Oracle
Last reviewed 2026-08-07
Oracle — definition
The party — human, on-chain, or hybrid — that reads the resolution source and posts the official market outcome.
On Kalshi, the oracle is Kalshi itself, regulated by the CFTC. On Polymarket, the oracle is UMA, a decentralized network of token-holding voters.
Oracles can be challenged in some systems. Disputes delay settlement and, rarely, overturn it.
Learn more: How prediction markets work
See also
Frequently asked questions
What does oracle mean in prediction markets?
The party — human, on-chain, or hybrid — that reads the resolution source and posts the official market outcome.
How does oracle work in practice?
On Kalshi, the oracle is Kalshi itself, regulated by the CFTC. On Polymarket, the oracle is UMA, a decentralized network of token-holding voters.
Sources & further reading
- CFTC — Event contracts explainedU.S. Commodity Futures Trading Commission
- Kalshi — how prices and settlement workKalshi
- UMA Optimistic Oracle documentationUMA Protocol
Last reviewed 2026-08-07 · CollegePredictionMarkets.com