# Risks & Disclaimer PaperMarket is a simulation tool that lets traders practice on live Polymarket data using virtual dollars.\ It is not a wallet, not an exchange and not a way to place real money bets. This page describes the main limitations of the simulation and the responsibilities of anyone who uses the app. ### No real money and no on chain execution PaperMarket never holds real USDC and never interacts with Polymarket smart contracts. * All balances in the app are virtual * All orders are simulated on the PaperMarket backend * No trades created in PaperMarket are sent to Polymarket If you decide to place real bets on Polymarket, you will do that directly on Polymarket through your own wallet and at your own risk. ### Simulation is not equal to real execution PaperMarket tries to follow the structure of Polymarket order books but it is still a simulation. Results in PaperMarket can differ from real trading on Polymarket because of * network latency between the app and the Polymarket APIs * changes in the order book that happen after the snapshot used for a simulated trade * different order sizes that would move the real market more than the simulated one A profitable track record in PaperMarket does not guarantee any profit on real Polymarket markets.\ You should treat the app as a training environment, not as proof that a strategy will work with real money. ### Dependence on Polymarket data PaperMarket reads order books, prices and market metadata from public Polymarket endpoints. If these endpoints are delayed, unavailable or changed, the app may * show outdated or incomplete data * fail to load certain markets * be unable to simulate trades correctly for a period of time The app does not control the underlying Polymarket infrastructure.\ There is no guarantee of uptime, speed or correctness of external data. ### Virtual balance and psychology risk The virtual balance and the top up feature are designed for experimentation. You can always restore your virtual cash to the starting amount while your positions and history stay in place.\ This can be useful for learning but it can also create a false sense of security if you try to copy the same behaviour on real markets. Losing virtual dollars in PaperMarket is not the same as losing real USDC on Polymarket.\ Before you trade with real funds, you should consider your own risk tolerance, position sizing and financial situation. ### No financial advice PaperMarket does not provide investment advice, trading signals or recommendations. * The app does not tell you which markets to trade * The app does not tell you when to enter or exit * Any decisions you make, even inside the simulation, are your own Nothing in this documentation and nothing in the interface should be understood as financial advice or as an offer to invest. ### Relationship to Polymarket PaperMarket uses public information and public APIs from Polymarket.\ The tool is built to help traders understand how Polymarket style markets work and to practice before placing real bets. Unless explicitly stated somewhere else, PaperMarket is an independent project.\ It does not represent Polymarket, does not speak on behalf of Polymarket and does not have access to private Polymarket accounts. Any interaction with the real Polymarket platform is between you and Polymarket and is fully outside of PaperMarket. ### Responsibility of the user By using PaperMarket you accept that * the app can contain bugs or limitations in the way it simulates trades * your virtual results may not be achievable on real markets * you are fully responsible for any real trading decisions you make later on Polymarket or anywhere else If you are not sure whether a trading decision is appropriate for you, you should consult your own independent advisers before risking real funds. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://papermarket.gitbook.io/papermarket/get-start/risks-and-disclaimer.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.