Narrativ - Ecosystem Docs
  1. Core Concepts
  • NARRATIV
    • What Narrativ Is
    • Choose Your Path
    • Glossary
    • FAQ
  • Core Concepts
    • System Overview
    • Data Engine
    • Market Layer
    • Incentives, Prize Pools, and FlyWheel
    • Consent and Permissions
    • Verified Identity and Bot Resistance
    • Signals and Indices
    • Data Lifecycle
  • Business (B2B)
    • Data Products Overview
    • Compliance and Permitted Use
  • Prize Pools & More
    • Prizepools and Eligibility (MDS)
  • Legal & Regulatory Framework
    • Overview
    • Data Rights
    • Global Directory
    • Regulatory FAQs
  1. Core Concepts

Market Layer

Narrativ is a data company at its core. The market layer is the mechanism that turns our signals and indices into:
time-boxed coordination (markets that resolve on objective outcomes), and
recurring incentives (fees that flow into prize pools)
It's wrapped around the data engine, not separate from it.

What the market layer is#

A system for creating time-boxed markets that resolve on index outcomes computed by the Narrativ data engine.
INFO
Markets are not just "event wagers." They can be defined on complex, multi-signal outcomes (e.g., sentiment inflections, narrative momentum regimes, behavioral shifts) that traditional platforms do not support because they lack the underlying data and computation layer.

How a market resolves#

A Narrativ market is defined by a Market Spec that includes:
ComponentDescription
Underlying indexThe resolution source
Measurement windowStart/end times, sampling interval
Resolution ruleWhat value constitutes each outcome
Methodology versionThe exact index definition used
FallbacksWhat happens if inputs are delayed or degraded
FinalizationWhen the outcome becomes final and non-reversible
This is what makes Narrativ markets "market-grade": resolution is repeatable, auditable, and explainable.

Where the value comes from#

Markets create value for Narrativ in three ways:
Liquidity and engagement
Markets make users active participants in predicting and interpreting real-world signals, which drives sustained attention and repeat interaction.
Better products over time
Market activity produces structured feedback loops: which indices matter, which windows are useful, which signals correlate with outcomes, where noise and manipulation attempt to enter. That feedback improves index design and product fit over time.
Incentives funding
A portion of market-related fees is routed into recurring prize pools, aligning market activity with user upside and data contribution.

Relationship to the data engine#

The market layer depends on the engine. The engine does not depend on markets.
LayerRole
nGressCollects inputs (managed + permissioned user data)
NexusComputes signals and indices (versioned + auditable)
Market layerReferences indices as settlement sources
This keeps markets grounded in objective resolution rather than subjective judgments or off-platform "oracles."

Market lifecycle (high level)#

Lifecycle stages explained
1.
Market created — Market Spec defined (index, window, resolution rule, methodology version)
2.
Market live — Orders and participation accepted
3.
Window closes — No new participation allowed
4.
Index computed — Methodology version locked, final value calculated
5.
Resolution + finalization — Outcome determined and made non-reversible
6.
Payouts + fees — Positions settled, fees collected
7.
Prize pools funded — Portion of fees routed to recurring prize pools, rewards accounted

Why this matters#

Most platforms can run markets. Few can produce new resolution sources.
Narrativ's advantage is that we:
generate and refine proprietary indices through a continuously improving engine
wrap those indices in a market system that creates liquidity and incentives
route a portion of fees back to users through prize pools, gated by consented data contribution
That compounding loop makes both the data products and market layer stronger as the network grows.

Notes and disclosures#

WARNING
Markets carry risk. Participation terms, eligibility, and any jurisdiction-specific restrictions are defined in the applicable product terms and risk disclosures.
TIP
For how indices are defined, see Signals and Indices.
For how rewards and eligibility work, see Incentives, Prize Pools, and Flywheel.
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