> An intro to Polymarket - the world's largest prediction market
Polymarket is a prediction market platform where users trade on the outcomes of real-world events. Instead of betting against a house, you trade shares with other users in an open, peer-to-peer market. Prices reflect the market's collective belief in the probability of an event occurring.
The platform is non-custodial, meaning you always control your funds. All trades are settled through smart contracts on the blockchain, ensuring transparent and trustless operation.
## Self-Custody
Polymarket operates on a non-custodial model. You maintain full control of your funds at all times.
* **You control your funds** - Assets are held in your wallet, secured by your private key
Every share on Polymarket is priced between `$0.00` and `$1.00`. The price represents the market's belief in the probability of that outcome occurring.
For example, if "Yes" shares for an event are trading at `$0.65`, the market believes there's approximately a `65%` chance the event will happen.
Shares are represented as tokens using the [Gnosis Conditional Token Framework](https://github.com/gnosis/conditional-tokens-contracts/) (ERC1155 standard), enabling seamless onchain trading and settlement.
### Trading
Polymarket uses a peer-to-peer order book (CLOB) for trading. You trade directly with other users, not against the house.
* **Buy shares** when you think the market underestimates the probability
* **Sell shares** when you think the market overestimates the probability
* **Exit anytime** - Sell your position before resolution to lock in profits or cut losses
When a user first uses Polymarket.com to trade they are prompted to create a wallet. When they do this, a 1 of 1 multisig is deployed to Polygon which is controlled/owned by the accessing EOA (either MetaMask wallet or MagicLink wallet). This proxy wallet is where all the user's positions (ERC1155) and pUSD (ERC20) are held.
Using proxy wallets allows Polymarket to provide an improved UX where multi-step transactions can be executed atomically and transactions can be relayed by relayers on the gas station network. If you are a developer looking to programmatically access positions you accumulated via the Polymarket.com interface, you can either continue using the smart contract wallet by executing transactions through it from the owner account, or you can transfer these assets to a new address using the owner account.
Each user has their own proxy wallet (and thus proxy wallet address). See [Contracts](/resources/contracts) for all deployed factory and trading contract addresses on Polygon.
