Thanks to blockchain technology, a model called Futarchy, created by economist Robin Hanson, has been successfully implemented. In simple words, futarchy seeks to create a new way of making decisions based on prediction markets.
Similar to what happens in gambling, where specialists take sides on an outcome based on the study of metrics (statistics such as head-to-head results, player performance, injuries, etc.), with futarchy any organization can use prediction markets to make logical decisions.
Years after the publication of Hanson's paper Shall We Vote on Values, But Bet on Beliefs?, Logan Saether founded Zeitgeist, a project first launched at Kusama, which already operates on Polkadot's Relay Chain.
Zeitgeist is a Parachain that allows users to participate in various liquidity pools for the purpose of acquiring ZTG tokens, while betting on prediction markets such as sports, politics, technology, crypto and science.
Futarchy needs verified experts, and thanks to blockchain technology and cryptocurrencies, those who participate in prediction markets will be able to prove their expertise thanks to the traceability of their actions.
Those making predictions do not vote for the option they would like to see happen. In fact, they vote for the most likely option, which could allow, for example, a country to get ahead of a crisis if a prediction market warns it of the high changes of it occurring.