Glossary

• Event – A real-world question with a clear outcome (e.g. “Will X happen by date Y?”)

• Outcome – A possible answer to the Event (YES, NO, Team A wins, etc.)

• Probability – The current implied chance that an Outcome will happen, based on the money in its pool

• Event Pool – A pool of money for each Outcome into which all trades flow

• Leverage – A way to control a larger position while risking a smaller amount of your own cash

• Cash Portion – The amount of your own money you put into a trade; your maximum loss

• Stop-loss (Stop) – A probability level at which your position automatically closes to cap your loss

• Market Impact – How much the displayed probability moves when you place a trade

• Resolved Event – An Event for which the real-world outcome is known and payouts have been made