Legal
Responsible trading
Event contracts can lose their full value. What that means and what controls exist.
Pre-launch draft. Accurate about how the system works today; not reviewed by a lawyer and not a contract.
The risk, stated plainly
An event contract settles at $1.00 if the outcome occurs and at $0.00 if it does not. There is no partial recovery on a losing contract: the entire amount committed is lost.
A price is not a prediction of what will happen. A contract trading at 80¢ resolves NO roughly one time in five, and a run of correct-looking positions can end in a total loss on the next one.
Selling before settlement is not an escape hatch
Positions can be exited before a market resolves, at the price the market is then offering. That price may be far below what was paid, and a fee applies to the exit as it did to the entry. Early exit limits how long money is committed; it does not limit how much can be lost.
This environment uses no real money
Nothing in this demonstration can cost you anything. The balance is simulated and stored in your browser. It is described here because a simulated balance teaches habits that carry into a real one.
In a production deployment
Predicta is infrastructure embedded in an operator’s product. Deposit limits, loss limits, time-outs, self-exclusion, age verification and affordability checks are enforced by that operator under its own licence and its own regulator, using its existing responsible-gambling or investor-protection controls. Predicta exposes the position and exposure data those controls need.
If you are using an operator’s product and want to limit or stop your activity, those controls are in that product. If you are struggling to control your gambling, help is available in most jurisdictions from a national helpline or support service.
Status of this document
This is a pre-launch draft. It accurately describes how the system currently behaves and it has not been reviewed by a lawyer.
A production deployment requires a named contracting entity, a governing law and jurisdiction, and jurisdiction-specific regulatory analysis for every market in which event contracts would be offered. Those are commercial and legal decisions that have not been made, and this document does not pretend otherwise.
If you are evaluating Predicta commercially, ask for the current draft of the agreement rather than relying on this page.