How It Works

Learn how to trade on prediction markets

What are Prediction Markets?

Prediction markets are speculative exchanges where you can trade on real-world outcomes. Buy YES or NO shares to express your beliefs about future events.

Share Prices

If YES shares cost $0.60, the market estimates a 60% chance of YES. NO shares cost $0.40 (they must sum to $1.00).

Profit Example

Buy 100 YES shares at $0.60 ($60 total). If YES wins, each share pays $1.00 = $100 profit (66% return).

Loss Example

Buy 100 YES shares at $0.60. If NO wins, your shares are worthless = $60 loss.

Automated Market Maker (AMM)

PredictIO uses an AMM to ensure liquidity and fair prices. The more YES shares you buy, the higher the price rises. This incentivizes traders to balance positions.

  • ✓ Always liquid — buy/sell anytime before market closes
  • ✓ Fair prices — determined by supply and demand
  • ✓ No counterparty — the AMM fills every order