Lucida

Lucida is a permissionless prediction market that redefines how truth and foresight are established on-chain. Unlike conventional markets that rely solely on single oracle data feeds, Lucida introduces an AI-driven analyzer that combines multi-oracle aggregation with real-time internet data scraping, ensuring that predictions are informed by the broadest, most accurate, and verifiable dataset available.

At its core, the system produces not just a binary market resolution but a credibility score. This score reflects the confidence level of the AI, factoring in cross-verified signals, contextual internet evidence, and a transparent weighting of sources. To build user trust, every market resolution is accompanied by references to the original data sources, so participants can check with the refrences that has driven the final result. This shifts Lucida from being just a betting layer to becoming a trust worthy platform for decentralized forecasting and predictions.

⚙️ Smart Contract Architecture The Lucida contract governs all market creation, participation, and resolution flows. Key mechanics include:

1. Market Lifecycle Users can propose to create a market by submitting a question and staking a small fee.

Markets move through distinct states: Active → Resolving → Resolved (→ Dispute, if so).

Anyone can bet on outcomes (Yes or No) during the "Active" phase, with funds pooled transparently.

1. AI-Informed Resolution

Once a market closes, the Lucida AI proposes an outcome (Yes/No) along with an evidence URL containing references and supporting data.

The proposed resolution includes both outcome and credibility scoring, visible to everyone.

1. Dispute & Governance Layer

Anyone can open a dispute window if they think the result is not correctly fetched by staking 0.001 ETH.

Afterwards, the Dispute window will allow the DAO members to contest the AI’s proposed outcome to vote in favor or against the current result.

If opposition outweighs support, the proposed outcome flips. If support prevails, the AI’s proposal stands.

1. Reward & Incentive System

Winning bettors claim proportional payouts from the total liquidity pool.

Both bettors and Dispute participants are economically incentivized to keep the system accurate and tamper-resistant.

🔑 Unique Value Proposition:

• AI + Oracles Aggregation + Internet Scraping → triple-layered data integrity.
• Confidence Scoring & References → adds transparency and reduces blind trust.
• Game-Theoretic Security → staking and dispute system prevents manipulation.
• User Protection → references and confidence score empower users to avoid scams and trust outcomes.

Lucida is built as a permissionless prediction market designed to combine AI, oracles, and internet data scraping into a trustless system for on-chain foresight. Unlike conventional prediction markets that rely on a single oracle, Lucida leverages a hybrid data pipeline where an AI-driven analyzer aggregates multi-oracle feeds (currently Pyth and DIA) and real-time internet scraping, ensuring outcomes are accurate, broad, and verifiable.

Core Smart Contract Architecture The Solidity smart contracts define the entire market lifecycle:

• Market Lifecycle → Any verified user can create a market by submitting a question and staking a small fee. Markets move across states: Active → Resolving → Resolved (→ Dispute, if raised).
• Betting → Participants stake on “Yes” or “No” outcomes, with all liquidity pooled transparently.
• AI-Informed Resolution → After market closure, Lucida’s AI proposes an outcome with a credibility score and an evidence URL containing references that informed the decision.
• Dispute & Governance Layer → A 0.001 ETH stake can trigger a dispute window, allowing DAO members to contest the AI’s resolution. Votes are tallied to either uphold or flip the proposed outcome.
• Reward System → Winning bettors claim proportional payouts, while dispute participants are incentivized to challenge incorrect results, creating a game-theoretic defense against manipulation.

Tech Stack:

• Frontend: React JS — used to create an intuitive and responsive user interface for browsing markets, placing bets, and viewing live results.
• Backend: Node JS — handles AI analysis requests, orchestrates oracle + scraping data, and prepares evidence/credibility scoring.
• Smart Contracts: Solidity — enforces rules of market creation, participation, resolution, disputes, and rewards.
• Deployment: Vercel (frontend) & Render (backend) — ensures fast global delivery with scalable infrastructure.

Partner Technologies:

• SELF (https://self.xyz/) → Used for age verification and Sybil-resistance, ensuring only genuine users can create or interact with markets. Future potential lies in enabling niche and demographic-specific markets.

• Pyth (https://pyth.network/) → Provides high-quality oracle feeds that enrich Lucida’s data pipeline with real-time, low-latency financial and event data.

• ASI Alliance (https://superintelligence.io/) → Powers the chatbot integration, enabling users to query live market information and even interact with smart contracts directly through natural language conversations.

Hacky & Notable Aspects:

• Implemented credibility scoring by combining multi-oracle signals with scraped internet evidence, rather than relying on raw outcomes.

• Integrated evidence URIs in contract metadata so results aren’t just binary decisions but linked to verifiable sources.

• Created a permissionless dispute mechanism where even small ETH stakers can challenge AI resolutions, decentralizing trust away from a single authority.