Market Lifecycle

Strike has two lifecycle models: FBA orderbook markets and parimutuel pool markets. Orderbook markets transition through these states:

Open → Closed → Resolving → Resolved
                          ↘ Cancelled

States

Open

• Orderbook accepts orders (place, cancel)

• Batch clearing runs at configured intervals (60s default)

• Transition: automatically enters Closed when block.timestamp + batchInterval >= expiryTime

Closed

• No new orders accepted — the final batch has cleared

• Existing orders can still be cancelled (to free collateral)

• Transition: anyone submits a valid Pyth resolution via resolve() → enters Resolving

Resolving

• Resolution has been submitted with signed Pyth price data

• Finality gate: the protocol waits for a 90-second finality period (FINALITY_PERIOD = 90 seconds) before finalizing

• Challenge window: during this period, anyone can submit an alternative Pyth update that would change the outcome; the contract deterministically picks the earliest valid publishTime within the settlement window

• Transition: finalizeResolution() called after finality window → enters Resolved

Resolved

• Outcome is final (UP or DOWN)

• Winning positions pay out automatically at $0.01 per lot

• Losing positions are worthless

Cancelled

• Triggered if no valid Pyth update is submitted within the maximum resolution window (24h)

• Also triggered if confidence interval exceeds threshold at resolution time

• All collateral is refunded

Admin Fallback

The admin can call setResolved() as a fallback to skip the 2-step resolve/finalize process. This is intended for emergency situations only (e.g., Pyth feed failure, stuck resolution).

Timeline (5-minute market, 60s batch interval)

0:00    Market created, strike price captured from Pyth
0:00    Orderbook open — batches clear every 60s
        ...
4:00    Last batch clears (< 60s remaining → trading halts)
5:00    Expiry timestamp reached — market enters Closed
5:00+   Resolver submits Pyth update for [T, T+60s] window → resolve()
        Finality period (90 seconds)
        Challenge window open during finality period
~6:30   finalizeResolution() → market Resolved
6:30+   Winning positions settled automatically

Parimutuel Pool Lifecycle

Parimutuel markets use a separate pool lifecycle:

Open → Closed → Resolving → Resolved
                    ↘ Invalid/Cancelled

Open

• Users can buy into any outcome pool.

• Buying is allowed until tradingCloseTime.

• Pool probabilities and projected payouts update as users buy.

Closed

• No new buys are accepted.

• The market waits until resolutionTime before resolver paths can finalize the outcome.

• This split lets betting close before the event itself is over.

Resolving

• Admin, AI, or Pyth resolution determines the winning outcome.

• AI markets can go through request/proposal/challenge/finality before confirmation.

• Pyth markets evaluate the configured feed/thresholds at resolutionTime.

Resolved

• The winning outcome is final.

• Winners claim principal plus their pro-rata share of losing pools.

Invalid / Cancelled

• Used when the market cannot be fairly resolved or is explicitly invalidated.

• Users refund principal.