The Binary Options module is now live on Injective!
As a further result of the Injective Mainnet Chain Upgrade, binary options can now be utilized by any developer or application built on Injective.
What Are Binary Options?
Binary options are a type of financial derivative in which the trader predicts the outcome from two possible results.
Users can choose between two outcomes within a binary option, and dependent on whether the option expires in the trader’s favor, a payout will be given.
For example, binary options can be a contract for the outcome of an election: will candidate A become president? The options given within a binary options market are binary - yes or no - and the correct answer will come with a payoff.
Binary options are also dependent on an expiration time, as there must be a definitive outcome to the proposition in order to provide the payout to the trader. In the above example, the user who selects the correct outcome will only receive payment once the election results are finalized.
Binary options are most frequently used within prediction markets that can propose any number of options for traders to enter into.
How Does This Affect the Injective Community?
Binary options provide an additional module for developers to utilize and create new types of applications on Injective. New dApps, such as prediction market platforms, will further diversify the ecosystem for Injective users.
Each prediction platform can also have its own subject matter, ranging from sports prediction platforms to asset prediction platforms.
How Does This Affect the Injective Ecosystem?
Developers can now build new dApps utilizing the binary options module on Injective.
Builders, such as Frontrunner, can either integrate the module into their current platform or use it to be the core module for a new product release. This means a developer no longer needs to create this functionality from scratch, saving them a great deal of time so that they can focus on launching their app with the best-in-class infrastructure.
The Injective community also provides documentation for developers looking to utilize the binary options module (and other modules that Injective provides).
To review the documentation, please click here.
Injective is a lightning fast interoperable layer one blockchain optimized for building the premier Web3 finance applications. Injective provides developers with powerful plug-and-play modules for creating unmatched dApps. INJ is the native asset that powers Injective and its rapidly growing ecosystem. Injective is incubated by Binance and is backed by prominent investors such as Jump Crypto, Pantera and Mark Cuban.