> For the complete documentation index, see [llms.txt](https://docs.sweep.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.sweep.finance/ecosystem-components/platform/market.md). # Market #### **What is Market** Market is a structured prediction environment where users participate by taking positions on predefined outcomes within a limited time frame. Unlike fixed-format games that operate through a single mechanic, Market is designed as a flexible system that can support different types of prediction scenarios. A market may be built around price movement, a threshold level, a time-based result, a comparative condition, or any other clearly defined event that can be resolved according to predetermined rules. This means a market does not need to be limited to only two possible outcomes. Some markets may present two options, while others may include multiple possible outcomes depending on how the event is structured. What remains consistent is that each market is created with a clear condition, a defined resolution method, and a fixed participation window. Within Sweep, Market functions as more than a standalone game mechanic. It is a continuous prediction layer integrated into the broader platform economy. Users are not only making directional choices, but participating in a system where every market interaction contributes to platform activity, transaction volume, and the value flow of the ecosystem. Because of this structure, Market combines three elements within a single experience: * user positioning based on expectation * real-time or time-bound event resolution * automated distribution based on the final outcome This gives Market a more analytical and event-driven identity compared to other game formats on the platform, while still remaining accessible and easy to participate in. *** #### **How it works** Every market follows a defined lifecycle from creation to resolution. While the subject and format of individual markets may vary, the operational structure remains consistent. **Market creation** Each market is created with a complete rule set before it becomes active. This includes: * the condition or event the market is based on * the available outcomes users can choose from * the market start and end time * the method used to determine the final result * the source of the relevant system input or reference data, where applicable Because all of these parameters are defined in advance, users know exactly what they are participating in before committing funds to a position. A market may be structured in different ways. For example, it may ask users to predict: * whether a price will move above or below a level * which range a final value will fall into * which of several outcomes will occur first * which result will be recorded at the end of a defined period This flexibility allows Market to support both simple prediction formats and more layered structures without changing the underlying system logic. **Participation phase** Once a market is active, users can review its structure and choose the outcome they want to support. Participation generally follows this process: * the user selects one of the available outcomes * the user enters the amount they want to commit * the position is recorded in the system * the committed amount becomes part of that market’s total pool Users can only participate while the market remains open. Once the market reaches its closing time, no further entries are accepted. Because markets can include more than two outcomes, participation is not always based on choosing between only two opposing sides. In some markets, users may be selecting from a broader set of possible final results. This allows for a wider range of prediction formats while still preserving a clean and structured resolution process. **Resolution and distribution** When the market reaches its end time, the system evaluates the final result according to the rules defined at creation. At that point: * the relevant condition is checked * the correct outcome is determined * the market is finalized * the total market value is distributed according to the winning result Users whose positions match the final outcome become eligible for distribution. The system then allocates value proportionally based on participation within the winning side or winning outcome. This means the final return is not based only on whether a user was correct, but also on how much value they contributed relative to other users who selected the same outcome. Once resolved, the market is complete and does not change further. Each market is independent, and a new market begins as a separate event with its own rules and lifecycle. *** #### **Key mechanics** Market is built on a structured framework designed to support transparency, consistency, and scalable participation across many different prediction types. **Defined outcomes and rule clarity** A core principle of Market is that every market must be understandable before participation begins. Users should always be able to see: * what the market is asking * what the possible outcomes are * when the market closes * how the result will be determined This ensures that participation is based on visible rules rather than ambiguity. Because the format may vary from market to market, clarity in presentation is essential. Whether a market has two possible outcomes or several, the logic of the event must be clear and fixed before the round becomes active. **Time-bound structure** Every market exists within a limited participation window. This creates a defined structure where: * participation begins during an active period * the market closes at a specific time * the result is determined after the event window ends The time-bound design is important because it separates prediction from resolution. Users take positions before the outcome is known, and once the market closes, the result is determined strictly according to the predefined rules. This also keeps each market independent and prevents overlap between participation and result manipulation. **Shared pool model** All users who enter a market contribute to a shared value pool. The total pool is built from all committed positions across all available outcomes. When the market resolves, value is allocated based on the final result and the users who selected that outcome. This creates a system where: * market size grows with participation * distribution reflects both correctness and proportional contribution * users interact within a shared competitive structure In multi-outcome markets, this model becomes especially important, because users are not simply opposing one other side, but participating across a broader outcome structure. **Automated system execution** All market operations are handled through predefined system logic. This includes: * recording participation * closing the market at the correct time * determining the final outcome * executing the final distribution The purpose of this design is to ensure consistency. Market resolution should not depend on discretionary or manual intervention once the market is active. This creates a more reliable environment where users participate under the same rules every time. **Integration with the Sweep ecosystem** Market is not isolated from the rest of the platform. Every participation contributes to the activity-driven structure of Sweep. Each market interaction generates transaction volume, and the platform’s fixed **5% protocol fee** is applied to that activity. This fee is automatically divided into: * **2.5% permanently burned in SWEEP** * **2.5% distributed in USDT** This means market activity does not only produce round-based outcomes. It also contributes to the broader economic model of the ecosystem by supporting both distribution and deflation. As more users participate across more markets: * total activity increases * more volume is generated * more USDT is distributed * more SWEEP is removed from circulation This directly connects prediction participation to the long-term value structure of the platform. **Why Market is different** What makes Market different from simpler round-based formats is that the user is not reacting only to a mechanic, but to a defined condition with a measurable final result. Users are not simply waiting for a random outcome to appear. They are taking positions inside a structured event framework where: * the condition is defined in advance * the resolution process is fixed * the outcome is determined according to the market structure * distribution follows system logic automatically This gives Market a more strategic and analytical identity while remaining fully integrated into Sweep’s real-time value engine. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. 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