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What is the liquidity pool?

The liquidity in a market is the amount of capital available for traders to trade against. Markets with more liquidity are typically more trustworthy.

The greater the liquidity, the harder it is to shift the probability.
- This allows users to bet more mana to move the probability to where they want it.
- Increases room for profit and the incentive to bet.
- Makes it more difficult for one individual to temporarily skew the probability with a big bet.
All markets start with some liquidity from the cost of creating a market. The entirety of the initial cost goes towards liquidity. Some types of markets cost more due to requiring a higher amount of liquidity to function well.
Markets automatically increase in liquidity as more users trade on them.

How do I subsidise a market?

Creators of new markets by default subsidise the market liquidity pool with M$50.
In addition to this, anyone can add additional liquidity to markets. Click the (…) above the graph of the market.
Free response markets cannot be subsidised (sometimes people will provide an incorrect answer and call it ANTE to add extra mana to be won).

How much mana will I get back from subsidising a market?

You can always expect to lose some mana from subsidising a market.
Liquidity providers cannot withdraw the mana they have spent to subsidise a market, however, they will receive back some of their mana when the market resolves.
The amount of mana you will get back depends on how much the probability has moved from when you subsidised the market. The more it has moved, the less you will get back.

How is new liquidity added to a market?

People used to abuse subsidising markets to increase their profit graph by first subsidising a market, then making their prediction, and then withdrawing their subsidy.

To combat this, you can no longer withdraw mana used to subsidise markets. Additionally, whenever a market is subsidised (either by a user or by the house), it is slowly and randomly added over a period of time.