Risk · Part of the handbook

Paper mode and risk limits for Polymarket bots

The difference between a bot and a liability is usually not the signal — it is whether you can stop the loop when the book, the path, or the fee model looks wrong.

Paper mode is not optional

Paper mode runs against live or realistic market data without sending live orders. A canary test sends real orders with small size and still risks capital.

  • Replay or live data with fee math on
  • Same path you will trade (US vs International)
  • Same kill-switch rules you will use live

Risk limits that actually fire

ControlWhat it prevents
Max size / max open riskOne bug becoming full account risk
Max loss / drawdown killA bad day becoming a bad month
Stale data killTrading on a dead WebSocket
Fee floor checkEdge that only exists without Θ
Manual haltYou can stop it without SSH archaeology

Operator sequence

  1. Route correctly — US vs International
  2. Model fees inside the loop
  3. Paper until the kill switches fire when you expect them to
  4. Go live at canary size — not “full size because paper looked fine”

Diligence any vendor against this list — see best Polymarket trading bots.

The planned Bot for Polymarket builder is intended to include paper mode and risk limits. Join the waitlist for product updates.

Paper-mode definition and product status clarified October 7, 2026

Product waitlist

Follow Bot for Polymarket

Get updates on our planned no-code bot for Polymarket. Join with an email; no wallet connection or trading keys needed.

More guides

We use your email for the updates you request. Privacy policy.