Welcome to XO, a decentralized prediction market platform powered by Conviction Markets technology. By accessing or using XO (the “Platform”), you acknowledge that you have read, understood, and agree to be bound by these Terms of Service (“Terms”). If you do not agree with any part of these Terms, you must not use the Platform. These Terms form a binding agreement between you and the operators of XO (“we,” “us,” or “our”). XO reserves the right to update or modify these Terms at any time. We will provide notice of material changes (e.g., via the Platform or email), and continued use of the Platform after changes become effective constitutes acceptance of the updated Terms.
XO provides a globally accessible online platform for creating and trading in prediction markets on future events using cryptocurrency tokens. The Platform utilizes an automated market maker (the LS-LMSR model) to facilitate trading, and market outcomes are resolved through our hybrid AI-and-juror dispute resolution system called MODRA. XO operates as a non-custodial interface to blockchain-based smart contracts: we do not hold or control users’ funds, and all trades and outcome resolutions occur via decentralized smart contracts that you interact with using your own crypto wallet. XO itself does not act as a counterparty to any trade and does not create or own the markets; users create markets and trade at their own discretion. The Platform is provided for informational and educational purposes only, and nothing on XO constitutes financial or investment advice or an invitation to engage in any regulated or illegal activity. You acknowledge that XO is an experimental platform and that your use of the Service is at your own risk.
To use XO’s features (such as creating markets or trading), you may need to register an account or connect a crypto wallet. XO simplifies this process by using a third-party service, Privy, which provides social login and an embedded wallet solution. This allows you to sign up or log in using an existing identity provider (for example, your email or social account) and simultaneously generate a crypto wallet linked to your account. By registering via Privy, you agree to Privy’s terms and acknowledge that your wallet is provided in a secure, self-custodial manner. You are responsible for maintaining the confidentiality of your login credentials (such as your email/password or social login details) and for all activities that occur under your XO account or wallet.
The crypto wallet provided during registration (or any wallet you connect) is self-custodial, meaning you – and only you – have control of the private keys to your assets. XO never receives or stores your private keys, and we cannot access, recover, or reset your wallet if you lose your credentials. Treat your login and wallet recovery details with the same care you would your private keys. You acknowledge that any crypto assets used on the Platform remain in your custody via your wallet (or in smart contracts that you control through your wallet) at all times; XO does not take custody of user funds. We will also never ask you to transfer assets to us or share your private keys. If you lose access to your wallet (for example, by losing your password or other authentication factors), XO cannot assist in recovering your assets – loss of access may result in the permanent loss of any funds in the wallet.
You must use a strong, unique password for any account and enable any recommended security features. Notify us immediately if you suspect any unauthorized use of your account or any security breach. XO is not liable for any loss or damage arising from your failure to secure your account or wallet. You agree not to share or sell your account to anyone, and not to use another user’s account. We may require you to undergo additional verification or security steps at our discretion to ensure the integrity of the Platform (though we will not ask for invasive personal information; see Privacy Policy).
One Account Rule: Each user is generally allowed to register and use only one account, unless explicitly permitted by us in writing. Creating multiple accounts to circumvent limits, abuse promotions, or manipulate markets is prohibited.
By using XO, you agree to abide by the following rules and not engage in any prohibited activities:
XO reserves the right to investigate and enforce violations of the above rules to the fullest extent allowed by law. This can include removing or suspending markets, trades, or accounts, and cooperating with law enforcement authorities where appropriate.
Users can create prediction markets on XO by defining a clear event outcome and resolution criteria. When creating a market, you must provide accurate and unambiguous details about the question, the possible outcomes (e.g., Yes/No or multiple choice), the timeline (e.g., closing date for trading and resolution date), and the data source or method that will be used to determine the outcome. You should not create markets on events that are impossible to verify or that lack objective resolution data. XO (through its moderators or automated systems) may review new markets and has the right to refuse or de-list any market that does not meet our guidelines or that violates these Terms.
