The Erasure protocol is a creation of the Numerai project developed with the aim of enhancing the functioning of the project itself. Every application that derives from Erasure is powered by their ERC20 token, Numeraire (NMR).

The vision of this protocol revolves around the concept of decentralized information and all that derives from it, thus providing the right framework for the birth of a new and revolutionary ecosystem that will be changed by the ideas developed by Erasure.

The aim is to support any information with a monetary value; this process is able to significantly increase the reliability of data and to give a level of reputation to the users who are disclosing this data, without the need to really know or trust them.

The protocol, being open-source, through the power of the imagination can allow the creation of infinite solutions and applications, thus changing the rules of the game in a radical way.

For now it is used for three different applications that will be analyzed below. The CEO Richard Craib, a few months ago launched a giveaway of NMR tokens for a total value of $1 million, aimed at developers as an incentive to create applications on the Erasure protocol.

Numerai is a hedge fund, consisting of a set of “tournaments”, which uses machine learning models applied to a huge amount of datasets for predictions about the performance of the stock market.

Erasure Quant, on the other hand, is the platform where data about the stock market can be found. Users give alerts and everyone can bet on them, thus judging their degree of validity, which is also influenced by the return that an alert can give.

The aggregate of alerts allows the platform, through specific algorithms, to give a certain score to each asset which indicates a relative long or short position.