Glossary
A reference of key terms used across the Conviction platform.
| Term | Definition |
|---|---|
| Market | A prediction market for a specific event or question. Each market has one or more possible outcomes. |
| Outcome | A possible result within a market (e.g., YES or NO in a binary market). |
| Share | A token representing a position in an outcome. Shares are priced between 0¢ and 100¢. Winning shares are redeemable for $1.00. |
| Position | Your holdings of shares in a specific outcome within a market. |
| Order | An instruction to buy or sell shares at a specified price and quantity. |
| Limit Order | An order placed at a specific price you choose. It remains in the orderbook until it is matched by another user or you cancel it. |
| Market Order | An order that fills immediately at the best available prices in the orderbook. Faster execution, but subject to slippage. |
| Orderbook | The collection of all open limit orders for a market, organized by bids (buy orders) and asks (sell orders). |
| Spread | The difference between the best bid price (highest buy) and the best ask price (lowest sell) in the orderbook. |
| USDT | The stablecoin used as the base currency on Conviction. Specifically USDT on BNB Smart Chain (0x55d3...7955), with 18 decimal places of precision. |
| Smart Account | An ERC-4337 smart contract wallet that enables gasless, batched transactions. This is your Trading Wallet on Conviction. |
| Funding Wallet | Your deposit wallet (externally owned account / EOA) where you receive cross-chain funds before transferring them to your Trading Wallet. |
| Trading Wallet | Your smart account (ERC-4337) used for placing orders, holding positions, and managing shares. |
| Split | Converting USDT into equal amounts of YES + NO shares for a market. A 1:1 operation. |
| Merge | Converting equal amounts of YES + NO shares back into USDT. The reverse of a split. |
| Claim / Redeem | Collecting your winnings from a resolved market by burning winning shares in exchange for USDT ($1.00 per share). |
| Conditional Token Framework (CTF) | The smart contract standard used by Conviction for creating and managing outcome tokens. Ensures full collateralization and trustless settlement. |
| BNB Smart Chain (BSC) | The blockchain that Conviction is built on. Conviction uses BSC mainnet (chain ID 56) with BNB as the gas token. |
| Binary Market | A market with exactly two outcomes: YES and NO. |
| Categorical Market | A market with more than two possible outcomes (e.g., multiple candidates or multiple price ranges). |
| Resolution | The process by which a market's outcome is officially determined and winning shares become redeemable. |
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