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Master PredictionMarkets

Learn how to trade event-linked contracts on BitNile Prediction Market, from RFQ creation through contract redemption.

Quick Start Guide

End-to-end trading workflow in five steps

1

Discover Markets

Browse prediction markets on events that matter to you

Explore our marketplace featuring binary, categorical, and scalar markets across crypto, sports, politics, and more. Use filters to find markets by category, resolution date, or volume.

Step 1 of 520% Complete

Market Types

Different ways to trade on outcomes

Binary

Simple YES or NO outcomes. Successful outcome pays $1.00 per contract.

Example

"Will BTC reach $100k in 2025?"

Categorical

Multiple mutually exclusive outcomes. One winner takes all.

Example

"Who wins the 2024 World Cup?"

Scalar

Outcome is a value in a range. Payout based on distance.

Example

"What will CPI be in December?"

Parlay

Multiple conditions with AND/OR logic. Complex combinations.

Example

"BTC >$100k AND ETH >$5k"

How RFQ Works

Request-for-Quote: institutional-grade trading for everyone

You (Taker)

  • Request quotes for any size
  • Get firm prices - no slippage
  • Choose the best quote
  • Pay taker fee (0.1-1%)

The Platform

  • Routes RFQs to qualified makers
  • Aggregates competing quotes
  • Executes atomic settlement
  • Stores evidence on IPFS

Market Makers

  • Compete to fill your order
  • Submit binding signed quotes
  • Earn rebates for liquidity
  • Build reputation (MQS score)
All settlements are atomic: either the trade completes fully, or nothing happens.

AI-Powered Creation

Use AI assistance to configure markets and RFQs more efficiently

What Our AI Can Do

  • Natural Language Input

    Describe your market in plain English - "Create a binary market about Bitcoin reaching $100k by end of 2025"

  • Smart Field Extraction

    AI automatically fills in market type, resolution date, sources, and other parameters from your description

  • RFQ Assistance

    Tell the AI "Request to buy 500 YES contracts at $0.60" and it fills your RFQ form instantly

  • Guidance & Answers

    Ask questions about platform features, market creation best practices, or trading strategies

Example Interaction

Create a binary market about whether the Fed will cut rates in March 2025, using Federal Reserve official announcements as the source

I've extracted the following for your market:

Type: Binary (YES/NO)

Title: Will the Fed cut rates in March 2025?

Source: Federal Reserve FOMC statements

Resolution: March 31, 2025

Open AI Market Creator

Our Technology

The infrastructure powering BitNile Prediction Market

Ault Blockchain

Next-generation blockchain for programmable finance with hybrid PoW/PoS consensus and full EVM compatibility.

Features
  • Hybrid PoW + PoS consensus
  • Full EVM compatibility
  • AI-enabled oracles

askROI

AI-powered assistance for market creation and trading with natural language understanding.

Features
  • Natural language markets
  • Smart form extraction
  • RFQ assistance

OnlyBulls

AI agent that monitors markets 24/7. Get instant alerts with context when significant moves happen.

Features
  • 24/7 AI monitoring
  • Instant smart alerts
  • Daily morning briefs

Guides by Role

Tailored guidance for your use case

Glossary

Key terms and concepts explained

Frequently Asked Questions

Concise answers to frequently asked questions

Troubleshooting

Solutions to common issues

Wallet Won't Connect

  • • Verify you're on Base network (Chain ID: 8453)
  • • Clear browser cache and cookies
  • • Try different browser or incognito mode
  • • Update wallet extension to latest version
  • • Disable other wallet extensions

Transaction Failed

  • • Check you have enough ETH for gas fees
  • • Ensure you have enough USDC for trade
  • • Quote may have expired (90-240s validity)
  • • Maker may have insufficient inventory
  • • Try refreshing and creating new RFQ

USDC Not Showing

  • • Add USDC token to wallet manually
  • • Contract: 0x833589fCD6eDb6E08f4c7C32D4f71b54bdA02913
  • • Confirm you're on Base network
  • • Check block explorer for balance
  • • Allow a few minutes for bridge completion

No Quotes Received

  • • Market may be new with few makers active
  • • Your limit price may be unattractive
  • • Try increasing quantity (some makers have minimums)
  • • Wait 30-60 seconds for makers to respond
  • • Check if market is still active

Positions Not Showing

  • • Refresh the page (positions load from blockchain)
  • • Transaction may still be confirming (check wallet)
  • • Verify connected wallet is correct one
  • • Check Portfolio tab, not Markets tab
  • • Clear cache if issue persists

Can't Redeem Position

  • • Market must be finalized (wait 48hr dispute window)
  • • Ensure you hold the winning outcome
  • • Check you have ETH for gas fees
  • • Verify market wasn't voided
  • • Try again in a few minutes if network congested

Platform Limits

Important restrictions and requirements

Trading Limits

Minimum RFQ Size10 contracts
Maximum Position (per market)5-10% of OI
Quote Validity90-240 seconds
RFQ Expiration5 minutes
Max Active RFQs10 per user

