Quote from: MyFarm on July 31, 2016, 10:33:38 PM

Quote from: Nxtblg on July 31, 2016, 10:24:30 PM

Quote from: dranster on July 28, 2016, 03:57:08 PM

Wow great news Grin

Factom is getting SMART CONTRACTS Shocked

HOOOORAY

https://www.factom.com/smartcontract-factom-announce-collaboration/

That's absolutely mind-blowing: not the smart-contract thingie, but the trusted oracle. Auditable, trustworthy financial data: just think of what that could do for binary options!

Can you elaborate please?

Binary options are bets on financial instruments. Let's say I'm a gold bull and want to bet that gold will be above US$1,350 as of 5 PM ET next Tuesday. I can buy a "binary option" which essentially is a bet on gold being >$1,350 at 5PM ET August 2nd, 2016. If gold isn't above that level, I lose my bet. But if it is, I win the bet.

The way a binary option differs from a regular bet is the payoff amount. With a regular bet, I win the fixed bet amount. But with a binary option, I'd win the difference between the real price and my bet price. Example: if gold closed at $1,352.5 at that time, I'd win $2.50.

The binary option sector is a) huge b) widely regarded as scammy. Factom's financial-data Trusted Oracle could help clean up the industry or at least take away the smell to it.