Exotic Markets
So you've participated in Thales markets, but you're looking for something a little more...exotic? Well we've got you covered with Exotic Markets! Users can now take part in Optimistically created and resolvable Exotic Positional Markets to experience the flexibility and fun of parimutuel markets.
Exotic Markets was built by community members on top of Thales smart contracts, allowing anyone to create custom markets in a decentralized way. Thanks to a set of well thought-out guidelines and the oversight of the Oracle Council, user's can get creative and trust that their positions are immutable and reliable. There's no other place in crypto where you and your friends can make the markets you want to participate in.

You can view the complete GitBook Documentation for Exotic Markets here.​


As Thales continues to work with Chainlink to acquire access to oracles feeds for sports markets, the desire for exotic markets has only grown. In response, the community has worked together to develop the following framework to ensure the fairness and reliability of custom markets while keeping them fun.
All guidelines for market creation, participation, disputes and resolution can be found in detail in TIP-28.

Market Creation

When creating an Exotic Market, the following guidelines must be met or market creation will be reverted:
  • Each market must include a market question (e.g. "Will Jason Tatum score more than 30 pts in game 4 of the first round of the 2022 NBA Playoffs?"). The Market question must be mainstream, precise, written in English, and free of ambiguity.
Markets cannot contain any morbid, racist, or otherwise malicious questions or they will be disputed and slashed.
No duplicate markets should be created. Multiple markets can be created for the same event, but with a different sentiment (different question and/or positions).
Markets that can be easily manipulated or rely on metrics that can be easily inflatable will be disputed and slashed.
  • Markets must include a market data source (URL) that is verifiable and widely accepted as reliable.
  • Positions available to purchase must be mutually exclusive and capture the full range of potential outcomes. The maximum number of available positions is 8.
  • Markets must define the length of the positioning phase (with a min. of 8 hours to position). The end of the positioning phase cannot be more than 1 month in the future and has to be before the event actually starts. A market's resolution cannot take place more than 6 months into the future.
  • Market type must be selected. At the moment only fixed tickets are available with all participants subject to the same price per position. Open bid type markets will be available with future TIPs.
  • A bid size, between 10 and 1000 sUSD. Each bid will be subject to total fee of 3%, with 1% going to the market creator, 1% going to the market resolver, and 1% to safebox (if the market is not canceled). The Market Creator can cancel a market at any time if no bids have come in.
  • Whether or not withdrawals will be allowed during the positioning phase. Withdrawals will be subject to a 6% total fee, with 3% going to the market creator and 3% to the safebox. These fees will be included in the withdrawal transaction. Users can withdraw their position up to 8 hours before positioning ends.
  • 1 to 5 tags from an available list (e.g. Sports, Politics, etc.) which will be managed by the Oracle Council.
  • Market Creators must enter their initial position and amount, and they must put up a bond of 100 sUSD to create a market.
That's right, you can profit just from creating and/or resolving markets by collecting fees from bids and withdrawals!


Bonds are used throughout the process to ensure good behavior. By creating a market and posting a bond you are subjecting that bond to potential slashing if the market question does not adhere to the guidelines included above and in TIP-28.
It is highly recommended that users read TIP-28 before creating any markets so they can avoid the potential of having their bond slashed.
Once a Market is created and a bond is posted there is no way for Thales to stop disputes against a deployed market. This is also true for bonds posted to dispute or resolve markets (more on this below). All disputes are settled by the Oracle Council who act independently of Thales in judging whether a dispute is valid or not, therefore caution is urged!

Positioning Phase

Participants pay a fixed entry bid and can select their position during the defined positioning phase. Positioning begins as soon as a market is created.


For Fixed Markets, users can only have one position for one market, but this position can be changed as many times as the user wants within the positioning phase defined by the Market Creator.
Open Bid markets allow one wallet to enter multiple bids and spread the bids across multiple positions. To reposition, they have to first pull the bid from a position and then choose to deposit it into a new position. If the wallet's position represents more than 10% of an Open Bid market's total liquidity they will not be allowed to reposition or withdraw more than 10% from that market. Only one repositioning is allowed during the positioning phase.

Odds in Parimutuel Markets

Odds are not fixed for Parimutuel Markets, but instead change with more activity. The final amount placed on each position determines the final odds. Projected winnings are displayed as if positioning was to end at that moment, but this will likely fluctuate until the positioning phase ends, so your actual potential winnings will change as more positions are purchased by other users. Keep this in mind when participating in parimutuel markets.

Withdrawing a position

If a specific market allows withdraws, Traders can withdraw the sUSD paid for their position, minus the 6% total fee, until the final 8 hours of positioning. Traders will not be able to withdraw once the positioning phase is down to 8 hours or less.

Disputing a Market during Positioning

The Oracle Council (details in TIP-35) is tasked with managing disputes for markets still in the positioning phase. Anyone can dispute a market while still in positioning, and an open dispute doesn't affect users ability to select a position. The following guidelines apply to disputes:
  • The wallet raising a dispute must put up 100 sUSD as bond and enter the reason for the dispute.
  • Disputes must contain a valid reason such as not following guidelines or if a market has become obsolete (e.g. If a is game postponed).
  • Once the Oracle Council resolves as dispute they have 3 options to proceed:
    • Accept the dispute and slash the creator- Everyone can claim a refund (except the creator), and the creator's bond goes to the disputer (minus 10 sUSD to safebox).
    • Accept the dispute but do not slash the creator- Everyone can claim a refund and the disputer gets an sUSD reward, with the amount decided on by the Oracle Council (between 50 and 100 sUSD).
    • Refuse the dispute and slash the wallet that raised it- The disputer's bond goes to the safebox.
  • Once a dispute is accepted all other disputes that follow are canceled and bonds can be reclaimed. There will be a 4 hour window after a dispute is accepted for the Protocol DAO or the Thales Council to step in and pause a market if there are any doubts about the Oracle Council's decision. After 4 hours users can claim refunds.

Maturity Phase

Finally, there's the maturity phase. Markets must be resolved to reach maturity, and this can be done by anyone.

Resolving a Market

  • Users can submit a request to resolve a market with a certain outcome and a 100 sUSD bond. The market creator can also request to resolve without being required to put up a bond.
  • Once a market is resolved there will be a 24 hour period to dispute the result. This will require a 100 sUSD bond plus a valid reason. The Oracle Council will review, with the following results possible:
    • Accept the dispute and set a result- The resolver fee goes to the safebox.
    • Accept the dispute and reset the market result- The resolver fee and bond (minus 10 sUSD to the safebox) go to the disputer.
    • Refuse the dispute- The bond goes to the safebox.
  • Market resolution is subject to the same 4 hour time lock, giving the Protocol DAO or Thales Council time to react.
  • 24 hours (or 4 hours since a dispute is closed) the market is formally resolved and winners can claim their winnings. If there are no winners, everyone can claim their initial bid minus fees.
  • Oracle Council Emergency Pause- Each Oracle Council member can pause a market if they feel necessary, with the Protocol DAO required to resume the market.
  • OC Backstop- In the event that the Protocol DAO or Thales Council feel that the Oracle Council have acted in bad faith, the Protocol DAO can pause a single market (or all markets) and act to replace the Oracle Council. 500k sUSD is set aside as insurance fund.
If you have any questions or want to discuss the guidelines with the community, you can visit the following Exotic Markets channels in Thales Discord:
  • #markets-chat
  • #potential-markets-to-create
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Positioning Phase
Maturity Phase