Polymarket
The largest decentralized prediction market, running on Polygon with USDC settlement and a CLOB for limit orders.
Definition
Polymarket is a decentralized prediction market platform where users trade binary outcome tokens for yes/no questions. It runs on the Polygon L2 chain and settles all positions in USDC. Market resolution is handled by the UMA optimistic oracle or, for crypto markets, Chainlink RTDS.
In practice
Traders interact with Polymarket through its CLOB API at clob.polymarket.com. Every order is signed by a proxy wallet (L2 signature) and batched by a relayer before being settled on-chain. Bot developers discover active markets through the Gamma API, then place maker or taker orders against the order book. The absence of a --live flag in predtools bots defaults to dry-run mode, so no real funds are committed until explicitly enabled.