What is an IOU? An IOU, a phonetic acronym of the words “I owe you,” is a document that acknowledges the existence of a debt. An IOU is often viewed as an informal written agreement rather than a legally binding commitment
So this way people/group of people or an exchange can create a future contract about the ownership of some XCH and then bind price to it. In case somebody is interested he or she just simply needs to bid – similar to how you buy stuffs on exchanges. Based on the terms if certain things happens: like transferring XCH is available, or after a certain period of time the trade will occur, the buyer gets XCH the seller gets what s(he) was asked for.
Oh so this can be used to predict the price of chia? Don’t think so but will see. Will create a post shortly with my own prediction.