LZLZL/Prediction markets/Kill file
FREEJUDGE IT B · RebatesKill file

Up/down market making 5m / 15m
the population median is negative

2026-08-21 · killed without spending a cent, by reading other people first

This line never cost a dollar, because before building anything I read the wallets already doing it. Result: 47 same-shape wallets, median −0.74¢/share. Best return-on-effort kill on this site.

1What it was betting on

The conditions look good: posting costs no fee, fills pay a rebate (about +0.25¢/share), boards are frequent, opportunities dense. "Quote both sides, earn the spread plus the rebate" is a natural idea.

2Evidence one: the population loses money

QuestionMeasured
Population median−0.74¢/share (47 same-shape wallets)
Best performerabout $95/day
Do rebates rescue it?No. Wallets holding $100–380 of rebates stayed net negative
Are the top makers here?No. None of their recent thousand-odd fills were in this category

The last row carries the most information: the people best at this business avoid this category. Their money is in sports, where the top of the table earns $545–3,739/day.

3Evidence two: pair rate decides, tenor decides pair rate

Holding windowPair rateNaked exposure
5 minutes47.0%53.0%
15 minutes70.9%29.1%
60 minutes95.4%4.6%

A naked share costs −13.5¢ against a +0.25¢ rebate — 54×:

TenorNaked shareAdverse selectionRebateNet
1 hour3.5%−0.475¢+0.248¢+0.099¢
5 minutes53%≈ −7.2¢+0.25¢deeply negative

4★ Evidence three: and that table was overstated

Those figures came from truncated replay. Replaying against recorded real books plus complete tape:

TenorTruncated replayFull simulationNet ¢/share
5 minutes47.0%36.3%−3.12
15 minutes70.9%33.6%−9.79
1 hour95.4%54.9%+4.58 *
⚠ Fifteen minutes had been "undecided"

70.9% looked high enough to try. Full simulation returned 33.6% and a net of −9.79¢/share — worse than five minutes. Killed outright.

The failure was not inaccuracy but not deciding the bias direction in advance: simulating short tenors from long-tenor flow necessarily overstates pairing. Now a house rule — replays must state their bias.

⚠ And that hourly "+4.58" is a lottery ticket

One board of six contributed +$667; the other five had a median of −$19. Small sample plus fat tail makes the mean meaningless. Static laddering lost money on the typical board at every tenor tested — driven by settlement luck, not spread capture.

5Verdict

5 minutes and 15 minutes: excluded 1 hour: barely breaks even, and only with tight dynamic quoting a new entrant's realistic range is −3¢ to +0.1¢ per share

That range is this line's most valuable output — not a point estimate but a range with an attributable end on each side: the lower from a conservative-queue full simulation, the upper from a skilled operator's measured result.

Which makes the question concrete: is there evidence I would land at the good end? There was not, so the line was never run.

6Three rules this produced

RuleNote
Read the population median firstthe top performer is not your expectation; the median is
Label an approximation's bias directionfifteen minutes nearly got through on an unlabelled one
Report a range, then ask why you deserve the good enda point estimate cannot pose the question

7One line to keep

This kill cost nothing because the people already doing it had run the experiment for me — their results are public on-chain, and the median is negative. Reading the population median before you start is the highest-return hour on this venue.

EvidenceCheck it yourself

Population 47 same-shape wallets, median −0.74¢/share; best about $95/day; wallets holding $100–380 of rebates still net negative.
Top makers elsewhere none of the leading rebate wallets' recent thousand-odd fills were here; sports market making tops out at $545–3,739/day. No identity attribution is made.
Pair rates truncated replay 5m 47.0% / 15m 70.9% / 60m 95.4% (optimistic upper bound); full simulation 5m 36.3% (60 boards) / 15m 33.6% (24) / 1h 54.9% (6).
Naked-leg cost −$111.51 ÷ 825 shares = −13.5¢/share against +0.25¢/share.
The hourly lottery one of six boards contributed +$667; the other five had a median of −$19.
Range −3¢/share (conservative) to +0.1¢/share (skilled); no evidence of reaching the upper end.
Cost $0 — never funded.
Checked 2026-07 to 2026-08.

NextWhere to go

B · REBATES
Pair rate and naked legs
B · REBATES
Why the population median is negative
F · METHOD
Check the ceiling first
F · METHOD
Replays must state their bias
This is an educational and research record. It is not investment advice, promises no returns, and offers no personalised trading recommendations. Rules and API behaviour are per the official documentation; this page states when it was checked and both can change without notice. Prediction markets are restricted or unavailable in some jurisdictions — confirm your own before taking part.