> For the complete documentation index, see [llms.txt](https://polymarketguide.gitbook.io/polymarketguide/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://polymarketguide.gitbook.io/polymarketguide/trading/rewards.md).

# Rewards

Polymarket offers two types of trading rewards. 

### Liquidity Rewards

**Some markets offer rewards** to traders who **post limit orders** that meet the **spread** and **size criteria**.

*Example*: In *Will JD Vance be the Presidential Election Winner 2028?*, placing a limit order of 200 shares within ±3¢ of the midpoint qualifies for rewards.

There are four key parts to rewards:

* **Rewards:** Total amount Polymarket distributes over 24 hours to eligible limit orders.
* **Midpoint:** The average of the highest bid and lowest ask. \
  \&#xNAN;*Example*: If the bid is 40¢ and the ask is 60¢, the midpoint is 50¢.
* **Max Spread:** The qualifying price range around the midpoint. \
  \&#xNAN;*Example*: If the midpoint is 50¢ and the max spread is ±5¢, orders between 45¢ and 55¢ qualify.
* **Minimum Shares:** The smallest order size that qualifies; orders below this amount do not earn rewards.

<figure><img src="/files/ldjwbkyCgGAavDHW9SUO" alt=""><figcaption></figcaption></figure>

You can find eligible markets in the [Rewards](https://polymarket.com/rewards) page. You can also check the [reward formula](https://docs.polymarket.com/developers/rewards/overview) for more details.

<figure><img src="/files/X3EaqTBrC6B7PDJcWe1c" alt=""><figcaption></figcaption></figure>

### Holding Rewards

Polymarket provides **4% APY (annual percentage yield)** on eligible market positions. Interest is calculated and paid out daily. Rates are subject to change. For full details, see [Holding Rewards](https://docs.polymarket.com/polymarket-learn/trading/holding-rewards).

*Examples*: *Presidential Election Winner 2028*, *Which party wins 2028 US Presidential Election?*, *Zelenskyy out as Ukraine president before 2027?*

<figure><img src="/files/CnJPi1CJ2UZ0ONx7FDtc" alt=""><figcaption></figcaption></figure>

You can find all active markets with holding rewards in the **Earn 4%** **tab**.

<figure><img src="/files/7Z93AwY6YC8EbADen4JX" alt=""><figcaption></figcaption></figure>