Once a market is listed, users can trade by buying or selling outcome tokens. Prices are determined by the automated market maker algorithm (LS-LMSR) based on supply and demand. Note that because XO uses an algorithmic market maker, the pricing and liquidity will fluctuate as users trade; there may be times of low liquidity or significant price slippage for large trades. All trades are executed on a peer-to-pool basis via smart contracts, and you must have sufficient crypto funds in your wallet to cover purchases or to provide liquidity if required. No order cancellations: Once a trade is executed on the blockchain, it cannot be reversed (except by normal closing of a position or selling back into the market). You should carefully review trade details before confirming any transaction. You are also responsible for paying any network (gas) fees associated with your transactions on the blockchain. XO is not responsible for any losses due to transaction errors (such as sending funds to the wrong address or trading the wrong amount).
Each market will be resolved at or after the specified outcome determination time. XO uses the MODRA (Moderated Oracle) system – a hybrid dispute resolution mechanism combining AI analysis and human jurors – to determine the correct outcome of markets. In general, when a market’s outcome becomes known, the MODRA system will gather relevant data (e.g., from trusted news sources or oracles) and propose an outcome (e.g., Yes, No, a specific value, or in some cases “Invalid” if the question resolved ambiguously or unfairly). If the outcome is clear and uncontested, the market will be settled according to that outcome automatically by the smart contract. If there is any dispute or uncertainty – for example, if users challenge the outcome or the AI cannot confidently determine it – the market may enter a dispute resolution phase where human jurors (selected from a pool of community members or an appointed arbitration panel) review the evidence and vote on the correct outcome.
By participating in XO markets, you agree that the outcome determined by the MODRA system (whether via automated means, juror vote, or a combination) is final and binding. Once the MODRA process has finalized an outcome, the smart contracts will release funds accordingly: winning outcome tokens can be redeemed for the designated payout, and losing outcome tokens will have no value. You will have no further claim to funds once distributed. If you disagree with an outcome, your recourse is limited to the internal dispute mechanism of MODRA (such as appealing within the allowed timeframe if that feature exists). You waive any right to pursue external legal action against XO or its operators to contest a market outcome – the resolution of markets is handled solely through the decentralized protocol. In rare cases, XO (or the MODRA administrators) may designate a market as “Invalid” (meaning no clear outcome or a violation in the market’s conditions) in which case all participants’ stakes may be returned as if the market never occurred; such intervention will be used sparingly and only to preserve fairness or comply with legal requirements.
XO does not guarantee that the MODRA resolution process will be error-free, and XO is not liable for any incorrect resolution, delays in resolving a market, or disputes between users about outcomes. While we strive for accurate and timely market resolutions, the outcome determination relies on third-party information sources and community arbitration, which may occasionally yield contentious results. By using XO, you accept the risk that a market could be resolved in a manner you perceive as incorrect or unfavorable. We encourage users to carefully read market descriptions, rules, and any discussions to understand how an outcome will be decided, and to only participate if you accept the outcome process.
Using the XO Platform may incur certain fees. XO may charge a small fee on trades or on liquidity provisioning within markets, and/or a fee upon settlement of markets (e.g., a percentage of winnings or a fixed fee), as a means to sustain the platform and fund the MODRA dispute resolution system. The specific fee rates and structures (such as a trading fee on each buy/sell or a settlement fee on payouts) will be clearly disclosed on the Platform (for example, on the trade execution interface or in a fee schedule page). By executing any trade or transaction on XO, you agree to pay all applicable fees, which will typically be automatically deducted by the smart contracts from your transaction proceeds or balances.
XO reserves the right to introduce new fees or adjust the fee rates from time to time. We will notify users of significant fee changes by updating the fee information on the Platform or through other communication. Fee changes will not apply retroactively to transactions already executed, but will apply to any future trades or markets after the effective date of the change. If you do not agree with a fee change, your remedy is to stop using the Platform before the new fees apply.
In addition to XO’s own fees, you understand that using the Platform involves blockchain network transaction costs (often called “gas” fees on Ethereum or other chains). These fees are not charged by XO and we have no control over their pricing – they are determined by the network’s demand. You are solely responsible for paying any such network fees when interacting with XO’s smart contracts (for example, when placing a trade, creating a market, or withdrawing funds). XO will attempt to inform you of the estimated network fee before you confirm a transaction, but it can change rapidly and the actual fee may differ. We are not liable for any differences in estimated vs actual gas costs or any inability to execute transactions due to insufficient gas.
