Gnosis CTF Model

Gnosis Conditional Tokens Framework (CTF) is the token model Arenaton uses for binary Outcome Shares. A Market is not a new Solidity deployment. It is a CTF condition prepared against a collateral token, an oracle/resolver address, and an outcome slot count.

This page documents the model Arenaton builds against. It is not a production address registry. Current services read approved exchange registry config; /api/contract-registry and /api/paper/contract-registry are target public client surfaces.

Address Boundaries

Third-party contract addresses are useful references, not Arenaton production configuration.

Address type	Current rule
Arenaton production addresses	Read from approved production registry config after production gates pass; target public route is /api/contract-registry.
Arenaton paper addresses	Read from approved paper registry config for Polygon Amoy and PaperUSDC; target public route is /api/paper/contract-registry.
Polymarket addresses	Use only as external CTF references. Do not paste them into Arenaton registries.

As of the May 4, 2026 docs review, Polymarket’s public docs listed Polygon mainnet CTF infrastructure including the Conditional Tokens contract, CTF Exchange V2 contracts, pUSD collateral contracts, and UMA adapter/oracle contracts. Those are Polymarket deployment details, not Arenaton settlement authority. Verify external venue docs again before using any third-party address operationally.

Sources:

• Polymarket contracts documentation
• Polymarket CTF overview
• UMA Optimistic Oracle v3 documentation

Core Objects

Object	Meaning in Arenaton
Market	The product record users browse and trade.
Condition	The on-chain CTF record for a question and outcome set.
Outcome Share	ERC-1155 position token representing one outcome.
Collateral	USDC in production, PaperUSDC in paper mode.
Resolver	The address that reports final payout vectors to CTF.
Settlement	The contract or paper engine path that atomically moves Collateral and Outcome Shares.

Condition Derivation

The condition ID is deterministic:

conditionId = getConditionId(oracle, questionId, outcomeSlotCount)

For first-launch binary Markets:

Parameter	Value
oracle	Arenaton resolver for the environment.
questionId	Deterministic hash of the Market terms and resolution source.
outcomeSlotCount	2.

The Market ID remains human-readable for APIs and URLs. The questionId and conditionId are the settlement and redemption identifiers.

Position ID Flow

Binary Outcome Shares are computed in three steps:

conditionId = getConditionId(oracle, questionId, 2)
yesCollectionId = getCollectionId(bytes32(0), conditionId, 1)
noCollectionId = getCollectionId(bytes32(0), conditionId, 2)
yesPositionId = getPositionId(collateralToken, yesCollectionId)
noPositionId = getPositionId(collateralToken, noCollectionId)

Index sets use bitmasks:

Outcome	Index set
YES / outcome 0	1 / 0b01
NO / outcome 1	2 / 0b10

Settlement Paths

Primary Split

Complementary buy demand can create the first Outcome Shares:

YES buyer signs buy YES at price P
NO buyer signs buy NO at price 1 - P or better
settlement transfers Collateral
settlement calls CTF splitPosition
YES and NO Outcome Shares move to the buyers

The settlement contract must not retain user Collateral or Outcome Shares after execution.

Secondary Resale

After Outcome Shares exist, same-outcome buy/sell matching transfers existing shares:

seller signs sell YES
buyer signs buy YES
settlement transfers Collateral from buyer to seller
settlement transfers YES Outcome Shares from seller to buyer

Failed resale cannot create user debt. If balances, approvals, signatures, cancellation, expiry, or Live State Version checks fail, settlement reverts or the paper engine marks the fill failed.

Resolution

The resolver reports a payout vector to CTF after the correction window closes.

Resolution	Payout vector
YES wins	[1, 0]
NO wins	[0, 1]
Invalid	[1, 1]

With [1, 1], each binary Outcome Share redeems for half of one unit of Collateral. Users redeem through CTF redemption mechanics, not an Arenaton internal balance.

Paper Mode

Paper mode uses the same mental model while staying isolated:

Area	Paper rule
Chain	Polygon Amoy 80002.
Collateral	PaperUSDC only.
Registry	Approved paper registry config; target public route is /api/paper/contract-registry.
Settlement	Paper exchange plus paper CTF settlement path.
Portfolio	Derived from paper settlement, lifecycle, redemption, and indexer state.

Read CTF Paper Mode and Paper Trading Backend for the current implementation spine.