Outcome Token
An ERC-1155 token representing one side of a prediction market position, redeemable for $1 USDC if its outcome resolves winning.
Definition
An outcome token is the tradable representation of a position in a prediction market. On Polymarket, each binary market mints a YES token and a NO token. Each token is identified by a unique token_id in the CLOB API. At market resolution, the winning token is redeemable for exactly $1.00 USDC; the losing token is worth $0.
In practice
When a bot calls the CLOB API to place an order, it specifies the token_id of the YES or NO outcome token it wants to buy or sell. The bot's proxy wallet accumulates a balance of outcome tokens as orders fill. To exit before resolution, the bot places a sell order for the same token_id. At resolution, the platform automatically redeems winning tokens; no manual action is needed. Tracking token_id is critical for multi-market bots that must distinguish positions across dozens of active markets.