Not that sure about Polymarket, but Kalshi uses a limit order book and has incen... | Hacker News

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		tripplyons on Oct 25, 2024 \| parent \| context \| favorite \| on: Ask HN: What are the algorithms used by prediction... Not that sure about Polymarket, but Kalshi uses a limit order book and has incentives for market makers to provide liquidity. The prices are set by what people are willing to buy and sell for, not by an algorithm.

callmeed on Oct 25, 2024 [–]

Ok, that's helpful but I'd argue even a limit order book has an algorithm (albeit simple)

jairuhme on Oct 26, 2024 | [–]

I think you are referring to the [order matching system](https://en.wikipedia.org/wiki/Order_matching_system) of exchanges. This page lists a couple of the common and simple algos used.

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