Opinion The resurgence of trust in information through Blockchain

Disclaimer: The opinions expressed in this article are solely those of the author and do not reflect the views and opinions of the editorial team at crypto.news.

Prediction markets represent one of the most exciting applications of blockchain technology today, with a betting volume of over $3.1 billion in Q3 of this year. This success is not a coincidence. Polymarket, the leading prediction market platform often hailed as crypto’s first ‘killer app,’ has managed to capture mainstream attention and have a significant impact on major events. In fact, it currently holds 99% of the prediction market share. For example, in the case of the 2024 US elections, Polymarket managed to reach American households through mainstream media, extending its influence beyond the crypto community and demonstrating how blockchain can revolutionize the way we interact with knowledge.

However, prediction markets are just one aspect of a more significant shift that is taking place—a transformation in the way information is generated and verified. This shift goes beyond simply improving existing models; it takes the proven success of crowdsourced platforms like Wikipedia and Reddit to a whole new level.

Wikipedia and Reddit were groundbreaking platforms that revolutionized the harnessing of collective wisdom during the early 2000s. Wikipedia’s open-editing model created a global hub for knowledge, relying on diverse contributions to build a highly trusted resource. Reddit, on the other hand, facilitated public discourse, allowing the community to determine the value and reliability of content through upvotes and downvotes. These platforms democratized access to information and opinions, surpassing the limitations of centralized media.

However, it is crucial to acknowledge the flaws of these platforms. Despite their success, they fell short in certain critical areas. Wikipedia struggled to maintain neutrality, as content wars and biased edits are inevitable in an open-editing system where a small group of editors has the final say on changes. Reddit, despite its promise of democratized opinions, often unintentionally promotes clickbait and sensationalism, favoring content that attracts votes rather than accuracy. These platforms, like many others, remain susceptible to manipulation, whether through misinformation, organized brigades, or groupthink, despite their widespread use.

This is where blockchain technology comes in, and its role in this evolution is not optional—it is essential.

Blockchain addresses the very issues that have long plagued crowdsourced platforms: trust, accuracy, and sustainability. These platforms were built on the concept of collective wisdom, but without the right protocols in place, there are always vulnerabilities that allow misinformation and bias to seep through. This is similar to the problems seen in legacy media, where even the best intentions can be compromised by flawed systems. What blockchain brings to the table is transparency, accountability, and a system of incentives that prioritize truth over popularity.

Every edit, vote, or contribution is immutably recorded on the blockchain, making it impossible to manipulate the system covertly. The transparency offered by blockchain-enabled proof-of-unique human protocols fundamentally transforms the dynamics of accountability and trust, overcoming the challenges faced by open-editing systems. These protocols prevent the creation of multiple accounts to manipulate outcomes, ensuring radical transparency that guarantees the integrity of information.

As demonstrated by Polymarket, prediction markets offer a solution that Reddit’s voting system cannot provide: rewarding truth instead of popularity. Reddit’s upvote system allows popular content to rise to the top, but popularity does not always equate to truth. The system can be easily manipulated, resulting in misleading or inaccurate content gaining attention. Prediction markets, on the other hand, compel participants to bet on what they believe is true. Accuracy, not attention, becomes the determining factor in this market-driven approach, creating a self-regulating system that prioritizes verifiable truth.

Blockchain also presents a solution to the broken financial model of journalism. Traditional crowdsourced platforms have struggled to establish sustainable financial models that do not compromise quality. Blockchain introduces decentralized funding models, such as quadratic funding, where the community, rather than advertisers or corporate interests, decides which content should receive funding. This creates a self-sustaining system where high-quality journalism can flourish, free from paywalls or ad-driven content. Information should be treated as a public good and remain accessible and free, and blockchain can help ensure that.

Beyond information, blockchain is also decentralizing opinion. Instead of leaving public discourse in the hands of corporate media and a select few influential voices, prediction markets allow the crowd to determine which journalism or research holds weight. People not only consume news but also stake their reputation and money on what they believe is accurate. Over time, the crowd validates what is true, establishing a decentralized system that makes it difficult for bad actors to manipulate public opinion.

Most importantly, blockchain brings accountability, a crucial element lacking in traditional crowdsourcing platforms. On these platforms, users can contribute anonymously or without facing any consequences. This creates an environment susceptible to trolls, bots, and bad actors who can distort the system. Blockchain addresses this issue by ensuring that every decision is fully auditable. There is a clear chain of responsibility, and users are held accountable for their actions. Anonymity is no longer an option—blockchain ensures that contributors must stand by the integrity of the information they support.

The future of crowdsourcing and blockchain is already here. Traditional crowdsourced platforms are becoming outdated. Wikipedia and Reddit were revolutionary in their time, but they cannot solve the issues of trust, bias, and financial sustainability that we face today. Blockchain is not just the next step—it is the necessary evolution.

In the future, crowdsourced platforms will no longer be mere information gathering places; they will be active marketplaces where users determine the quality, truth, and value of content, rather than centralized gatekeepers. Blockchain, prediction markets, and decentralized funding models like quadratic funding are already laying the groundwork for this future. These tools are not optional add-ons; they are the foundation of a decentralized and transparent internet where unbiased, high-quality journalism and research can thrive.

So the question is no longer if blockchain will bring the next evolution—it’s a matter of when.