add prediction markets section

drift-labs · Aug 19, 2024 · 97a59fa · 97a59fa
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diff --git a/source/includes/_prediction_markets.md b/source/includes/_prediction_markets.md
@@ -0,0 +1,11 @@
+# Prediction Markets
+
+Prediction Markets are Perp Markets with the `contract_type` set as `Prediction`.
+
+Prediction Markets function the same as Perp Markets with the following additional constraints:
+
+- Prices must be between 0 and 1
+- Funding is paused
+- Margin ratios are set to 1 so that the position is fully collateralized
+- The margin system uses `1 - oracle price` to value short positions
+- They use prelaunch oracles (the oracle price is the mark twap)
diff --git a/source/index.html.md b/source/index.html.md
@@ -16,6 +16,7 @@ includes:
   - historicaldata
   - errors
   - market_constants
+  - prediction_markets
 
 search: true