How versus works

versus is a prediction market. You buy contracts on questions about the real world, and the price of a contract is the market's current answer to that question.

Prices are probabilities

Every question has sides, and every side has a price between 0p and 100p.

A side trading at 62p is the market saying it believes that outcome has roughly a 62% chance. If it happens, each contract settles at 100p. If it does not, it settles at 0p.

That is the whole mechanic. A price is a probability with a pound sign in front of it.

A worked example

Say the question is whether the Bank of England cuts rates at its next meeting, and YES is trading at 62p.

You put £31 in and receive 50 contracts.

• The cut happens. Your contracts settle at 100p each. You receive £50.
• You change your mind first. New inflation data pushes YES to 78p and you sell. You receive £39.
• The cut does not happen. Your contracts settle at 0p and you lose the £31.

Your loss can never exceed what you put in. There is no leverage here and no margin call, so a position cannot follow you beyond its cost.

You do not have to wait for the result

Most people expect a prediction to be locked until the event settles. It is not. While a market is open you can sell your position back at the current price and take the difference, up or down.

That is why the price moves at all. It reflects what everyone still holding believes right now.

What it costs

versus charges a transaction fee of 2% of your stake, added on top of the stake, with no cap. It is shown before you confirm, and it is the only fee we charge you on a trade. Depositing and withdrawing are free within normal limits.

The full commercial terms are in the Terms and Conditions.

Getting your money out

Before a first withdrawal you verify who you are: a photo of a government ID and a selfie. That is anti money laundering law and a condition of our licence, not a preference of ours.

Verification usually takes minutes. After that, withdrawals go back to the method you deposited with.

Where the answers come from

Every market names the source that settles it before you place anything: the official body or the published data that decides the outcome. If the source is ambiguous the market says so.

Before you start

Prediction markets are not savings. You can lose the whole amount you put into a position, and most people who trade will at some point.

Every account carries deposit limits, loss limits, reality checks and self exclusion. Use them. They are in Safer Play inside the app.

Read next: About versus, the frequently asked questions and the blog.

18+ only. Trade responsibly. BeGambleAware.org and GAMSTOP.