🙋‍♂️Report

Once a market event has occurred, the result must be determined in order for the market to finalize and settle. The result is determined by the MetaOracle‘s Oracle, which consists of interest-driven Reporters who report the actual, real-world outcome of the event. Any user with an MOT can participate in the dispute over the report. Those reporters whose reports are consistent with objective reality are financially rewarded, while those whose reports are inconsistent with objective reality are financially penalized.

Reporting Process

Dispute Window

MetaOracle's reporting system runs on a 7-day continuous dispute window, and all fees collected by MetaOracle during a given dispute window are added to the reporting fee pool for that dispute window. At the end of the dispute window, the reporting fee pool is paid to the holder of the MOT who participated in the reporting process.

Participating Tokens

During any dispute window, MOT holders can purchase any quantity of tokens and stake to generate DvMOTs, each DvMOT representing one voting right. At the end of the Dispute Window, they can share a proportional share of the Dispute Window reporting fee pool. The platform will give additional incentives to users who participate in the Dispute Window for a long time and whose voting result is the same as the consensus result.

Definition 6: Given the number of times user $\mathit{n}$ participated in the dispute window - $\mathit{UnDW_{P.Total} }$, the number of cumulative votes - $\mathit{UnDW_{V.Total.DvMOT} }$, and the number of cumulative valid votes $\mathit{UnDWT_{V.Total.DvMOT} }$(the number of votes with the same result as the consensus result); Then the relationship between the number of new pledged MOT of user $\mathit{n}$ in the dispute window $\mathit{UnNDW_{S.Total.MOT }}$ and the number of generated DvMOT - $\mathit{UnNDW_{G.Total.DvMOT}}$ is:

$\mathit{UnNDW_{G.Total.DvMOT}=UnNDW_{S.Total.MOT}×f(UnDW_{P.Total},UnDW_{V.Total.DvMOT},UnDWT_{V.Total.DvMOT})}$as $\mathit{0＜f(UnDW_{P.Total},UnDW_{V.Total.DvMOT},UnDWT_{V.Total.DvMOT})≤1}$

Designated Report

When a market is created, the market Creator needs to select a Designated Reporter and issue a Creation Margin. During the Designated Report stage, the market's Designated Reporter has a maximum of 24 hours to report the results of the event.

If the Designated Reporter submits their report on time, the Creation Margin will be generated as a speculative share of the reported results and if the market finalizes a result different from the result they reported, the Creation Margin will be forfeited.

If the Designated Reporter fails to report within the required 24 hours, the Market Creator will forfeit the Creation Margin and the market will immediately proceed to the Public Reporting Stage.

Public Report

Once the market enters the Public Reporting Stage, anyone can report market results. When a designated Reporter fails to report, the first Reporter to report a market result is referred to as the Market's First Public Reporter. The first Public Reporter of the market receives forfeited Creation Margin in the form of a speculative share of the result of their choosing, so that they can claim Creation Margin only if the result they report is consistent with the final result of the market.

The first Public Reporter will only require a small amount of DvMOT as margin when reporting market results. In this way, any market that is not reported by a Designated Reporter is expected to have its results reported soon after it enters the Public Reporting Stage.

Once the initial Reporter (either the Designated Reporter or the First Public Reporter) receives the initial report, the reported results become the tentative results of the market and the market enters the Dispute Round Stage.

Dispute Round

During the Dispute Round, any DvMOT holder has the opportunity to dispute the tentative result of the market. A Dispute Round may take place over many days. At the beginning of a Dispute Round, if a DvMOT holder does not successfully dispute it, the tentative result of the market will become the final result of the market. Disputes include new Dispute Margins arising from speculative shares in results other than the current tentative result of the market. A Dispute is successful if the Dispute Margin for a new round of an result reaches the minimum Dispute Margin amount required for the new Round.

