// GLOSSARY

CLOB (central limit order book)

A central limit order book matches buyers and sellers by price-time priority. Polymarket runs a CLOB with off-chain matching and on-chain settlement; Kalshi runs a traditional exchange CLOB.

A CLOB collects all resting limit orders in one book and matches incoming orders against them by price-time priority — the standard structure of every serious exchange, as opposed to AMMs (automated market makers) common elsewhere in crypto.

Why it matters for prediction markets

Polymarket moved from an AMM to a CLOB years ago: orders are signed EIP-712 messages, matched off-chain by the operator, settled on-chain on Polygon. Kalshi has always been a regulated exchange CLOB. Practically, this means both venues reward the same skills — reading the book, working orders, earning maker pricing instead of crossing the spread.