CTF merge — burn a complete set for $1.00 pUSD

Merge

Burn a complete set of outcome tokens and receive $1.00 of pUSD.

Definition

A CTF merge is the Conditional Token Framework operation that takes a full set of complementary outcome tokens (one token for every outcome in a market) and converts them back into their underlying payer: $1.00 of pUSD per set. In practice, you call merge to unwind a complete set you previously created with a split, returning the pUSD used to mint the set.

In context on Polymarket

You encounter "merge" when managing CTF positions on Polymarket. Typical workflows:

Split: you spend $1.00 of pUSD to mint a complete set of outcome tokens before trading individual legs.
Trade: you buy and sell outcome tokens on the CLOB while holding other legs as needed.
Merge: if you still hold a complete set and want your pUSD back before resolution, you perform a merge to burn the set and receive $1.00 of pUSD.

Merge is the inverse of split and is especially useful for unwinding a position when you no longer want exposure to any outcome but prefer to reclaim pUSD immediately rather than waiting for resolution. Note that if the market has already resolved or is in dispute, you will instead use redeem on the winning tokens once UMA finalises the outcome.

Operational notes

Tokens: Outcome tokens are ERC-1155 tokens under the Gnosis CTF. A merge burns one unit of each outcome token in a set.
Currency: The returned asset is pUSD (Polymarket's wrapped USDC on Polygon).
Timing: Merge is an on-chain operation handled via Polymarket's Relayer; users experience gasless transactions but must account for any platform processing time.

Related terms