The midterms were more carefully-watched than usual this year because it was the first time the American electorate went to the polls to express their opinion on the Trump presidency.
And it proved to be an interesting test for the decentralized predictions market, Augur (REP).
Augur’s surge in popularity in the immediate run-up to the midterms was due to bets on the electoral outcome. Two weeks ago, when Crypto Briefing originally looked into the increasing popularity of the platform, it was the third largest bet on the predictions platform. This week it became the largest, with roughly $1.3m worth of Ether (ETH) at stake; for perspective, the second biggest bet currently has just over half a million.
That’s interesting because the platform had suffered from a marked decline in daily active users since it launched back in the summer. As Crypto Briefing has already highlighted, at one point in September there were just 38 active users. Although this doesn’t necessarily effect open bets, it suggested Augur was struggling to expand outside of its base.
But what if it transpired that the big midterm Augur bet was principally made up of two whales?Whales controlled the Augur midterms
A source familiar with the matter told Crypto Briefing that two whales comprised roughly three-quarters of the Augur midterms market. Over the past week, both sides slowly upped one another on the stakes.
According to the source, who has asked to remain anonymous, this started out with one whale placing a 1000 Ether (ETH) bet on the Republicans to win the House. This happened Friday, November 2nd when the amount at stake was somewhere between $75,000 to $150,000. Later that same day, at approximately 16:00 EST, the other participant upped the bet with a 1,500 ETH bet on the Democratic party to win in the midterms.
“In the midterm market, one whale posted a substantially large order on the Republicans that was priced above the mar...