Polymarket Trading Bot V2

A high-performance Rust trading bot for Polymarket prediction markets. Trades 15-minute and 5-minute price markets using limit orders, trailing stops, and hedge strategies.

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Table of Contents

• Features
• Architecture
• Prerequisites
• Quick Start
• CLOB SDK Setup
• Bot Strategies
• Configuration
• Test Utilities
• Security
• Support

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Demo: [Watch the bot in action]

Poly-rust-bot.mp4

Features

Feature	Description
Dual Limit Same-Size	Place Up/Down limit buys at $0.45 at market start; hedge with market buy if only one fills
2-min / 4-min / Early / Standard Hedge	Time-based and price-based hedge triggers with trailing stop
5-Minute BTC Bot	Specialized for BTC 5-minute markets with dual time windows
Trailing Bot	Wait for price < 0.45, then trail with stop loss and trailing stop
Backtest	Replay strategy on historical price data
Simulation Mode	Test with live prices without placing real orders

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Architecture

Polymarket-Trading-Bot-Rust/
├── src/
│   ├── api.rs          # Polymarket CLOB API client
│   ├── monitor.rs      # Market price monitoring
│   ├── trader.rs       # Order execution & hedge logic
│   ├── simulation.rs    # Simulation engine
│   └── bin/            # Executable entry points
│       ├── main_dual_limit_045_same_size.rs   # Default bot
│       ├── main_dual_limit_045_5m_btc.rs      # BTC 5-min bot
│       ├── main_trailing.rs                    # Trailing bot
│       └── backtest.rs                         # Backtest runner
├── config.json         # API keys & trading params (create from config.example.json)
└── history/            # Price history for backtesting

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Prerequisites

• Rust 1.70+ — Install via rustup
• Polymarket API — API key, secret, passphrase from Polymarket
• Polygon wallet — Private key with USDC for trading
• CLOB SDK — Shared library for authentication (see below)

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Quick Start

# 1. Clone and build
git clone <repo-url>
cargo build --release

# 2. Configure
cp config.example.json config.json
# Edit config.json with your API keys and trading params

# 3. Run in simulation (no real orders)
cargo run -- --simulation

# 4. Run in production
cargo run -- --no-simulation

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Bot Strategies

1. Dual Limit Same-Size (Default)

Binary: main_dual_limit_045_same_size

At market start, places limit buys for BTC, ETH, SOL, and XRP Up/Down at $0.45. If both fill → done. If only one fills, hedges by buying the unfilled side at market (2-min trailing, 4-min, early, or standard hedge).

Low-price exit: After 10 minutes, if one side bid < 0.10, places limit sells at $0.05/$0.99 (or $0.02/$0.99 when hedge price < 0.60).

cargo run -- --simulation      # Simulation
cargo run -- --no-simulation  # Production

2. Dual Limit 5-Minute BTC

Binary: main_dual_limit_045_5m_btc

Same dual-limit logic for BTC 5-minute markets only. Uses 2-min (2–3 min) and 3-min (≥3 min) windows with trailing stop.

cargo run --bin main_dual_limit_045_5m_btc -- --simulation

3. Trailing Bot

Binary: main_trailing

Waits until one token's price is under $0.45, then trails with stop loss and trailing stop on the opposite side.

cargo run --bin main_trailing -- --simulation

4. Backtest

Binary: backtest

Replays strategy on history/market_*_prices.toml files.

cargo run --bin backtest -- --backtest

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Configuration

Option	Description
--config <path>	Config file (default: config.json)
--simulation	No real orders, live prices only
--no-simulation	Production mode, real orders
--history-file <name>	Replay from specific history file

Config structure:

{
  "polymarket": {
    "gamma_api_url": "https://gamma-api.polymarket.com",
    "clob_api_url": "https://clob.polymarket.com",
    "api_key": "...",
    "api_secret": "...",
    "api_passphrase": "...",
    "private_key": "0x...",
    "proxy_wallet_address": "0x...",
    "signature_type": 2
  },
  "trading": {
    "check_interval_ms": 500,
    "dual_limit_price": 0.45,
    "dual_limit_shares": 10,
    "enable_btc_trading": true,
    "enable_eth_trading": false,
    "dual_limit_hedge_after_minutes": 10,
    "dual_limit_hedge_price": 0.85,
    "trailing_stop_point": 0.02
  }
}

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Test Utilities

Binary	Purpose
test_allowance	Check balance, set approval (--approve-only, --list)
test_limit_order	Place limit order (--price-cents 60 --shares 10)
test_redeem	List/redeem winning tokens (--list, --redeem-all)
test_merge	Merge complete sets to USDC
test_sell	Test market sell
test_predict_fun	Test prediction logic

One-time approval (required before selling):

cargo run --bin test_allowance -- --approve-only

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Security

• Never commit config.json with real keys
• Use simulation and small sizes when testing
• Store keys in environment variables or secure vaults
• Monitor logs and balances in production