Vitalik Buterin outlines potential of info finance in crypto

Vitalik Buterin, co-founder of Ethereum (CRYPTO:ETH), recently highlighted the promising future of cryptocurrency applications in prediction markets, introducing the concept of "info finance."

This term encompasses the strategic creation of markets to effectively gather and interpret information, extending beyond prediction markets to areas like social media, science, news, and governance.

Buterin explained that info finance begins by identifying an intriguing fact and consciously designing markets that can reveal relevant insights.

While current projects include advertising, personal tokens, scientific peer reviews, and public goods funding, Buterin emphasised that these initiatives are still in the early stages and hold significant potential for expansion.

He pointed out that the current decade presents a unique opportunity for the growth of info finance due to several factors: resolving trust issues, leveraging scalable Blockchain technology, and enhancing market participation with artificial intelligence.

“Info finance addresses the trust problems people face. The lack of information about whom to trust is a common concern in political, scientific, and commercial contexts. Info finance applications can be part of the solution,” Buterin stated.

AI’s involvement is seen as a key element in fostering efficient market operations, even on smaller-scale topics.

This can lead to an increase in market volumes as it facilitates participation and data processing.

The recent reduction in transaction fees further supports the practicality of implementing these concepts.

Buterin believes that info finance could provide innovative methods for gathering and assessing information, contributing to building trust and improving decision-making across different sectors.