Legal

Risk Disclosure

Last updated: May 10, 2026

Read this before you trade. MakeAMarket is a high-risk speculative product. You can lose everything you put in. Most people who trade prediction markets lose money over time. Only use funds you can afford to lose entirely.

1. Total-loss risk

Every MakeAMarket position is binary — YES or NO. When the market resolves, the losing side is worth $0. You can lose 100% of your stake on any individual market. Diversifying across markets does not protect you from coordinated mis-resolutions, bugs, or systemic failures.

2. Curve and slippage risk

MakeAMarket uses a constant-product AMM curve seeded by the market creator. Prices move against you as you buy. Thin markets have high slippage. Large trades can move the price meaningfully and your effective fill may be far worse than the displayed price. Always review the quoted output before signing.

3. Resolution and settlement risk

The outcome is determined by the resolution rules the creator publishes — which can be ambiguous, hard to verify, or rely on third-party data sources that change. Possible failure modes include:

The creator resolves incorrectly or in bad faith.
The reference source becomes unavailable, redacted, or modified after launch.
The event itself becomes ambiguous (e.g., partial fulfillment, technical timing edge cases).
The market is flagged Unresolvable and pro-rata redemption returns less than your cost basis.

The platform may step in to resolve markets if the creator does not act, but cannot guarantee any particular interpretation of the rules.

4. Smart-contract risk

The MakeAMarket program is open-source code running on Solana. Smart contracts can contain bugs, exploits, or unintended interactions with other on-chain programs. A vulnerability could result in partial or total loss of funds locked in any market vault. The program has not been formally audited as of this writing.

5. Solana network risk

Solana itself can experience congestion, outages, MEV, sandwich attacks, transaction reorgs, validator censorship, or fee spikes. These can cause failed trades, surprise fills, or temporarily inaccessible positions. MakeAMarket has no control over Solana network behavior.

6. Wallet and operational risk

You are solely responsible for the security of your wallet. Phishing sites, malicious browser extensions, hardware wallet bugs, or simple user error can drain funds. MakeAMarket never asks for your seed phrase. Anyone who does is phishing.

7. Custodial and stablecoin risk

Trading on MakeAMarket is denominated in USDC. USDC is a centralized stablecoin issued by Circle. Issuer freeze, redemption pause, depeg, or regulatory action against USDC could affect the value or transferability of your positions. MakeAMarket does not control USDC or its issuer.

8. Regulatory and jurisdictional risk

Prediction markets and event-contract trading are regulated differently across jurisdictions. In some jurisdictions they are restricted or prohibited entirely (including some US states). You are responsible for confirming that your participation is legal where you live. Future regulatory action could limit access, freeze contracts, or trigger forced redemptions.

9. Tax risk

Trading prediction markets typically creates taxable events. MakeAMarket does not issue tax forms. You are responsible for tracking and reporting your trades to the relevant tax authority. Consult a qualified tax professional.

10. No bailouts

MakeAMarket is not insured. There is no FDIC, SIPC, custodial guarantee, or platform reserve fund. If a market is mis-resolved, a contract is exploited, or a stablecoin fails, lost funds are lost. We will not, and contractually cannot, make participants whole.

Questions: info@makeamarket.io