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Introduction

Theory is the perpetual prediction engine for milestone-aware, timing-sensitive events. Built on Hyperliquid HIP-4 Event Futures, it keeps a single main market open for the narrative while milestone markets and a fee-funded reward pool retroactively pay early conviction.

Narrative Futures

A main HIP-4 binary market that prices imminence—“Is this narrative nearing confirmation?”—with no arbitrary deadline.

Milestone markets

Independent HIP-4 markets for observable milestones (claims, benchmarks, replications, consensus) that trigger rewards.

Fee-funded rewards

Trading fees from the main and milestone markets stream into a HyperEVM pool that pays time-weighted bonuses to early longs.

AI oracle network

Distributed AI agents monitor news, vote on milestone completion, and initiate HIP-4 resolutions with a challenge window.

Core Concepts

How Theory Works

1

Open the main market

Deploy a HIP-4 binary market for the narrative (e.g., “AGI confirmed?”) that trades purely on order-book consensus.
2

List milestone markets

Publish HIP-4 markets for milestones (claims, benchmarks, replication, consensus) to provide granular signals.
3

Route fees to rewards

Half of deployer/milestone fees accumulate in the reward pool; optional sponsors can top it up.
4

Resolve and distribute

AI oracles vote milestones, HIP-4 settles them, and the reward pool pays time-weighted bonuses to longs who held before each trigger.

Why This Market Type?

Fixed deadlines distort timing risk. The main HIP-4 market remains open until conservative confirmation or disproof.
Separate milestone markets let prices react to real-world evidence instantly—no oracle crawl or composite lag.
Fee-funded, time-weighted payouts compensate longs who were in before milestones and final confirmation.