One thing we all like to do is speculate on the price of your favorite cryptocurrency. Today, we’ll have a look at Augur, a decentralized oracle & prediction market protocol. Augur is created in late 2015 and has been developing ever since. The project has been building an alternative to the more centralized sportsbooks where you can bet mainly on sports. Augur facilitates the opportunity to create and handle predictions on politics, crypto price predictions and any other event that has more outcomes than one.
What is Augur (REP)?
As mentioned before, Augur is a project that’s both a prediction market and an oracle. The word oracle might seem quite odd and unclear, but it is in fact a really noble solution. Augur has defined their oracle to be the following;
“Augur is a decentralized oracle and peer to peer protocol for prediction markets. Augur is free, public, open-source software, portions of which are licensed under the General Public License (GPL) and portions of which are licensed under the Massachusetts Institute of Technology (MIT) license. Augur is a set of smart contracts written in Solidity that can be deployed to the Ethereum blockchain. Augur is a protocol, freely available for anyone to use however they please.”
Behind the project is a team of developers that go by the name of ‘The Forecast Foundation’ that raised $5.33 million back in 2015. Considering the fact that Ethereum and most other cryptocurrencies were at a way lower price than nowadays, that amount might have been way higher than anyone expected it to become. That it is of course if they managed to take good care of their funds and keep their cash-flow balanced. Now the beauty of this organization behind Augur is that they solely build the platform and focus on improving it. They do not have access to anyone’s funds, cannot interfere with the set smart-contracts nor do they get paid from all the predictions made. They operate in a truly decentralized manner and let the protocol manage itself.
The REP or Reputation token functions as a utility token within the protocol. It can be staked within the smart contracts as a manner of settling disputes as it earns voting power for the token holder. Whenever a person creates a prediction and another user matches this prediction, it can be done in either REP or ETH. One thing to take into consideration for those who like to hold their beloved tokens for years; “Passive holders of Reputation (REP) that are not using their Reputation (REP) within the Augur protocol to stake on disputes and forks are penalized.” So make sure to use the tokens you’ve bought!
Augur (REP) Price Prediction 2018
This project has been around for many years now and as many other veteran projects, Augur has seen its price do all kinds of jumps and dives. When first introduced to the market back in 2015, it went for 1.50 USD per coin. After that very moment, the coin has never been lower in USD value than it was at that point. When we look at the statistics for the Return On Investment for Augur since the ICO it’s interesting to see. The return on investment in dollars is 17.62x, the return on investment in Ethereum is 0.06x and the return on investment in Bitcoin is 0.88x. Most of the time the goal for many out there is to stack as much Bitcoin as possible, others prefer Ethereum but in this case either holden your REP tokens or selling them for dollars would be way more profitable. Do take into consideration that both Bitcoin and Ethereum went through as many cycles as Augur and are currently at relatively low prices as well.
When we go back to the price predictions for Augur in 2018, it’s all Lambos and Ferraris. At the beginning of 2018, the price for Augur was at its all-time high of 107,00 dollars. That’s a return on investment to dream of if you had invested in the ICO back in 2015. The fun didn’t last that long and shortly after price plummeted down to 30 dollars and eventually even to its lowest point of 2018 with 6,15 dollars. The predictions that were made back in 2018 called for Augur to go as high as $500 dollars by the end of the year. Of course, this did not happen and the price remained flat for a long period of time. Meanwhile, the project kept developing, got listed on Coinbase even and is now ramping up for their V2 release. The release of the next version for their protocol was set for the 15th of September. It led the price to reach around 20 dollars in preparation for the launch, but it has since then declined back to around 10 dollars today. The release of the protocol is now set for January 2020, let’s see what happens then.
Augur (REP) Price Prediction 2020
With the release of the V2 version of the protocol, there’s quite some hype being made and surrounding the project. All predictions that are currently being made within the protocol will be cut-off and re-instituted within the new version of the protocol. The REP tokens should be transferred and swapped from the REP-1 token to the REP-2 token, which will cause some hassle here and there, but it’ll also mean that Augur will be present. It will be everywhere and many platforms that are currently building on Augur are looking forward to this release as well. There are around eight projects that are actively building on top of the Augur protocol that are all reliant on the release of the newer version of the protocol.
For the predictions that are being made, these are more short-term ones. A really popular name within the industry of price predictions, Alan The Master, has done a short-term prediction on Augur where he is calling for the possibility of 180% profits. His call was made around the 5th of September and afterward, the price did go up with around 30%. That being said, there’s still enough room for growth here.
Augur (REP) Price Prediction 2021
Let’s assume Augur has successfully launched their Version 2 of the protocol and all the projects that are building on top of their protocol have launched as well. That would mean there’s a functional prediction market on each field in multiple industries available for peer-to-peer predictions. This would cut out the sportsbooks that many find corrupt, not trustworthy or simply too costly with high fees and others. As Augur is building on top of the Ethereum blockchain, it is hereby necessary that Ethereum itself will expand and allow more things to run on the network. The network can not be clogged and should function as the perfect facilitator towards the Augur projects and those on top of the Augur protocol.
Looking at the long-term potential for Augur is quite difficult. The whitepaper is only available on Github, which is a good cause as it is an open-source project. The bad side is, it’s not easily accessible and thereby the current roadmap is hard to tell. Whether it reaches all the way up to 2021 is hard to tell. The thing here is, the cash-flow of the project is probably enough to last a couple more years if they have managed to sell their holdings at the right moment. With a total supply of ‘only’ 11 million REP tokens, a high price per token is quite possible. It all depends on the growth of the market as a whole. A market cap of 1 billion for Augur would mean a token price close to 100 dollars, a 10x increase of where we are today.
Augur (REP) Price Prediction 2025
The price for 2025 is fully reliant on the adoption of cryptocurrencies throughout the entire industry. The moment we see regular sportsbooks being outplayed by decentralized alternatives, especially those on top of Augur, there’s a chance. That would mean that Augur would play a significant role in the crypto-industry and thereby claim more market capitalization in comparison to others, thus increasing in price. Whenever we compare this growth to other technical sectors, it could look a little more like this;
- If Augur has the average YoY growth that the Internet went through by amount of users (in its adoption phase 1995 / march 2017 = $49.26
- If Augur has the average YoY growth that Facebook went through (in its adoption phase 2004 / 2016) = $1.267,86
- If Augur has the average YoY growth that the Mobile Phone went through (in its adoption phase 1993 / 2013) = $46.82
That would mean that we would be keen on seeing explosive growth as Facebook experienced during its peak times. We have seen this growth happening before during the explosive bullrun of 2017/18, so it could be possible. It’s all about keeping the faith, my dear friends.