To dispute or not to dispute?

People-powered predictions mean just that: users create markets, users participate in markets against each other, and users validate market outcomes. But how do you prevent bad actors in a people-powered ecosystem? FORE has built a decentralized dispute resolution mechanism into its peer-to-peer predictions platform. This allows for a final check and referees, ensuring that any user has the opportunity to report any violations or concerns about a market or its results.

The dispute resolution process is handled by Dispute Creators and High Guards: 
- Dispute Creators: any user of the protocol who ‘votes’ with FORE to question the validity of a market or outcome
- Dispute Resolvers (High Guards): active Analysts with Black NFTs (the highest tier) who have proven their loyalty to the community and the protocol (please note, this is managed by team members during the testnet phase)

The dispute mechanism in FORE Predict is a system in which dispute creators and High Guards work together to ensure the accuracy and fairness of market outcomes. These groups are responsible for ensuring that Creators are creating clear and resolvable markets, and that Analysts are properly validating the outcomes of markets. and hold each other accountable for any violations or concerns that may arise. 

When to dispute a market:

‍- Markets are incorrectly validated
- Market prompt is unclear
- Unreliable data source
- Inaccurate title

How to dispute a market:

After the verification phase ends, the dispute period begins (please note, based on user feedback we are working to implement the dispute mechanism earlier within the market lifecycle to enable market disputes before validation).

Users and High Guards can create a dispute by voting with 1,000 FORE as a ‘dispute fee’. The payment is transferred to the smart contract address and held until the reward phase. If the dispute is deemed valid, this fee is returned to the dispute creator.

A dispute prevents the market from closing until it is resolved by the High Guard. The resolution process currently has no time limit as accuracy is prioritized over speed, but we aim to resolve disputes within 24 hours and will be sharing the average resolution time as a performance metric. Once the dispute is resolved, the market is automatically closed and enters the payout phase. Learn more about the different market phases here.

The dispute creator may be eligible for a reward if their claim is found to be valid. The amount of the reward is determined at the time when the dispute is resolved and the market is closed, and has four outcomes (please note, we are working on additional guidelines for resolution based on outcomes that do not clearly fit within the below framework):
1. No dispute: validation was correct.
2. Won A/B: Analysts who validated the wrong outcome lose their NFTs and the FORE locked into it.
- Successful dispute: Dispute creator receives dispute fee back and 50% of FORE locked into incorrect Analysts’ NFTs (other 50% is sent to the High Guard).
- Unsuccessful dispute: Dispute fee is sent to the High Guard (100%), Incorrect Analyst NFT is burned.
3. Draw (validation power is equal): the Analyst reward is divided equally among the High Guard and the creator of the dispute.
4. Invalid (single-sided liquidity or no validation): the Analyst award is divided equally among High Guard and the creator of the dispute.

Overall, the dispute resolution mechanism serves as an important tool for maintaining the integrity of FORE Predict’s market and providing a fair and enjoyable experience for all users. Given the potential for subjectivity in user-created markets, this is a mechanism we will be continually evolving with user feedback, and we aim to provide as much transparency on the resolution process itself as possible.

If you're interested in seeing this system in action, sign up to access FORE Predict by clicking "GET ACCESS" below. While you're waiting, can check out the video guide on "How to dispute a market" to learn more.