r8[rate]

Perpetual On‑Chain Sentiment Markets

Completely bootstrapped during Hyperliquid Community Hackathon

🤔 Problem statement:

• People want to have a transparent, real-time barometer that reflects collective opinion and public mood rather than binary future outcome in prediction markets 
• Legacy media craft top-down narratives that don’t always mirror how people truly feel 
• Researches and reports say people don’t trust legacy media 

💡 Solution:

• Perpetual oracleless sentiment markets powered by LMSR 
• Prices continuously encode the crowd’s current sentiment, with economic skin‑in‑the‑game ensuring signal quality
• These markets never resolve via an external oracle unlike traditional prediction markets

⚙️ How it works

r8[rate] is a protocol and app for always-on, oracleless sentiment markets powered by LMSR. Instead of resolving to an external truth oracle, prices continuously encode the crowd’s current mood (e.g. Good/Bad) and update with every trade - keeping sentiment in motion 24/7.

Key idea: LMSR turns opinions into tradable shares. The price of Good vs Bad is the real-time, incentive-aligned sentiment signal. Users open/close positions at any time. PnL comes purely from price changes, no binary resolution needed.

🧠 How it's made

• Protocol on HyperEVM. Core contract R8OpinionMarket.sol implements Hanson’s LMSR with fixed-point math and deterministic accounting. Liquidity is continuous, losses are bounded by b*ln⁡(n) and fees accumulate to a recipient on buys/sells. Settlement token is USDT0. Deployed address and network details are on GitHub.
• LaTeX source of the Paper with novel math for numerically stable multi-option LMSR implementation (rendered as PDF in Github).
• Indexer + analytics API. Node/TypeScript service backfills and follows chain events, takes LMSR snapshots per trade, and exposes typed REST endpoints (/markets, /trades, /market-state, etc.) for the UI. Implemented using Fly.io lightweight containers connected to RPC providers.
• TypeScript SDK. A small client (via viem) provides typed reads/writes (quotes, deposits, trades) so the frontend and external builders can integrate quickly.
• Frontend prototype (Next.js). React 19 + App Router UI that lists markets and shows a market detail page (chart, order ticket, positions). For the hackathon demo it renders from real data and is designed to be wired to the SDK/indexer. Leverages Privy Embedded Wallets and hosted on Vercel.
• R8 Testbed. A small, domain‑specific web app (Vite + React + Tailwind v4; wagmi/viem for wallets and on‑chain calls) for interacting with the native contract and the Indexer’s API, friendlier alternative to raw block‑explorers. Uses the Indexer’s secure RPC proxy instead of a raw RPC URL; CORS/method allowlists prevent abuse and leakage.
• Privy Embedded wallets and native HYPE payments. Much more non-trivial Privy usage described in PRIVY.md and STORY.md in GitHub repo.
• Leveraging HypeRPC connections elsewhere possible.

🧑‍💻 Links

GitHub - accessible to @HL-Hackathon   

Live Demo  

Twitter