Validate a Market

Market Validation

Validating a market is what completes the full cycle of the Hilomarket ecosystem. It ensures high-quality outcomes, zero manipulation, and full transparency through a decentralized process.


Proposal

The process begins with a proposal. Any user can propose a resolution at any time by locking HILO tokens and selecting the outcome they strongly believe is correct — based on facts, public data, or real-world events.

Once a proposal is made, the market is immediately paused to prevent any further predictions or liquidity changes. A 12-hour challenge window begins. If no one challenges within this window, the market automatically settles with the proposed outcome.


Challenge Window

After a proposal is submitted, a challenge window opens. During this time, any user can challenge the proposal if they believe it’s incorrect or premature. Challengers also lock HILO tokens, and if the market does not settle with the original proposal, the challenger is rewarded.


Voting Stage

If a challenge occurs, the market moves into the voting stage. Users can vote for Option 1, Option 2, or Postpone by locking HILO tokens.

If the community votes to postpone, the market is unpaused, allowing predictions to continue, and a new proposal can be submitted later.

Voters receive guaranteed rewards if they vote in alignment with the final outcome.

One account equals one vote — an anti-whale mechanism to ensure fairness.


Outcome & Settlement

After the voting timer ends, the option with the most votes becomes the new proposed result. The cycle can repeat: if someone challenges this new proposal, the process starts again — with double the cost for each new round.

If no one challenges, the market settles, and everyone who voted correctly or proposed the right outcome receives their rewards. If the result is Postpone, the process resets, and a new proposal is required.

Prediction remains paused during validation and resumes only if the community votes to postpone.

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