How Hedge works

Every Hedge market follows the same lifecycle — created and funded by a keeper, opened for trading against an on-chain market maker, settled trustlessly against real match data, and finally redeemed by the winners. Here is the whole journey end to end.

The lifecycle of a market#

1. 1
   A market is created and funded

   For each real fixture, a keeper creates a three-outcome market (home / draw / away) with its own on-chain USDC vault, then seeds it with liquidity at the live odds so it is immediately tradeable. Until a market is funded, the app shows Trading opens soon.
2. 2
   You buy a position

   You pick an outcome and spend USDC to buy shares of it. Prices come from a constant-product market maker: buying an outcome moves its price up, and every winning share is worth exactly 1 USDC once the market resolves.
3. 3
   The market trades until the result is in

   Prices move as people buy and sell each outcome. You can sell your shares back to the market at any time before it settles, at the current price.
4. 4
   The match is settled — trustlessly

   Once the result is final, a keeper submits a settlement transaction that asks TxLINE's on-chain program to cryptographically verify the outcome. The market only resolves if that proof checks out.
5. 5
   Winners redeem

   After resolution, every winning share redeems for 1 USDC from the market's vault. Liquidity providers withdraw their residual, which can never dip into the USDC owed to winners.

The pieces that make it work#

A few components cooperate to make markets trustless and always tradeable. Each has its own page in these docs:

• The on-chain program — the market maker that escrows funds, prices trades, and proves outcomes. See The trustless contract.
• Keepers — permissionless workers that keep markets funded and submit settlement once matches end. See Keepers.
• Leverage — size a position beyond your own margin. See Leverage.
• Liquidity — the capital that seeds markets and backs leverage. See Liquidity.