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What is Elision?

Elision is a blockchain network enabling decentralized parimutuel prediction markets.
Elision itself does not operate any markets; it only provides the base-layer infrastructure for others to do so.


Prediction Markets allow people to bet on event outcomes. In addition to trading, the resulting odds also provide a “crowdsourced” indicator of public opinion.
The betting system Elision uses is parimutuel, which is different to the 0.0-1.0 token design.

Parimutuel traders contribute to pools that get shared among the winning bets. The house does not fix odds for itself, it only remits funds. No counterparties are needed to open a position, so liquidity does not need to be subsidized.

This model translates well to the blockchain.

Since there is no house to bet against, profit odds only get determined after all wagers are placed. The lack of fixed odds is an outcome of letting people bet directly against one another.

Additionally, traders that wait until the last moment can have an information advantage- this is mitigated by locking markets as their events are being determined.
i.e. No new wagers are allowed for a football game while it is ongoing

Elision introduces a new non-graphical NFT-based derivative – called a Slip – that represents your wager on a market. These NFTs can be sold via an auction at any time, even during locked markets.

Every market starts parimutuel, then after a certain period it locks. At this point the Slips become fixed-price position and can be bought and sold on a secondary exchange.

Slips allow a trader to exit their position before the market event occurs. This is either to mitigate risk pre-lock for a losing position, or to realize profit post-lock for a winning position.

Additionally, slips allow profit from implied volatility while a market is locked.
Ex. In a football game, the odds shift after every goal- allowing speculators to trade the fixed-price extrinsic value as the game evolves.

There are 3 fees on the network: Gas, Trading Fees, and Commission.

Gas is expected to be negligible due to a dedicated L1.

Trading fees are set at 1% and fund the decentralized roles and ensure security of the Network. The fees are  are designed to dynamically change in order to maintain oracle integrity through nudging the market cap. It is expected for trading fees to decrease as the network grows.

Commission is defaulted to 0% but can be changed by the market provider in accordance to free market principles. It is expected that commission will be minimized as the network grows due to a larger competitive landscape.


Smart contracts remit funds, an Oracle resolves markets, and another Oracle assesses proper market configuration. The game theory of the networks binds these functions together with an incentivization structure that rewards profit-motivated individuals for efforts favorable to the network.

There are 4 main roles within the network: Market-Provider, Trader, Provisioner, and Reporter. The latter 2 roles (Provisioner, Reporter) perform decentralized duties.

Provisioners: Provisioners are rewarded for rejecting invalid markets, additionally they are rewarded for approving valid markets.

Reporters: Oracle reporters are rewarded for providing proper market outcomes.

Provisioners and Reporters participate in a dispute process for every input. The participants compete against one another during multiple timed rounds by staking capped amounts of LSN coin on outcomes they believe to be true. If a certain quorum is met for an outcome during a round, that outcome becomes the new “tentative” outcome for next round and the process repeats.

Once a tentative outcome fails to be disputed, it is deemed the output from the Oracle and a 45% ROI is guaranteed for those who staked in favor. It is constructed in this way so that truth is profitable and easy to crowd-source.

Reference the whitepaper “Game Theory” section for more details.

In addition to being rewarded by competing against one another to find truth, decentralized roles are eligible to qualify for trading fees.

Every week trading fees are proportionally distributed to decentralized roles based on how much LSN they have committed.

ex. If $100 in trading fees was collected for the week, and there was a total of 200LSN committed decentrally:
Somebody who committed 50LSN(25%) would be eligible for $25(25%) of the fees.

Thank you!

We’ll make sure to update you with any new progress made with Elision. 

You can also stay current with Elision by joining the community discord.