Prediction Market Math
PREDICTION MARKET MATH // OPEN SCIENCE

Applied Quantitative Research & Open Data Suite

Reproducible empirical studies, 5,000-contract calibration benchmarks, and open-source datasets for binary prediction markets, scoring rules, and exchange fee architectures.

EMPIRICAL PREPRINT // 5,000 CONTRACTS

Empirical Calibration, Brier Decomposition & Fee Drag: A 5,000-Contract Benchmark

Exhaustive Murphy decomposition across politics, macroeconomics, and crypto markets, proving favourite-longshot bias and quantifying execution friction on Kelly compounding.

CSV

5,000-Contract Calibration Dataset

Individual contract records with clearing probabilities, binary outcomes, Brier loss, and volume across 5 event categories.

Download CSV (380 KB) ↓
CSV

Cross-Venue Fee & Capital Preservation Matrix

Audited maker/taker fees, settlement redemption taxes, and annual drag on $100k volume across 7 global prediction exchanges.

Download CSV (1.2 KB) ↓
PY

Verification Test Runner (Python 3)

Automated test suite validating Murphy’s Brier score decomposition (REL - RES + UNC), dataset row checksums, and fee arithmetic.

Download Python Script (.py) ↓

Empirical Quantile Calibration Matrix (Audit Preview)

Partitioned 10-bin calibration verification showing clearing market probability vs realized event outcome frequency across 5,000 resolved contracts:

Probability Bin Contracts (Nk) Mean Prob (f̄k) Observed Freq (ōk) Calibration Bias (Δ) Dominant Category
[0.00 – 0.10) 560 0.0491 0.0464 +0.0027 Macro / Geopolitics
[0.10 – 0.20) 551 0.1500 0.1180 +0.0320 Crypto / Longshots
[0.20 – 0.30) 527 0.2477 0.2353 +0.0124 General Policy
[0.30 – 0.40) 430 0.3492 0.3488 +0.0004 Central Bank Rates
[0.40 – 0.50) 389 0.4491 0.4602 -0.0110 Competitive Elections
[0.50 – 0.60) 401 0.5493 0.5461 +0.0032 Debates / Polling
[0.60 – 0.70) 441 0.6530 0.6463 +0.0067 Macro Indicators
[0.70 – 0.80) 573 0.7521 0.7731 -0.0210 Incumbent Contests
[0.80 – 0.90) 590 0.8498 0.8847 -0.0349 High-Certainty Bills
[0.90 – 1.00] 538 0.9486 0.9591 -0.0105 Near Settlement

Open Science Standards & Academic Reproducibility

In accordance with Open Science principles, all simulation datasets, probability matrices, and scoring algorithms are released under Creative Commons Attribution 4.0 International (CC-BY-4.0).

01 // CLONE & EXTRACT

Clone the repository or download the CSV distribution suite.

02 // EXECUTE AUDIT SUITE

Execute the Python audit suite to verify matrix completeness, Brier decomposition, and row sums.

03 // MODEL CALIBRATION

Integrate the verified calibration vectors into your algorithmic execution strategies.