A video stock exchange is a predictive market which predicts the popularity of user generated video content. The exchange is modelled after real life stock markets. Real life company stocks are valued based upon predictions of future company earnings, while videostocks are valued based upon predictions of a video's future viewings.
The Videostocks are IPOed onto the site by traders and an initial IPO stock value is assigned by the automated market maker. The traders then buy and sell the stock according to the traders opinion of its future payout. Videostocks delist and payout videodollars to all share owners after a predefined short period of time. For example, a period of one week could be used as the basis for a stocks value with the payout being one videodollar for each 1000 views achieved on the video sharing site.
The concept of a video stock exchange is similar to other predictive markets and fantasy sports games
The first video stock exchange, VideoIPO.tv launched into beta during June 2007 using technology powered by the Hollywood Stock Exchange
The Videostocks are IPOed onto the site by traders and an initial IPO stock value is assigned by the automated market maker. The traders then buy and sell the stock according to the traders opinion of its future payout. Videostocks delist and payout videodollars to all share owners after a predefined short period of time. For example, a period of one week could be used as the basis for a stocks value with the payout being one videodollar for each 1000 views achieved on the video sharing site.
The concept of a video stock exchange is similar to other predictive markets and fantasy sports games
The first video stock exchange, VideoIPO.tv launched into beta during June 2007 using technology powered by the Hollywood Stock Exchange
