Polymarket to Launch Stablecoin, Order Book Overhaul in Prediction Market Upgrade

Prominent on-chain prediction market platform Polymarket is implementing a major upgrade to its technical foundations, including the implementation of a new order book and a proprietary stablecoin for use as collateral on the platform.

The company calls the upgrade its “biggest change yet.”

“We’ve heard your feedback and we’re excited to announce that Polymarket is getting a full exchange upgrade,” says the prediction market placed on X. “In the coming weeks, we will be introducing a rebuilt trading engine, upgraded smart contracts and a new collateral token, Polymarket USD.”

The changes are expected to roll out in the coming weeks, with a short period requiring the cancellation of all outstanding orders on the platform. However, the company says it will at least give traders a break “a few days” of prior notice prior to canceling unfulfilled orders.

“Our biggest infrastructure change since launch… faster execution, less gas and a cleaner foundation for the future,” the report said.

While the company does not expect a difficult transition for most users of the prediction market, builders, API-only traders, and power users may be more affected by the changes. For example, users who use bots to trade the markets will need to update their software development kits to enable trading with the new order book structure.

Additionally, more advanced users may need to use a smart contract wrapping feature to move their USDC or USDC.e to the company’s new stablecoin and collateral token: Polymarket USD.

The company has used USDC.e in the past Ethereum scale up network, Polygonwhich represents a bridged version of Circle’s dollar-backed stable currency USDC. But the switch to its own token, which is supported 1:1 Circle’s USDCsparked speculation among users about improved yields for those who hold funds on the platform and the potential for one significant increase in turnover for the company.

Meanwhile, other users speculated that the launch of its own stablecoin could also boost the rollout of the platform’s planned native token, POLY. Yet, while the token was confirmed to be in the worksforecasters on Myriad – a prediction market from DeclutterDastan’s parent company,don’t believe it will launch in Maymaking the chance of the token launch before then only 11%.