Because XO does not hold your funds in an account, there are no account maintenance or custodial fees. Your assets remain in your own wallet or are locked in the market smart contracts. When markets resolve, payouts are available to claim directly to your wallet. It is your responsibility to claim any winnings or refunds from the smart contracts; unclaimed payouts will remain available on the contract indefinitely (unless otherwise specified by a market’s rules). XO does not charge inactivity fees or anything of that nature.
XO does not withhold or calculate any taxes for you. You are responsible for determining, reporting, and paying any taxes applicable to your use of the Platform, such as gains from successful predictions or losses. If you are unsure about your tax obligations, you should consult a tax advisor. We may provide you with a transaction history, but it is up to you to use that for tax calculations. If we are ever required by law to collect tax information from you or to report your activities to tax authorities, you agree to comply and provide necessary information (subject to our Privacy Policy). However, since XO generally does not collect personal data, we do not anticipate routine tax reporting unless laws change.
The XO website, brand, and any associated software (excluding the open-source smart contracts or content provided by users) are protected by intellectual property laws. We (or our licensors) own all rights, title, and interest in and to the Platform’s code (to the extent it is proprietary), design, logos, trademarks, and content we have created. You may not copy, modify, distribute, sell, or lease any part of our proprietary content or software, nor may you reverse engineer or attempt to extract the source code of any proprietary software, except as permitted by law or with our written permission.
The markets (questions, descriptions, comments) and other content that users create on the Platform (“User Content”) remain the property of the users who create them. However, by posting or creating content on XO, you grant us a worldwide, royalty-free, sublicensable license to use, copy, modify, display, and distribute that content as needed to operate the Platform (for example, to display it to other users, or include it in promotional materials). This license ends when you remove the content from our Platform, except that we may retain archival copies as required by law or internal record-keeping. If you provide us with suggestions or feedback about XO, you agree that we may use and implement those ideas without any compensation or obligation to you.
The Platform might display third-party content (for example, data feeds, news headlines, or user-generated market descriptions) or links to third-party websites. We do not endorse or assume responsibility for any third-party content or external sites. If you access third-party websites or services through our Platform, you do so at your own risk, and you should read their terms and policies. XO is not liable for content or practices of any third parties.
The XO Platform is provided on an “as is” and “as available” basis. To the maximum extent permitted by law, XO disclaims all warranties of any kind, whether express, implied, or statutory, including but not limited to any warranties of accuracy, reliability, availability, title, merchantability, fitness for a particular purpose, or non-infringement. We do not guarantee that the Platform will be uninterrupted, error-free, or free from hacking or security breaches. Use of XO and any content obtained through the Platform is at your own discretion and risk.
All information, content, and services provided by XO are for informational and educational purposes only. Prediction markets on XO reflect the aggregated opinions of users and not any statement of fact by XO. We do not guarantee that any probabilities, odds, or market prices on the Platform will accurately predict real-world outcomes. Past performance or odds in a market are not indicative of future results. Additionally, no content on XO constitutes professional advice (financial, investment, legal, or otherwise). You should not make financial decisions based solely on information from XO. If you need advice, you should consult a qualified professional.
XO does not owe you any fiduciary duties. The fact that you are able to trade on our Platform does not make us your broker, advisor, or agent. We do not advise on the merits of any particular trade or market, and we do not monitor your trades for suitability. You are solely responsible for evaluating your own risk tolerance and making your own decisions.
While XO uses the MODRA system to determine market outcomes, we do not warrant that this process is infallible. There may be situations where the data used by MODRA is incomplete, erroneous, or delayed, or where human jurors make decisions you disagree with. XO disclaims any responsibility for incorrect or disputed outcomes – by using the Platform, you accept that the outcome resolution mechanism is the final arbiter for markets, even if it may occasionally produce an unexpected result. We also do not guarantee that markets will resolve on time; technical issues or prolonged disputes could delay resolution and payouts.
