What Changed?

Before we look at what changed, let's review how most markets are resolved:

1. Something happens that triggers the need to resolve the market.

2. A proposal is submitted.

3. Users verify the proposal and decide whether or not to dispute.

4. Undisputed proposals are automatically accepted.

5. Disputed proposals enter a vote, with the full process taking up to four days.

6. The market resolves based on the accepted proposal or the voting outcome.

7. Bets are paid out.

The Current OOV2 Contract

Under OOV2, many proposals were submitted too early, often by first-time proposers, due to lack of experience, limited education, and little awareness of precedent.

This often results in the proposer losing their bond and, more importantly, stalling markets for up to four days. In an hourly market such as the price of Bitcoin, this can delay payouts, which negatively affects the Polymarket user experience.

Under OOV2, discussion before the proposal is often minimal.

The New MOOV2 Contract

Under MOOV2, only whitelisted addresses can submit proposals. When a market is ready to be proposed, users can tag whitelisted proposers on Discord to submit a proposal. Anyone can dispute.

In theory, this necessitates discussion before submission. With a smaller, more experienced group, the typical proposer is more likely to perform due diligence, reducing early proposal disputes, especially in noncontentious markets such as sports, weather, and crypto prices.

Under MOOV2, the expectation is that discussion happens before the proposal.

In noncontentious markets, whitelisted proposers might submit proposals without prior discussion. This can create assumptions of correctness based only on the whitelisted address, reducing the disputers role in verification. It can also limit the educational context from dispute discussions, making the Oracle less transparent.

Furthermore, in the event of a dispute, the proposer's greater experience could lead voters to favor a whitelisted proposer over an unknown disputer.

A Shift From Precedent

The move from OOV2 to MOOV2 also changes how the Oracle views precedent.

OOV2

Under OOV2, precedent is often raised during dispute discussions, though it can be addressed beforehand. Many disputes come from longtime UMA members challenging proposals from first-time proposers, but both dispute discussions and voting are open to the broader community.

This structure allows everyone to participate permissionlessly in all parts of the Oracle.

MOOV2

Under MOOV2, discussions and precedent would occur before the proposal. A whitelisted address would then submit the proposal while allowing anyone to dispute it.

This would in practice restrict Oracle participation, as fewer people may question whether they can or should dispute a proposal, especially given the short 2-hour challenge window. Proposers may also adhere more closely to precedent and the philosophy of the whitelisted group.

For proposals made without community consultation, the process instead works like this:

The shift from OOV2 to MOOV2 can be summarized as moving from open debates over precedent to a centralized council of proposers.

Why Does This Matter?

At first glance, the shift from OOV2 to MOOV2 appears to simply move discussions from after the proposal to before it, reducing disputes. But the change is deeper.

Under OOV2, discussions take place after disputes are raised. The 2 to 4 day period allows for a longer and more inclusive debate.

Under MOOV2, discussions happen before proposals and are often shorter, lasting minutes or hours instead of days. Debates are in turn less comprehensive.

But don't MOOV2 disputes still allow extended discussion?

Yes, but there are several concerns:

• The proposer is likely more knowledgeable than the disputer.

• The proposal may already seem settled based on earlier discussions.

• As a result, earlier discussions can be treated as precedent during disputes.

Summary

Under OOV2, anyone could submit proposals, which caused frequent disputes and delays in market resolution. MOOV2 limits proposing to whitelisted addresses, aiming to improve accuracy in noncontentious markets. This shift centralizes decision-making, shortens debates, and may discourage broader community participation. In the end, the push to reduce disputes and enhance the Polymarket user experience has resulted in a more restricted Oracle.

Coming Up

Now that we understand MOOV2, we can look at why these changes were made.