Market Resolution

What is Market Resolution?

Market resolution is the process of determining the outcome of a crypto betting market and distributing payouts to the winning side. BeeNBet uses automated blockchain systems to ensure fair, transparent, and immediate settlement.

Resolution Process

1. Event Occurrence

The real-world event that the market is based on takes place:

Natural Events: Weather, sports, elections, etc.
Market Events: Price movements, economic indicators
Policy Events: Government decisions, regulatory changes
Technology Events: Product launches, protocol updates

2. Data Verification

Trusted data sources confirm the outcome:

Oracle Queries: Smart contracts request data from oracles
API Calls: Automated systems fetch information from reliable sources
Manual Verification: Team confirms outcomes when needed
Multiple Sources: Cross-reference data for accuracy

3. Smart Contract Execution

Automated settlement occurs:

Outcome Determination: Smart contracts identify the winning side
Payout Calculation: Determine how much each winner receives
Fund Distribution: Automatically transfer funds to winners
Transaction Recording: All actions are recorded on-chain

Resolution Sources

Chainlink Oracles

Best for: Price data, market information, economic indicators

Examples:

BTC/USD price feeds
ETH/USD price feeds
Gold price data
Stock market indices

Advantages:

Decentralized and tamper-proof
High accuracy and reliability
Real-time data updates
Battle-tested security

Official APIs

Best for: Sports scores, election results, government data

Examples:

ESPN sports data
Election commission results
Government statistics
Weather services

Advantages:

Authoritative sources
High accuracy
Regular updates
Public verification

Public Data

Best for: Verifiable information, public records

Examples:

Company announcements
Regulatory filings
Court decisions
International news

Advantages:

Transparent and verifiable
No single point of failure
Publicly accessible
Easy to verify

Team Verification

Best for: Complex events, edge cases, new data sources

Examples:

Policy implementations
Technology milestones
Cultural events
Special circumstances

Advantages:

Human judgment for complex cases
Flexibility for edge cases
Quality control
Dispute resolution

Resolution Timeline

Pre-Event

Market Open: Users can place bets
Trading Active: Share prices fluctuate based on sentiment
Information Flow: News and updates affect prices
Position Locking: Bets are locked as resolution approaches

Event Occurrence

Real-Time Monitoring: Track the event as it happens
Data Collection: Gather information from multiple sources
Verification Process: Confirm the outcome through trusted sources
Resolution Preparation: Prepare smart contracts for settlement

Post-Event

Automatic Settlement: Smart contracts execute payouts
Winner Notification: Winners receive their funds
Market Closure: Trading stops and positions are settled
Record Keeping: All transactions are recorded on-chain

Resolution Examples

Example 1: Crypto Price Prediction

Market: "Will BTC reach $100,000 by 2024-12-31?"
Event: BTC price movement throughout 2024
Resolution: Chainlink BTC/USD price feed at 2024-12-31 23:59:59 UTC
Outcome: BTC price = $95,000 (No shares win)
Settlement: Automatic payout to No share holders

Example 2: Sports Event

Market: "Will Team A win the championship?"
Event: Championship game
Resolution: Official league results
Outcome: Team A wins 3-2 (Yes shares win)
Settlement: Automatic payout to Yes share holders

Example 3: Global Event

Market: "Will the new policy be implemented?"
Event: Government policy decision
Resolution: Official government announcement
Outcome: Policy is implemented (Yes shares win)
Settlement: Automatic payout to Yes share holders