Trading on a blockchain-based platform comes with inherent risks. XO disclaims any responsibility for:
By using XO, you acknowledge and assume all risks associated with participating in prediction markets and using a decentralized platform. These risks include, but are not limited to: the volatility of cryptocurrency markets and prediction market prices, the possibility of losing some or all of your staked tokens, the risk of erroneous outcomes or disputes, and the regulatory uncertainty around such activities. The risk of loss in trading on XO can be substantial and markets are highly speculative and volatile. You should never trade with funds you cannot afford to lose. There is also the risk that you may be subject to unfavorable exchange rate fluctuations between tokens used on XO and your local currency, or that accessing your funds could become difficult (for instance, if you lose your private keys or if certain blockchain networks are restricted in your region). By proceeding with using XO, you confirm that you understand these risks and are willing to bear them.
To the fullest extent permitted by applicable law, in no event shall XO or its developers, founders, affiliates, employees, agents, or partners be liable for: any indirect, incidental, special, consequential, or exemplary damages; or for any loss of profits, revenues, data, goodwill, or other intangible losses, arising out of or relating to your access to or use of (or inability to use) the Platform, even if we have been advised of the possibility of such damages. This limitation of liability applies to all causes of action, whether based in contract, tort, strict liability, or any other legal theory.
In jurisdictions that do not allow the exclusion or limitation of certain damages, our liability will be limited to the maximum extent permitted by law. In particular, if you are a consumer in a jurisdiction that grants you certain rights, some of the above limitations may not apply to you to the extent prohibited by law. However, in such cases, our liability will be limited to the smallest amount permitted by applicable law.
Cap on Liability: To the extent permissible by law, the total cumulative liability of XO and its affiliates for any claims arising out of or relating to the service is limited to the greater of: (a) the total fees actually received by XO from you in the six (6) months immediately preceding the event giving rise to the claim (if any), or (b) USD $100. If the laws of your jurisdiction do not allow such a cap on liability, the minimum cap allowed will apply.
You acknowledge that XO is making the Platform available free of charge or at low cost (aside from your trading losses or gas fees) and that this limitation of liability is a reasonable allocation of risk. You specifically agree that any disputes you have with or any harm you claim to suffer arising from or related to the Platform must be brought against XO only in an individual capacity, and not as a plaintiff or class member in any purported class or representative proceeding. Class action lawsuits, class-wide arbitrations, private attorney-general actions, and any other proceeding where someone acts in a representative capacity are not permitted.
You agree to indemnify, defend, and hold harmless XO, its parent, affiliates, and their respective officers, directors, employees, and agents (collectively, the “XO Parties”) from and against any and all claims, liabilities, damages, losses, and expenses (including reasonable attorneys’ fees) that arise from or relate to: (a) your use or misuse of the Platform; (b) your violation of these Terms or any applicable law or regulation; (c) your infringement or misappropriation of any third-party rights (including intellectual property or privacy rights) in connection with your use of XO; or (d) any content you create or actions you take on the Platform (including the creation of markets or disputes) that cause harm to a third party. We reserve the right to assume the exclusive defense and control of any matter otherwise subject to indemnification by you (at your expense), and you agree to cooperate with our defense of such claim. You shall not settle any such claim in a manner that imposes any obligation or liability on the XO Parties without our prior written consent.
We may suspend, restrict, or terminate your access to the Platform (including disabling your ability to create or trade markets) at any time, with or without cause, and with or without prior notice, under the following circumstances:
Where possible, we will notify you of the suspension or termination and, if appropriate, provide you an opportunity to appeal or remedy the issue (except where we are legally prohibited from doing so or if immediate action is required to protect the Platform or users). Note that due to the non-custodial nature of XO, even if your account access is terminated, you will typically retain access to your crypto assets via your own wallet; however, you may lose access to certain features of the interface or ongoing markets. In cases of serious violation, we may, in conjunction with community governance if applicable, freeze or invalidate certain market outcomes or take other on-chain remedial actions to mitigate damage (for example, pausing a market that is clearly being manipulated or is found illegal).
