Docs/Market mechanics/Collateral and outcomes
Collateral and outcomes
Mint and merge complete YES plus NO sets, then redeem the winning side after resolution.
Complete sets#
mintPair(amount) transfers collateral into the market and mints equal amounts of YES and NO. Before resolution,mergePair(amount) burns one of each and returns the same gross collateral amount. Outcome token decimals follow the configured collateral token, preserving one-for-one human-readable accounting for non-six-decimal collateral.
Redemption#
| Function | Requirement | Effect |
|---|---|---|
redeemYes(amount) | Resolved YES | Burn YES and transfer collateral one-for-one. |
redeemNo(amount) | Resolved NO | Burn NO and transfer collateral one-for-one. |
redeem(amount) | Resolved | Automatically selects the winning token. |
Trading fees and incentives#
Makers pay no fee. Takers pay shares * 2% * p * (1 - p)using the traded YES or NO token's own price. The fee peaks at 0.5 cents per share at a 50-cent price and approaches zero near 0 or 100 cents. The fee vault credits 40% to the maker, 30% to protocol, 15% to the creator, 10% to the state-template owner, and 5% to the successful resolver reserve.