Trust & safety

How markets resolve

Resolution happens on chain in the market's resolution adapter. The interface cannot decide an outcome, and neither can the market's creator simply because they created it.

Version: 1.0
Effective: 2026-09-06
Last updated: 2026-09-06

The flow

Market closes: trading stops at the closing time set by the creator.
Outcome proposed: anyone posts the required USDC bond together with the outcome they claim is correct (YES, NO or invalid).
Challenge period: the dispute window opens; any participant can challenge by posting a bond.
Resolved: if unchallenged, the proposal finalises on chain and the payout vector is reported.
Winning positions claim: holders redeem their outcome tokens for USDC from their portfolio.

These steps describe the bonded resolution adapter actually deployed today. No other oracle is used, and none is implied.

#flow

Resolution source

The creator names the source in the market rules. It should be public, checkable at resolution time, and not controlled by the creator. Read it before you trade, it is the definition of what YES means.

#source

Resolution deadline

A market becomes resolvable after its closing time. There is no guarantee that anyone proposes immediately: proposal is a permissionless, bonded action, so a market can sit unresolved until someone has the incentive to act.

#deadline

Proposal

Requires a USDC resolution bond set in the protocol configuration.
States one outcome: YES, NO or invalid.
Starts the challenge window immediately.
An honest, unchallenged proposer recovers their bond at finalisation.

#proposal

Challenge

Anyone may challenge inside the window by posting a bond.
A challenge moves the market to a disputed state instead of finalising.
Bond economics are designed so that challenging a wrong proposal is profitable and challenging a correct one is not.

#challenge

Disputes

A disputed market is not settled by the interface. Determination follows the adapter's rules for escalation, and the market stays unclaimable until a final outcome is reported on chain.

#dispute

Invalid markets

Where a question cannot be objectively answered, ambiguous rules, a vanished source, a cancelled event, the resolution can be invalid. Settlement then follows the protocol's rules for that case rather than anyone's discretion.

Market Rules

#invalid

Settlement

Finalisation reports the payout vector to the Conditional Tokens framework. From that moment, winning positions are backed by collateral in the contracts and are redeemable at any time.

#settlement

Claiming

Claiming is a transaction you sign from your own wallet. Nothing is credited automatically, and there is no deadline pressure, the collateral does not expire.

Portfolio

#claiming

Resolution FAQ

Can the creator decide the outcome?: No. Creating a market grants no resolution authority. Proposals are permissionless and bonded, and can be challenged by anyone.
Can the platform decide the outcome?: No. The interface has no privileged resolution role. The protocol configuration owner can change economic parameters but cannot resolve markets.
Why is my resolved market not claimable yet?: Either the challenge window is still open, the market is disputed, or nobody has proposed an outcome yet.
What happens to my position if the market is invalid?: Settlement follows the protocol's invalid-outcome rules for that market. It is not a discretionary payout.
How long is the challenge window?: It is the dispute window stored in the protocol configuration contract and shown on the market's resolution panel, the live contract value is authoritative.
What if nobody proposes?: The market stays open for resolution indefinitely. Anyone, including you, can post the bond and propose.

#faq