Definition 7: Let $\mathit{B_{k}^{E_n}}$ denote the minimum dispute margin required for the result of event $\mathit{{E_n}}$ at the beginning of the $\mathit{k}$ round of dispute, and $\mathit{{OI_{k-1}^{E_n}}}$ denote the total Open Interest (dispute margin reserve) for the result of event $\mathit{{E_n}}$ at the end of the $\mathit{k-1}$ round of dispute. Then:

$$\mathit{B_{k}^{E_n}=\frac{OI_{k-1}^{E_n}}{2}}$$

For fairness and to provide some protection against market manipulation, the MetaOracle platform allows all DvMOT holders to participate in the Dispute Round by taking a predicted share of the market's tentative result. Anyone who believes that the tentative result is incorrect can dispute the result by taking a predicted share of DvMOT on a result other than the tentative result. If a sufficient Dispute Margin is accumulated on any result (other than the tentative result), the current tentative result will be successfully disputed.

In the event of a successful dispute, one of two scenarios will occur.

• The market will immediately enter a new round of dispute: DvMOT holders dispute the result by using DvMOT speculative shares on a result other than the tentative result.

• The market enters a dispute nodes, evidence, and referendum stage: $\mathit{k>5}$

With the dispute unsuccessful, the market entered the finalization stage.

Dispute Nnodes, Evidence, and Referendums

Once the market enters dispute nodes, evidence, and referendums, it is clear that DvMOT holders are significantly divergent about the result of events in the market.

Step1 Dispute Nodes

The DAO of MetaOracle and the DvMOT holders who participated in the dispute event participated in the voting to select 21 dispute nodes. The number of nodes in dispute for DAO - $\mathit{DWN_{DAO}}$ and the number of nodes in dispute for DvMOT holders - $\mathit{DWN_{DvMOT}}$ satisfy:

$$\mathit{DWN_{DAO}>7}$$

$$\mathit{DWN_{DvMOT}>7}$$

Step2 Evidence

A proposal for a collection of evidence on the result of the incident was initiated by 21 dispute nodes.

Definition 8: Given the event $\mathit{DWE}$ of the Dispute Window, the set of evidence is denoted as $\mathit{\boldsymbol{E}_{DWE}=\left\{E_{DWE.1}, E_{DWE.2}, \ldots, E_{DWE.m}\right\}}$, which brings together all evidence related to the disputed event.

The 21 dispute nodes initiated by the $\mathit{\boldsymbol{E}_{DWE}}$ proposal will be voted on by the DvMOT holders participating in the dispute event and the proposal will be executed after the vote is approved.

Step3 Referendums

All DvMOT holders may use their DvMOT to referendum on each of $\mathit{\boldsymbol{E}_{DWE}}$'s evidences $\mathit{\boldsymbol{E}_{DWE.n}}$, $\mathit{n=\{1,2, \ldots, m\}}$. If any DvMOT holder disagrees with all or part of $\mathit{\boldsymbol{E}_{DWE}}$'s evidence, he/she must provide the corresponding evidence, otherwise the vote will be considered invalid and the DvMOT used by the holder for voting will be forfeited.

If more than 95% (≥95%) of the DvMOT votes in favor of $\mathit{\boldsymbol{E}_{DWE}}$, the user is considered to have determined the current tentative result of the market and entered the final determination stage.

If less than 95%(<95%) of DvMOT vote in favor of $\mathit{\boldsymbol{E}_{DWE}}$, then any $\mathit{\boldsymbol{E}_{DWE.n}}$ that cannot be agreed upon will be assembled into a new evidentiary set, $\mathit{\boldsymbol{E}_{DWE}}$, and will proceed again to stage "Dispute Nnodes, Evidence, and Referendums" until more than 95% of DvMOT vote in favor of $\mathit{\boldsymbol{E}_{DWE}}$. Once more than 95% of DvMOT vote in favor of $\mathit{\boldsymbol{E}_{DWE}}$, the user is deemed to have determined the current tentative outcome of the market Once more than 95% of DvMOT vote in favor of $\mathit{\boldsymbol{E}_{DWE}}$, the market will be deemed to have been confirmed by the users as the current tentative result and will enter the finalization stage.

2.3.7 Finalization

If a market enters finalization, users can choose to settle their $\mathit{OI}$ directly, and the result of their choice becomes the final result of the market event.