CFD Abstraction

Multiply’s leveraged prediction market design.

Multiply implements a Contract for Difference abstraction to deliver leveraged directional exposure on prediction markets without requiring users to manage collateral, custody, or cross venue settlement themselves. Positions are represented onchain as synthetic instruments whose value references external market prices, while margining, PnL, and settlement remain fully native to Solana.

Each position follows a bounded synthetic payoff:

CFD PnL=(Pnow−Pentry)×Leverage×Size, bounded by the 0 → 1 settlement range of the underlying prediction market.

where prices reference external market quotes and outcomes are constrained by the 0 to 1 settlement range of binary contracts. This bounded structure allows leverage to be offered in a controlled way, with deterministic maximum loss and well defined liquidation behavior.

While positions are synthetic, Multiply maintains a continuous mapping between onchain exposure and equivalent market participation. For every trade, the protocol tracks effective notional, implied share exposure, and venue attribution. This data can be surfaced to terminals for leaderboards, activity feeds, and incentive programs, and preserved for downstream reconciliation.

From the perspective of the ecosystem, Multiply acts as an aggregation and risk management layer rather than a replacement trading surface. Synthetic exposure is derived from, and continuously priced off, live venue markets, and hedging activity flows back to underlying venues during hedgeable periods. Terminals retain full control of the user relationship and experience, while Multiply handles leverage, margining, and risk internally. Users obtain the economic effect of leveraged exposure, with all collateral, PnL, and settlement managed onchain in a single environment.