Simple Prediction Market

A decentralized prediction market platform built on Ethereum that allows users to bet on binary outcomes using ERC20 tokens. Built with Next.js, TypeScript, Thirdweb, and Solidity.

🚀 Features

• Create Markets: Set up prediction markets with two possible outcomes
• Buy Shares: Purchase shares representing your belief in an outcome
• Automated Market Making: Dynamic share pricing based on total holdings
• Claim Winnings: Winners receive their stake plus a proportional share of losing bets
• Multi-tab Interface: View active, pending, and resolved markets
• Web3 Integration: Connect wallet with account abstraction support
• Token Faucet: Claim test tokens to participate in markets

🛠️ Tech Stack

Frontend

• Next.js 15: React framework with App Router
• TypeScript: Type-safe development
• Thirdweb SDK: Web3 integration and wallet management
• shadcn/ui: Beautiful UI components built on Radix UI
• Tailwind CSS: Utility-first styling

Smart Contracts

• Solidity: Smart contract development
• Foundry: Testing and deployment framework
• OpenZeppelin: Secure contract standards

Blockchain

• Sepolia Testnet: Ethereum test network
• ERC20 Token: Custom prediction token (PMT)

📋 Prerequisites

• Node.js 18+ and npm/yarn
• MetaMask or compatible Web3 wallet
• Sepolia testnet ETH (for gas fees)

🔧 Installation

1. Clone the Repository

git clone https://github.com/zntb/nextjs-web3-simple-prediction-market.git
cd nextjs-web3-simple-prediction-market

2. Install Dependencies

npm install

3. Environment Setup

Create a .env.local file in the root directory:

NEXT_PUBLIC_THIRDWEB_CLIENT_ID=your_thirdweb_client_id

# Backend API variables
RPC_URL=https://sepolia.infura.io/v3/your_infura_key
PRIVATE_KEY=your_wallet_private_key
TOKEN_ADDRESS=0x1Cc10F13Ea489ea3184D397196c892B148e0478C

Get your Thirdweb Client ID:

1. Visit Thirdweb Dashboard
2. Create a new project
3. Copy your Client ID

4. Run Development Server

npm run dev

Open http://localhost:3000 to view the application.

📝 Smart Contract Deployment

The contracts are located in the pmcontract directory.

Deploy with Foundry

cd pmcontract
forge build
forge test
npx thirdweb deploy

Contract Addresses (Sepolia)

• Prediction Market: 0x565fBDEBa409Cdf03EeC311eB96be3FDBF3e67D8
• Prediction Token (PMT): 0x1Cc10F13Ea489ea3184D397196c892B148e0478C

🎮 How to Use

For Users

1. Connect Wallet: Click "Sign In" to connect via in-app wallet
2. Claim Tokens: Get free PMT tokens from the faucet
3. Browse Markets: View active prediction markets
4. Buy Shares: Select an outcome and purchase shares
5. Claim Winnings: After resolution, claim your rewards

For Market Creators (Owner Only)

Markets can be created by calling the createMarket function on the smart contract:

createMarket(
    "Will ETH reach $5000 by 2025?",
    "Yes",
    "No",
    7 days
)

🏗️ Project Structure

├── src/
│   ├── app/
│   │   ├── api/claimToken/    # Token faucet API
│   │   ├── layout.tsx
│   │   └── page.tsx
│   ├── components/
│   │   ├── ui/                # shadcn/ui components
│   │   ├── enhanced-prediction-market-dashboard.tsx
│   │   ├── marketCard.tsx
│   │   ├── market-buy-interface.tsx
│   │   ├── market-resolved.tsx
│   │   └── navbar.tsx
│   ├── constants/
│   │   ├── contract.ts        # Contract addresses
│   │   └── tokenAbi.json
│   └── lib/utils.ts
├── pmcontract/
│   └── src/
│       └── SimplePredictionMarket.sol
└── public/

🔐 Smart Contract Details

SimplePredictionMarket.sol

Key functions:

• createMarket(): Create a new prediction market
• buyShares(): Purchase shares for an outcome
• resolveMarket(): Set the winning outcome (owner only)
• claimWinnings(): Claim rewards for winning bets
• getMarketInfo(): Retrieve market details
• getSharesBalance(): Check user's share balance

Reward Calculation

Winners receive:

winnings = userShares + (userShares × losingShares / winningShares)

This ensures:

• You get your original stake back
• Plus a proportional share of all losing bets

🧪 Testing

# Frontend tests
npm run test

# Smart contract tests
cd pmcontract
forge test

🚀 Deployment

Frontend (Vercel)

npm run build
# Deploy to Vercel or your preferred platform

Smart Contracts

cd pmcontract
npx thirdweb deploy

🤝 Contributing

Contributions are welcome! Please follow these steps:

1. Fork the repository
2. Create a feature branch (git checkout -b feature/amazing-feature)
3. Commit your changes (git commit -m 'Add amazing feature')
4. Push to the branch (git push origin feature/amazing-feature)
5. Open a Pull Request

📄 License

This project is licensed under the MIT License - see the LICENSE file for details.

🔗 Links

• Live Demo: [Add your deployment URL]
• Documentation: [Add documentation link]
• Discord: [Add community link]

🙏 Acknowledgments

• Thirdweb for Web3 infrastructure
• shadcn/ui for UI components
• OpenZeppelin for secure contracts

📧 Contact

Your Name - @yourusername

Project Link: https://github.com/zntb/nextjs-web3-simple-prediction-market

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⚠️ Disclaimer: This is a demonstration project for educational purposes. Do not use in production without proper auditing and security reviews.