Prediction Market Rules

Introduction
The InnovationJam team will host various prediction markets on InnovationJam Areas of Interest (AOI) topics and themes, as well as many other relevant topics. The objective of these markets is to determine the likelihood of future events, leveraging the collective intelligence of a broad, diverse community. As a market participant, you will 'trade' virtual stocks, where each stock represents a potential choice or event outcome. You will invest in the stocks you believe are most likely to occur, and divest in those stocks which you do not support. Each stock's price represents the likelihood of that potential outcome. For example, if there are four stocks in a market, each with the same pre-trading likelihood of occurring, they would each start at 25 JamCents (representing 25% likelihood).

Market Duration
The prediction markets will commence on November 10th. All markets are expected to close on November 21st 11:59pm, unless the event being predicted occurs before November 21st 11:59pm.

Market Trading
Participants can buy or sell shares in any stock in which its market is open. You must have enough currency in your account to cover any trades you wish to make; there is no support for hedging, futures, derivatives or other trading methods. The markets will automatically execute each buy or sell order; a buy order will not sit in the trading queue waiting for a matching sell order, for example.

Each participant will be given a starting account balance of 10,000 JamCents, allowing each trader to invest or divest upon market commencement. Note that this is the starting balance for trading across ALL markets in which the trader has been invited to participate. For this reason, participants are encouraged to trade only in the markets in which they have some level of knowledge or insight. This allows the participant to trade honestly and intelligently as opposed to guessing.

Winning a Market
In order to be considered a winner in any given market, you must be a shareholder in the stock that represents the market's actual outcome, and possess those shares upon market close. Regardless of the winning stock's price upon market close, its shares will be worth 100 JamCents, and all losing stocks will have zero (0) value.

The InnovationJam Analysis Team will determine the winning stock for each prediction market. The primary criterion for selection of winner(s) is the net worth of each trader, but other criteria may be taken into consideration at the discretion of the I-Jam Analysis Team. The trader with the highest net worth in each market will receive additional recognition.