Time Restrictions

Dispute Window48 hours
Oracle Resolution Time1-24 hours
Minimum Market Duration24 hours
Maximum Market Duration5 years
Void Processing24 hours

Financial Requirements

Market Creation Fee10 USDC
Minimum Dispute Bond1% of volume
Maximum Dispute Bond5% of volume
Maker Minimum Capital$10,000
Minimum ETH for Gas~$2 worth

Security Restrictions

Max Manipulability Score80 (flagged >50)
Account Age for Makers30 days
Restricted Person TradingProhibited
API Rate Limit100 req/sec
Withdrawal DelayNone (instant)

Geographic Restrictions

The platform uses geofencing and is not available in certain jurisdictions. Users from restricted regions will be blocked at the wallet connection level. VPN usage to circumvent restrictions violates Terms of Service and may result in account suspension and fund seizure.

Quick Reference

In-depth guides on key topics

Advanced Topics

Deep dives and technical resources

Probability Calibration

Learn how contract prices reflect implied probabilities and how to identify mispriced markets.

  • • Price = Implied probability of outcome
  • • $0.60 = 60% chance market believes
  • • Look for your edge vs. market consensus
  • • Factor in fees when calculating value

Complete Set Mechanics

Master minting and burning complete sets for arbitrage and instant position exits.

  • • Mint: Deposit $1 → receive all outcomes
  • • Burn: Return all outcomes → receive $1
  • • Arbitrage: If sum of prices > $1, sell both
  • • Exit: Buy missing side, burn set instantly

Hedging Strategies

Protect positions and reduce risk through strategic hedging techniques.

  • • Buy opposing outcome to lock in profits
  • • Hedge correlated markets (BTC/ETH)
  • • Dynamic hedging as probabilities shift
  • • Use parlays for portfolio hedging

API Integration

Automate trading and market making with our comprehensive API.

  • • REST API for market data and trading
  • • WebSocket feeds for real-time RFQs
  • • Rate limit: 100 requests/second
  • • Full documentation at docs.bitnile.com

Smart Contract Details

Technical details about the on-chain contracts powering the platform.

  • • ERC-1155 for position tokens
  • • EIP-712 for signed quote commitments
  • • Atomic settlement via smart contracts
  • • Verified on BaseScan explorer

Market Psychology

Understand how news, events, and crowd behavior affect prediction markets.

  • • Markets overreact to breaking news
  • • Mean reversion after panic/euphoria
  • • Watch for base rate neglect
  • • Contrarian opportunities in extreme sentiment

Oracle Data Sources

How markets are resolved using objective, verifiable data sources.

  • • Primary + fallback sources required
  • • Data stored immutably on IPFS
  • • Blockchain data for crypto events
  • • API snapshots for market data

Kelly Criterion

Optimize position sizing based on your edge and bankroll management.

  • • f* = (bp - q) / b for optimal bet size
  • • b = odds, p = win probability, q = 1-p
  • • Use fractional Kelly (25-50%) for safety
  • • Prevents over-betting and bankruptcy

Event Research

Resources and techniques for researching market outcomes before trading.

  • • Read primary sources, not summaries
  • • Check historical base rates
  • • Follow credible experts, not influencers
  • • Build decision framework before trading

Security Best Practices

Protect your funds and account

Wallet Security

Use Hardware WalletsFor positions over $10,000, use Ledger or Trezor via MetaMask
Backup Seed PhraseWrite it on paper, store in safe. Never digital, never share.
Enable Wallet LockUse password or biometric authentication on wallet app
Separate WalletsUse different wallets for large holdings vs. daily trading
Verify AddressesDouble-check recipient addresses before large transactions

Phishing Prevention

Bookmark Official SiteAlways access via bookmark, never via email links or search ads
Verify SSL CertificateCheck for padlock icon and correct domain before connecting wallet
Never Share KeysSupport will NEVER ask for your seed phrase or private key
Suspicious EmailsBe wary of urgent messages claiming account issues or prizes
Review TransactionsRead wallet prompts carefully before signing any transaction

Trading Security

Start SmallTest with small amounts before committing large capital
Check Maker MQSHigher MQS scores indicate more reliable makers
Review Resolution CriteriaUnderstand how markets will be resolved before trading
Monitor PositionsRegularly check portfolio for updates and resolution status
Verify on BlockchainCheck BaseScan for transaction confirmation and position tokens

Compliance & Legal

Know Your JurisdictionPrediction markets may not be legal everywhere. Verify local regulations.
Tax ObligationsTrading profits may be taxable. Keep records and consult tax professional.
No VPN CircumventionUsing VPN to bypass geofencing violates Terms of Service
Age RequirementMust be 18+ (or local age of majority) to use platform
Export Transaction HistoryDownload CSV from Portfolio for tax reporting and record-keeping

Risk Disclosure

Trading prediction markets involves substantial risk of loss. Only trade with capital you can afford to lose entirely. Past performance does not guarantee future results. Market outcomes can be uncertain and volatile. Platform smart contracts, while audited, carry inherent technical risks. No investment advice is provided. This platform is for informational and entertainment purposes. Consult financial, legal, and tax professionals before trading.

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