Polymarket says No for May, Yes for June after Strategy's recent bitcoin sale
CoinDesk • • business
Key Points:
- Strategy's recent sale of 32 bitcoin between May 26 and May 31 triggered a dispute on Polymarket, with bettors divided over whether the sale counted before the May 31 deadline due to its June 1 public disclosure.
- UMA token holders, responsible for dispute resolution on Polymarket, ruled against bettors who wagered the sale would occur by May 31, siding with the view that only public disclosure within the timeframe counts.
- The ruling led to losses for those betting on the May sale despite the transaction occurring in that month, while June contracts resolved as Yes since the sale was publicly announced in June.
- The decision was heavily influenced by a few large UMA token holders, including borntoolate.eth and UMA contributor Kevin Chan, raising concerns about governance centralization in a decentralized finance platform.
- Galaxy Research criticized the resolution, arguing that the market should consider the actual sale date rather than the announcement date, highlighting disagreement within the community over the ruling criteria.