Secure Polymarket
Trade on Polymarket with privacy protection
Created on 4th December 2025
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Secure Polymarket
Trade on Polymarket with privacy protection
The problem Secure Polymarket solves
Prediction markets like Polymarket expose all trading activity on-chain. Every bet links to a wallet address, so observers can track strategies, copy trades, and front-run positions. This transparency reduces participation and market efficiency.
SecurePolymarket adds a privacy layer between users and Polymarket. Users deposit funds using cryptographic commitments that hide their identity, place bets through rotating wallet addresses that cannot be linked to deposits, and withdraw funds by proving ownership without revealing which deposit is being claimed.
The system uses commitment schemes, merkle tree nullifiers for double-spend prevention, and zero-knowledge proofs for bet validation. Platform operators cannot determine what users bet on, link withdrawals to deposits, or track trading patterns across markets.
This enables private trading on prediction markets while preserving market accuracy and liquidity.
Challenges I ran into
Real zk-SNARKs are expensive to implement. Production zk-SNARKs require trusted setup ceremonies, pairing-based cryptography libraries, and circuit compilation tools like Circom or ZoKrates. For a proof of concept, we simulated zero-knowledge proofs using SHA3-256 hashing to demonstrate the privacy guarantees without the setup costs.
Blockchain transaction costs add up quickly. Each deposit, bet placement, and withdrawal on Ethereum or Polygon requires gas fees. Testing the full system with real USDC transactions would cost hundreds of dollars in gas fees alone. We simulated the blockchain interactions while maintaining the cryptographic structure—commitments, nullifiers, and merkle trees—so the system can be deployed to real chains later.
FROST threshold signatures need distributed infrastructure. Real 3-of-5 threshold signatures require multiple independent parties managing key shares, network communication for signing rounds, and coordination protocols. We simulated the threshold signature scheme to demonstrate how distributed key management prevents single points of failure, without building the full distributed infrastructure.
Real Polymarket trading requires API credentials and funds. Placing actual bets on Polymarket requires API authentication, funded wallets, and handling real market conditions like slippage and order matching. We simulated the trading flow to demonstrate the complete user journey from deposit through betting to withdrawal, while maintaining compatibility with the Polymarket API structure for future integration.
These simulations let us demonstrate the privacy architecture and user flow without the operational costs, while keeping the code structure ready for production deployment when resources are available.
Tracks Applied (1)
Private DeFi & Trading
Zcash Community Grants
