Ethereum Gas Fees Drive Gnosis-Powered Prediction Market to xDai’s Layer 2

The prediction market technology firm is copying all its smart contracts over to Ethereum sidechain xDai. Since turning its prediction market application (a way to gamble on the outcomes of future events) over to a decentralized organization, DXDao, and providing tech support for its implementation, Omen, Gnosis found that users balk at making bets with their friends when it costs so much to do so because of gas costs.

Gnosis expects it will operate on the shard favored by DeFi applications, which will probably still have some of the highest gas costs in Ethereum, even after the new version kicks in. Gnosis remains long on Ethereum, but the whole point of this move is to make it easier for people to use Ethereum without a lot of money at risk, such as betting 10 DAI with a friend over an election outcome.

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