Polymarket Shifts Crypto Markets to TWAP Settlement on August 7

Polymarket replaces single-timestamp crypto settlements with TWAP starting Aug 7, adjusting windows by market duration. A $1M liquidity incentive supports the transition.

Woofun AI reports that Polymarket will update its cryptocurrency price fluctuation market settlement mechanism on August 7 to enhance fairness. Effective from 8:00 on that date, affected markets will cease using single-timestamp prices and adopt Time-Weighted Average Price (TWAP) methodology. The averaging window varies by market duration: 30 seconds for 5-minute markets, and 60 seconds for 15-minute and 4-hour markets.

To support liquidity during this transition, Polymarket is allocating an additional $1 million in incentives for all impacted markets throughout August. Testnet data for Chainlink TWAP is currently available, with the mainnet stream service scheduled for launch on August 4, 2026, enabling developers to access TWAP prices via Chainlink’s stream WebSocket.