You may stop using XO at any time. You can disconnect your wallet and cease visiting the site. If you wish to delete or deactivate any account credentials (for example, if using a Privy login), you may follow the procedures in the account settings or contact us for assistance. Keep in mind that because XO does not store personal data, there may not be much to “delete” on our side, but we can help disassociate your email or login if needed. Any provisions of these Terms that by their nature should survive termination (such as ownership provisions, warranty disclaimers, indemnities, and limitations of liability) will survive the termination of your access or use of the Platform.
XO shall not be liable to you or any third party for any termination or suspension of your access to the Platform under these Terms. Upon termination, you remain responsible for any obligations incurred before the termination (such as paying any fees owed) and any liabilities that may have arisen from your use of the Platform.
These Terms and any dispute or claim (including non-contractual disputes or claims) arising out of or in connection with these Terms or your use of the Platform shall be governed by and construed in accordance with the laws of [Jurisdiction], without regard to its conflict of law principles. The choice of governing law is made recognizing that XO’s operations are global and decentralized; however, we select [Jurisdiction] law to provide certainty in interpreting these Terms. If you reside in a jurisdiction that mandates the application of that jurisdiction’s consumer protection or data protection laws notwithstanding this choice of law, then those laws may apply to the extent required by law.
You and XO agree that any dispute, claim, or controversy arising out of or relating to these Terms or the use of the Platform (collectively, “Disputes”) shall be resolved through final and binding arbitration, except as noted under “Exceptions to Arbitration” below. This agreement to arbitrate is intended to be broadly interpreted. By agreeing to these Terms, you are waiving your right to a trial by jury and your right to participate in a class action for all Disputes, to the fullest extent permitted by law.
If a court of competent jurisdiction finds the arbitration agreement unenforceable or if you timely opt out of arbitration, you agree that any litigation arising out of or relating to these Terms or the Platform shall be brought exclusively in the courts of [Jurisdiction and Venue]*. You and XO consent to the personal jurisdiction of such courts.
To the extent permitted by law, any claim or cause of action arising out of or related to your use of the Platform or these Terms must be filed within one (1) year after such claim or cause of action arose; otherwise, it is permanently barred. (This does not apply to users in jurisdictions that prohibit such time limit agreements.)
These Terms (along with the Privacy Policy and any other policies or guidelines incorporated by reference) constitute the entire agreement between you and XO regarding the Platform and supersede any prior agreements or understandings, whether written or oral, relating to your use of XO.
If any provision of these Terms is held to be invalid, illegal, or unenforceable by an arbitrator or court of competent jurisdiction, that provision shall be enforced to the maximum extent permissible, and the remaining provisions of these Terms will remain in full force and effect. The invalid provision shall be deemed modified to the least degree necessary to remedy the invalidity while retaining as much of the original intent as possible.
Our failure or delay in exercising any right, power, or privilege under these Terms shall not operate as a waiver thereof. A waiver of any default is not a waiver of any subsequent default. Any waiver must be explicit and in writing to be effective.
XO shall not be liable for any delays or failure in performance resulting from events or circumstances beyond our reasonable control, including acts of God, war, terrorism, natural disasters, pandemic, power or internet outages, labor disputes, or governmental actions.
You and XO are independent contractors. These Terms do not create any partnership, joint venture, agency, franchise, or employment relationship between the parties. You have no authority to make or accept any offers or representations on behalf of XO.
You may not assign or transfer any of your rights or obligations under these Terms without our prior written consent. XO may assign or transfer these Terms (including all of our rights and obligations) to an affiliate or in connection with a merger, acquisition, reorganization, or sale of all or substantially all assets, or by operation of law or otherwise. These Terms shall bind and inure to the benefit of the parties, their successors, and permitted assigns.
XO may provide notices or communications to you through the Platform (e.g., via a banner or pop-up), via email (if you have provided one), or through other reasonable means. You are responsible for keeping your contact information (such as email) current. Official notices to us should be sent via email to [contact email] and via postal mail to our registered agent or office at [physical address]. Electronic notices shall be deemed given 24 hours after the email is sent, and notices via the Platform are deemed given upon posting.
If you have any questions, concerns, or feedback about these Terms or the XO Platform, you can contact us at:
Thank you for reading our Terms of Service. By using XO, you are agreeing to these terms and helping us foster a fair and innovative prediction market community. Please trade responsibly, respect the rules, and enjoy the platform.