> For the complete documentation index, see [llms.txt](https://midashand-1.gitbook.io/midaspredict/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://midashand-1.gitbook.io/midaspredict/knowledge-base/market-lifecycle-and-disputes.md).
# Market Lifecycle & Disputes
Every market on MidasPredict moves through a predictable set of stages — from creation to final payout. This page walks through each stage, explains how resolution works, and shows how to challenge an outcome you think is wrong.
***
### The Lifecycle at a Glance
**Created → Pending → Active → Resolved → Dispute Period → Closed**
| Stage | What's Happening | Can You Trade? |
| ------------------ | -------------------------------------------------------------------- | ---------------- |
| **Created** | Market submitted with question, outcomes, and resolution rules. | No |
| **Pending** | Admin review for clarity, category, and resolution sources. | No |
| **Active** | Market is live. Trades flow, prices move, liquidity builds. | ✅ Yes |
| **Resolved** | The event has concluded. An outcome has been posted by the oracle. | No (sell closed) |
| **Dispute Period** | Users can challenge the posted outcome. Typically 24–48 hours. | No |
| **Closed** | Outcome is final. Winners redeem $1.00/share. Payouts are permanent. | No |
***
### Stage 1: Created
A market is submitted — either by the MidasPredict team (Daily/Featured Markets) or a creator (Creator-Led Markets in Phase 2). At this point, the market exists but isn't yet visible or tradable.
Required fields include:
* Market question and possible outcomes
* Creator Notes
* Observation window (start + end timestamps in UTC)
* Clear Resolution Rules
* Resolution source(s) — the data feeds or publications used to determine the outcome
* Expiry date and time
***
### Stage 2: Pending
The market is reviewed before going live. Review covers:
* Is the question well-defined and objectively resolvable?
* Are the resolution sources credible and accessible?
* Is the observation window explicit (no ambiguous "on or before" phrasing without a start time)?
* Is the category appropriate?
Markets that pass review move to **Active**. Markets that fail are returned to the creator with feedback.
***
### Stage 3: Active
The market is live and tradable. Share prices move with supply and demand via LS-LMSR. Traders buy and sell until the observation window closes.
> 💡 **Reminder:** Historical data from *before* market creation does not count toward resolution unless the rules explicitly say so. The market measures what happens during its active window.
***
### Stage 4: Resolved
Once the observation window closes, the oracle posts the outcome.
* **Tier 1 (\~95% of markets):** Automated resolution from aggregated data feeds verified against multiple independent oracle providers.
* **Tier 2:** Manual resolution by the admin team for markets without clean data feeds (e.g., news-driven events).
The posted outcome is **not yet final**. It enters the Dispute Period.
***
### Stage 5: Dispute Period
A configurable window — typically **24–48 hours** — during which any user can challenge the resolved outcome. This is also called the **challenge period**.
**To submit a dispute:**
1. Open the resolved market page
2. Click **Dispute** before the window closes
3. Provide the outcome you believe is correct and supporting evidence (links, data, timestamps)
4. Post the dispute bond (collateral that's returned if your dispute is upheld, forfeited if it's frivolous)
**Review process (Judge Team):**
* The AI Oracle or admin team and verified users (the **Judge Team**) review each dispute
* They check the market's resolution rules, the submitted evidence, and the original data
* If the Judge Team **approves the dispute**, the outcome is updated to the disputed one and payouts are recalculated
* If the Judge Team **rejects the dispute**, the original outcome stands and the dispute bond may be forfeited
**If no dispute is submitted during the window, the outcome becomes final automatically.**
***
### Stage 6: Closed
Once the dispute period ends without a successful challenge, the market is **Closed**:
* Winning shares redeem for $1.00 each
* Losing shares are worth $0.00
* The outcome cannot be changed through the normal dispute channel
* Unclaimed winnings remain available for 90 days, then sweep to the treasury
***
### Void Resolution
Sometimes a market can't be resolved cleanly using its stated resolution rules. When that happens, the market resolves as **Void**.
**Common causes:**
* The event was cancelled, postponed indefinitely, or never took place
* The designated data source went offline or stopped publishing the needed data
* The actual outcome doesn't fit any of the listed options
* The resolution rules are genuinely ambiguous and no reasonable reading produces a definitive outcome
**What happens when a market resolves as Void:**
* No winners, no losers
* Nobody gains or loses anything
* All stakes are returned to traders
* The market is flagged as voided in the activity log
Void is a **resolution state**, like Yes / No / Other. It's determined at resolution time based on the rules — it is not a recovery mechanism for fixing a bad resolution after the fact.
> 💡 **Good rules prevent Voids.** If your market rules include fallback sources and define what happens on cancellations or data outages, the market can often resolve even when things go sideways. See [Creating a Market](/midaspredict/for-creators/creating-a-market.md).
***
### FAQ
How long is the dispute period?
Typically 24–48 hours, depending on market type and stakes. The exact window is shown on the market page once it resolves.
Who can submit a dispute?
Any user with a MidasPredict account can submit a dispute during the dispute period, provided they can post the dispute bond.
What happens to my dispute bond?
If the Judge Team approves your dispute, your bond is returned. If your dispute is rejected as incorrect or frivolous, the bond may be forfeited. This deters spam disputes while keeping the system open to legitimate challenges.
Who's on the Judge Team?
Initially a combination of MidasPredict admins and verified users with a track record of accurate resolutions. Over time, the Judge Team decentralizes — see the [Roadmap](/midaspredict/roadmap.md).
Can an outcome be changed after the market closes?
No. Once a market is Closed, the outcome is permanent. The dispute window is the one chance to correct errors before closure.
When does a market resolve as Void?
A market resolves as Void when its resolution rules can't produce a definitive outcome — for example, the event was cancelled, the data source went offline, or the actual result doesn't fit any listed option. All stakes are returned, no one wins or loses. Void is a resolution state, not a way to fix a wrong resolution after the fact.
What if the oracle pulls bad data?
This is exactly what the dispute period is for. Submit a dispute with evidence showing the correct data, and the Judge Team will review. Most oracle errors involve misreading resolution rules (e.g., wrong observation window) — clear evidence usually resolves these quickly.
Do I earn points for correct disputes?
Yes. Correct resolutions (including successful disputes) earn +100 MP. Incorrect or frivolous disputes incur a -500 MP penalty in addition to any bond forfeiture.
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