Frequently Asked Questions
How does Polymarket work technically?
Polymarket runs on Polygon and settles trades in USDC. Contract resolution uses UMA’s optimistic oracle: a proposer posts the outcome, and any UMA token holder can dispute it inside a fixed window before settlement.
Is Kalshi on the blockchain?
No. Kalshi runs traditional centralized exchange infrastructure — a matching engine, clearing, and settlement system tied to specific oracle data sources for each contract. It settles in US dollars, not crypto.
What is UMA oracle?
UMA is an "optimistic oracle" used by Polymarket and other DeFi protocols to resolve contracts. A proposer submits the answer; if no one disputes it within the challenge window, it’s accepted. If disputed, UMA token holders vote to determine the truth.
How are prediction market contracts resolved?
Each contract names its resolution source up front — the AP race call for an election, the BLS press release for a jobs print, the official scoreboard for a sports outcome. The exchange (Kalshi, ForecastEx) or oracle (Polymarket via UMA) reads that source and pays out winners.
Does Kalshi have an API?
Yes — Kalshi publishes a REST and WebSocket API at kalshi.com/docs covering live prices, order entry, and account data. Polymarket and ForecastEx also publish APIs. The Technology section tracks API releases and changes.
What chain does Polymarket run on?
Polymarket runs on Polygon (a Layer 2 Ethereum scaling network) and settles in USDC. It uses Gnosis CTF (Conditional Tokens Framework) for contract issuance.