derivatives, and forecast aggregation — is estimated at $10-50 billion once regulatory clarity improves.

Prophet is not trying to be a slightly better Polymarket. Prophet is building the infrastructure layer that makes autonomous prediction markets possible and that infrastructure (verifiable AI oracle + protocol-owned liquidity + sealed execution) is reusable across the entire DeFi ecosystem.

WHAT WE BUILT — DELIVERABLES

Smart Contracts (Deployed on 0G Galileo Testnet)

All contracts deployed and verifiable on 0G ChainScan Galileo Testnet

Frontend (Live)

• Market browsing — all active markets displayed with live YES/NO prices

• Market creation — question → 0G Compute validation → contract deployment in one flow

• Market lookup by creator address

• Oracle reasoning viewer — fetches full JSON reasoning from 0G Storage and displays it

• Wallet connection on 0G testnet via RainbowKit + wagmi

0G Storage Integration (Live)

• Oracle reasoning JSON uploaded to 0G Storage Log Layer after every resolution

• Root hash written on-chain as verdictReasoningHash

• Frontend reads hash from contract fetches payload from 0G Storage → displays reasoning

• Full verifiable linkage between on-chain state and off-chain evidence

0G Compute Integration

• Oracle agent wired to 0G Compute SDK (@0glabs/0g-serving-broker)

• Inference calls routed to Qwen 2.5 on testnet

• Provider TEE attestation verified before each call

• Structured JSON oracle prompts implemented and tested
  
  
  ROADMAP

  Phase 1 — Hackathon MVP (Current)

  • Core smart contracts deployed on 0G testnet

  • Market creation end-to-end (frontend → contract)

  • Market display and creator lookup

  • 0G Storage integration for oracle reasoning

  • LiquidityPool contract with AI-scored allocation

  • 0G Compute oracle agent — final wiring (in progress)

  • Market maker agent with live repricing

  • TEE position sealing full flow

  • End-to-end demo: create → bet → resolve → payout

  Phase 2 — Post-Hackathon V1 (Month 1-2)

  • Multi-category markets (crypto, sports, politics, finance live)

  • Full challenge and dispute system for oracle verdicts

  • LP dashboard — deposit, track yield, withdraw

  • Oracle reputation scoring — public track record on 0G Storage

  • Mobile-responsive frontend

  • 0G Chain mainnet deployment

Bootstrapped — Solo builder, no external funding. Seeking ecosystem grants and seed funding to bring Prophet to mainnet post-hackathon.