Polymarket to adopt time-weighted prices after traders exploited price manipulation flaw

Prediction market platform Polymarket is overhauling its pricing mechanism after traders exploited a vulnerability to drain millions of dollars from the platform. The flaw allowed bad actors to artificially push prices within a very short window, enabling them to profit at the expense of other users. Onchain analysts had publicly flagged the issue for months before the platform announced corrective action. Polymarket is now moving to a time-weighted average price model, which makes brief artificial price spikes far more costly and difficult to execute profitably.