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Finalization and Refunds ​

Finalization is the point where a market’s result is locked and distribution can proceed according to the final outcome.

Until that moment, a market may still be in a proposed, challenged, or escalated state.

Two finalization paths: winning outcome declared (winners claim proportional payout) vs. market voided (all participants claim net position back). Pull-payment model applies to both.

What finalization means ​

Finalization means the active resolution path is complete.

At that point:

  • the market’s outcome is no longer pending
  • claims or refunds can proceed according to the final result
  • users can stop treating the market as unresolved

Claims after finalization ​

If the market reaches a valid winning outcome, eligible users can claim according to that finalized result.

For users, this is the point where “the market is over” becomes economically meaningful.

Refund paths ​

Not every market ends with a normal winner flow. Some markets are voided, meaning the result cannot be responsibly assigned and positions are returned to participants instead.

When a market is voided, users receive back the net amount they put into the pool. Entry fees that were already distributed at the time of participation are not returned — those were allocated at the point of each transaction.

When a market may be voided ​

Markets can reach a void outcome through several paths:

Creator timeout. If the market creator does not submit a settlement result within the required window after the market closes, the protocol automatically voids the market. This is the most common void path.

Unresolvable arbitration. If a disputed market enters arbitration and the arbitration process cannot produce a valid outcome, the market is voided as a final safeguard.

Invalid or ambiguous outcomes. In some cases, the real-world event makes it impossible to assign a clean result under the market’s rules, and the resolution process ends in a void rather than force an uncertain outcome.

The user checklist ​

After a market completes, users should understand which of these states applies:

  • finalized with a valid winning outcome
  • finalized through a refund path

That difference determines whether they should expect a winner payout or a refund.

Signal from Noise.