Trade Type Descriptions
TRADE- A generic trade type used by some protocols (like Kalshi) that don’t distinguish between buy and sell directions. This represents any trade activity without specifying whether shares were acquired or disposed of.BUY- The trader is acquiring outcome shares (e.g., buying “Yes” shares or buying “No” shares). This increases their position in that specific outcome. In binary markets, buying “Yes” means you’re betting the event will occur; buying “No” means betting it won’t.SELL- The trader is disposing of outcome shares (e.g., selling “Yes” shares or selling “No” shares). This reduces their position in that specific outcome.BUY_COUNTERPARTY- Represents the counterparty side of a BUY trade. When one trader buys, another party (either the AMM or another trader) is on the selling side. This helps track both sides of the transaction.SELL_COUNTERPARTY- Represents the counterparty side of a SELL trade. When one trader sells, another party is on the buying side. This helps track both sides of the transaction.PAYOUT_REDEMPTION- A special trade type that occurs when a trader redeems their winning shares after a market resolves. This converts winning outcome shares into the underlying collateral token (usually USDC).
Understanding Outcome Shares
In prediction markets, you’re always buying or selling shares of a specific outcome (like “Yes” or “No”).- BUY = acquiring shares of an outcome (increasing your position)
- SELL = disposing of shares of an outcome (decreasing your position)
- Buying “Yes” shares = you think it will rain
- Selling “Yes” shares = you’re reducing/closing your “Yes” position
- Buying “No” shares = you think it won’t rain
- Selling “No” shares = you’re reducing/closing your “No” position