Skip to content

How It Works

Quasdaq is a parimutuel prediction market on Quai Network. Unlike order-book prediction markets (Polymarket, Kalshi), there are no counterparties or market makers. Everyone bets into a shared pool, and winners split the pot.

Think of it like horse racing — you’re not betting against a bookie, you’re betting against other bettors. The odds shift based on where money flows.

Anyone calls createMarketAndBet on the factory contract with:

  • Question — “Will BTC be above $100,000 by March 15?”
  • Feed ID — which Stork Oracle price feed to check (e.g. BTCUSD)
  • Strike Price — the price threshold ($100,000)
  • Resolution Time — when the oracle price is checked
  • Betting Close Time — when betting stops (must be before resolution)
  • Seed Bet — minimum 100 QUAI initial bet to bootstrap the market

The creator earns a 1% fee on the losing pool at resolution — an incentive to create popular markets.

During the betting window, anyone can bet Yes or No by sending QUAI to the market contract. No fees on entry — 100% of your QUAI goes into the pool.

The implied odds update live based on pool sizes:

Yes probability = Yes Pool / Total Pool
No probability = No Pool / Total Pool

If the Yes Pool has 200 QUAI and the No Pool has 100 QUAI, the market implies a 67% chance of Yes.

At bettingCloseTime, no more bets are accepted. This creates a buffer before resolution so last-second information advantages are reduced.

After resolutionTime, anyone can call resolve() with signed price data from the Stork Oracle. The contract checks:

  • Oracle price >= strike price → Yes wins
  • Oracle price < strike price → No wins

Resolution is permissionless — anyone can trigger it, not just the market creator.

A 3% fee comes out of the losing side’s pool only:

  • 2% to the Quasdaq protocol treasury
  • 1% to the market creator

Winners never pay fees. Losers lose their entire bet either way — the fee just reduces the pot that winners split.

Winners call claim() to receive their payout:

payout = yourBet + (yourBet / winningPool) × losingPoolAfterFees

You always get your original bet back, plus your proportional share of the losers’ money (minus the 3% fee).

If the oracle feed is broken or the market is otherwise unresolvable, the factory owner can cancel it. On cancellation:

  • Everyone gets their original bet back in full
  • No fees are charged
  • The market is marked as cancelled (status = 2)

Emergency resolution (forcing Yes/No without oracle data) can only happen 48 hours after the scheduled resolution time.

FeatureParimutuel (Quasdaq)Order Book (Polymarket)
CounterpartyNone — bet against the poolNeed someone to take the other side
LiquidityAny bet size acceptedNeed matching orders
Market makersNot neededRequired for tight spreads
ManipulationMoving odds costs real moneyCan spoof with limit orders
ComplexitySimple: bet, wait, claimComplex: orders, positions, margins

The tradeoff: parimutuel odds shift when you bet (especially on thin pools), so large bets move the price against you. This is why sizing matters.