The best way to describe the Golem network is that it’s a worldwide, decentralised supercomputer. This supercomputer combines the computing power of every system on it’s worldwide network. On it’s ecosystem, you are able to loan out spare resources from your computer to help others compute difficult and complex computations and tasks. Golem is a great way of utilising your under-used resources on your computer to make a bit of extra money.
On the opposite side of the coin, you can use the Golem network to rent additional computing power from other computers on the system to help speed up computational task, which are causing problems. If you’re regularly doing difficult and resource intensive tasks on your computer, things such as developing artificial intelligence, Natural Language Processing or CGI rendering, this is the perfect way to add additional resources without reducing storage.
How To Buy REP
So you’re interested in buying REP? Currently, there is no way to buy REP directly with fiat, so the best way to buy REP is to first purchase Ethereum, transfer it to your chosen trading platform and change it to REP. We’ll show you how.
2. Once your account has been created and confirmed, log into your Binance account. Once you have logged into the account, go to the menu, click on the funds section and then deposit on the drop down bar.
3. Once you’re on the Deposit section, click the drop down menu labeled “Select Deposit Coin” and look for Ethereum, or type ETH and select.
4. This is your Ethereum Deposit Address, we have chosen Ethereum instead of Bitcoin due to the lower fees and transfer times. Next we’re going to look at buying Ethereum and depositing it into your Binance account.
1. First change the Buy option from BTC to ETH for USD and then choose your amount.
2. When you have chosen the amount of Ethereum you want to purchase (A minimum of 0.05 ETH is required), you will need to register and confirm your CEX account and payment details.
Once that has been confirmed and the ETH has been deposited into your account, we will then need to move it over to Binance.
3. Select the Withdraw option at the top of the site and select Ethereum as your currency. You will then be given a field, where you will add a wallet. This is where you can transfer your money to Binance.
4. Go back to your Binance Account and copy the alpha numeric code under your Ethereum Deposit section and paste it into your Ethereum Withdrawal section on CEX.io. Confirm that this address is correct and press “Withdraw“.
Your Binance account will now be credited with Ethereum.
Purchasing Augur Reputation
2. On the trading platform, select the ETH section and use the search function to search for REP/ETH and confirm.
3. On the REP/ETH trading section you can now choose how much RPE you want to buy with your Ether. Once you have chosen your amount, press Buy REP and place your order.
Once your order has been fulfilled, your account will be credited. Congratulations you’re now the proud owner of Augur Reputation.
Utilising the Ethereum network, Augur allows you to make predictions and bet on outcomes on certain events and be rewarded with monetary prizes if you’re correct.
Using their patented “Wisdom of the Crowd” from registered predictors on the platform, they look to create real-time predictive data which is often more accurate than most leading experts!
Augur – How does it work?
With Augur you are able to create to primary actions within the network
- Create a Prediction Market
- Trading Event Shares
Creating a Prediction Market
In order to create a market on the Augur platform, firstly you will need to spend a small amount of Ethereum. Markets can be based on anything, you can pose questions, such as “Will Bitcoin reach $50,000 before 2020?” or ” Will Leicester City win the Premier League again?”
When you create a prediction market you then need to set a taker and maker fee. These are the costs of buying and selling shares on the market’s books. Taker fees must predominately be between 1.0% and 12.5% and Maker fees are around half of the Taker fee. The Maker fees are the fees you receive when the market closes and the prediction ends.
However it is worth noting that Augur have said they are looking at how this is currently setup and will be making adjustments in the future.
They have suggested the market openers will be subject to creating a creators fee instead of posing Maker and Taker fees. The Creator fee is taken from the winnings of the traders who make the correct prediction. This then pays the creator, similar to how the maker fee works.
Ideally, as a market opening you need to keep your settlement fees low enough to keep the market enticing to potential bidders, but high enough that you recoup your Ethereum costs used to create the market.
As well as creating markets you can also buy an trade shares in the market, which represent the odds of a market place. A good example of this is “Will Bitcoin reach $50,000 be 2020?”
So because there has been a recent down turn in crypto currencies, this market may interest you. You feel fairly confident that Bitcoin will not reach $50,000 by 2020, so you put a bid in to buy 50 shares at 0.5 ETH each. A share on the Augur market can be worth between 0 and 1 ETH depending on what the Creator set it at.
So how as a trader do you make money? Well you can look at buying a share at a low price and then ask market opinion heads towards you favour you can then sell the shares for a profit. Over time real world events are likely to determine the outcome of an event.
You also make money when you hold shares in the correct prediction as the market ends. The amount of your payout is the Number of shares you own, multiplied by the current price, divided by the number of ticks.
The number of ticket is the number of possible price points between the lowest and highest prices in the market. When you receive your winnings you will also need to pay a settlement fee, which will also include the creator, set by the market creator and the reporting fee, set by Augur. The fees are percentage based, so the higher your winnings, the more fees you need to pay.
Augur REP Tokens
The REP (Reputation) token is the life blood of the Augur Decentralised Oracle System. REP is the token you use to stake on the outcome of the events in various markets.
When the prediction ends and the market closes, you report on the outcome of that event and stake a certain amount of REP to back up your claim. If the event has yet to occur, this should be marked as “Invalid”, since you’re unable to report on it.
When a market closes you have 27 days to submit a report. If your report the same outcome as the majority of your market you will receive some REP back, plus a portion of the original reporting fee.
The more REP you stake when reporting, the greater of the reporting fee you will earn back.
Markets can also be reported on by a designated reporter, just to make things more difficult. A market creator will designate a reporter, who will report on the proposed outcome on the market when it closes. The designated reporter has just 3 days to do that.
The Augur Team
August was started in October 2014 and was actually one of the first platforms built on the Ethereum Network, infact Augur is an original in the crypto world. Joey Krug and Jake Peterson lead a 13 person Augur team. Both men have a huge amount of experience in the Crypto world. They were involved in creating Sidecoin, a fork of Bitcoin.
An exciting thing about this project is that the creator of Ethereum, Vitalik Buterin, is an advisor on the project.
The first public Beta of Augur was released to the public in 2015, and the 2nd phase was released in August 2016.
The team’s biggest competition is Gnosis. Both projects have significant experience with the projection and blockchain market and are infact using similar technologies to create a project that’s virtually identical. However it is said that the market is big enough for both projects to exist along side each other.
How to Store REP
While there hasn’t been a specific wallet built for REP yet, there are still many options available. Jaxx and Exodus are two well-known wallets that support REP.
Believe it or not Augur is one of the oldest crypto projects out there, and was one of the first to be built on the Ethereum Network. Using the Wisdom of the Crowd and the experience of the team we predict a big surge in price for the project.