Polymarket | Sandmark

What is Polymarket?

Polymarket is a blockchain-based prediction market platform where users trade on the outcomes of real-world events. It operates on the Polygon network and allows participants to buy and sell shares representing “YES” or “NO” positions on future events. The price of each share reflects the market’s aggregated probability estimate of a given outcome.

How does Polymarket work?

Polymarket structures each event as a market with one or more possible outcomes. In binary markets, shares trade between $0.00 and $1.00.

If the outcome occurs, “YES” shares settle at $1.00.
If the outcome does not occur, those shares settle at $0.00.

Users trade directly against one another in a peer-to-peer environment. Prices update as traders buy and sell shares, creating a real-time probability signal based on crowd expectations.

When was Polymarket created and how did it develop?

Polymarket launched in 2020 as a decentralized platform for event forecasting. It was designed to aggregate public expectations on a wide variety of subjects including politics, economics, sports, and entertainment and convert these expectations into tradable digital assets. Over time, it has grown into one of the most visible on-chain prediction markets.

What makes Polymarket noteworthy?

It provides a transparent, blockchain-based method for forecasting future events.
It has hosted some of the highest-volume prediction markets during major global events, including political elections.
Its pricing mechanism reflects collective belief rather than fixed odds set by a bookmaker.
It operates using stablecoins, enabling efficient settlement and low transaction costs.