Schock Market differs from traditional markets in a number of ways.  This page reveals details of our markets.

All participation is subject to the Market Rules, available 


Upon registering at Schock Market, participants receive a reserve account with complimentary default reserve value of $100,000.  This $100,000 is “play money” and has no value outside Schock Market. 

Like a board game, participants use this play money to bid on claims and keep track of their projected payouts at Schock Market.  

There is no way to lose this play money.  (Even if you did, you would not owe anyone, anything.) 

This play money serves to democratize the site by allowing every citizen an opportunity to participate at Schock Market. 

Additional play money may be acquired by purchasing window decals at  These decals help prevent wild birds from striking windows.  One envelope ($6.95) secures $10,000 in additional funds for your Schock Market account.  The maximum account value for an individual is $5 million.


Participants bid on claims by using funds from their reserve account.   

When a participant secures a claim, the cost of the participant’s bid is deducted from his or her reserve account.  Once the participant’s reserve account is depleted, the participant may not bid on any more claims. 


Participants secure claims through the application of two variables:

                - Bid price

                - Time on claim

To successfully make claims, participants must have a winning bid.  Winning bids are a combination of the participant's bid price and the participant’s time on claim (see Time below).  This combination of bid price and time is called engagement value.


Participants at Schock Market bid on claims.  Once you secure a claim, time starts to accumulate on your claim.  

For this reason, claims at Schock Market are arranged as if on a ladder.  Here is an example:

Rank:     Participant:     Bid Ticks:     (A tick is 5 minutes of time)

1            A       $500 100

2            B       $400 100

3            D       $200 75

4            C       $200 50

Note that participant D and C have both bid $200, but participant D enjoys a higher rank.  This is because participant D entered the market earlier and has accumulated more time than participant C.

Just like the American West, the earlier you secure a claim, the better.


There are a limited number of claims in each market.  If you have a position at the bottom of the ladder, you can be bumped off the ladder by another participant offering more for your claim.  We call this getting “benched.”

If you get benched, you lose your claim.  The good news is the entire amount you bid is returned to your account and you keep all of the time you accumulated on the claim. 

For example, if participant C above gets benched, that participant gets $200 back and keeps 50 ticks.  Participant C can now return to the market, place a higher bid, and apply the 50 ticks to the new bid. (A bid starting with 50 ticks is stronger than a bid starting with 0 ticks.)

In this manner, you may secure a claim and get benched, secure a second claim and get benched again.  And this is okay, because each step of the way you are accumulating more time in the market. The more time you accumulate in a market, the bigger your potential payout.


Schock Market is designed to reveal the market value of proposed public/private partnerships.  If we multiply the number of claims in a market, times the bid price per claim, we get this total market value. 

As participants compete for claims, the total market value rises.  

Now, imagine we have a market proposing the sale of advertising space, on the wing tags of California Condors.  Imagine the total market value (total claims X bid price per claim) rises to $21 million. At this point, the market is paused.

The next step is to have corporations bid on the wing tags.  Imagine the winning bid is $20 million.

Note that our exploratory phase predicted a market value of $21 million, but in the following qualified phase, the winning bid was only $20 million.

In this case, participants in the exploratory phase that bid between $1 and $20 million, receive a payout.  Participants that bid over $20 million, do not receive a payout.

In sum, participants that bid too high risk becoming ineligible for a payout; they risk falling off the top of the ladder.

(Learn more, below in Proposed Payouts, Ineligible Payouts, and Final Payouts.)


When a claim is benched, the participant’s bid price or cost for that claim is returned to the participant’s reserve account.  There is no capital gain or loss on the transaction and it is not a taxable event. 

When a claim is benched, a participant's accrued time for the claim is recorded and stored in his or her time bank for later use, in that same market. 

If this participant seeks to make a new claim in the same market, time from the time bank will be automatically applied from a benched claim to the new claim, on a one for one basis.  Benched claims, with the most time, are first to be applied to the new claim.  

The participant does not have control over this application of time.  It is applied automatically, on every claim. If time from a benched claim has been applied to the transaction, that time is deducted from the participant’s time bank and applied to the new claim.  If a participant does not have accrued time available in his or her time bank, then the participant must compete on the basis of bid price alone—with no time added to his or her bid.  

Once a claim is secured, time begins to accrue on that claim.  So, a claim may have been held for only 5 minutes, but may have also been assigned 1,000 minutes from the time bank.  In this case, the total time on the new claim would be 1,005 minutes. 

In this manner, time is not a credit to be expended only once by market participants.  Time is instead a measure of status for a participant: 

a) Participants with longstanding claims may enjoy an improving engagement value due to the accrual of time on their claims and if so, are more difficult to displace within the market. 

b) Participants with longstanding claims, that have been benched, may turn around and use time from these benched claims to secure new claims.  These claims may be secured at a lower price than other participants with less or no time to add to their bids.  


Claims accrue time from the moment of purchase to the moment of being benched or cancelled (see Benching and Cancelling claims below).  Time is accrued in increments specified by the claim market and is applied on a per claim basis.  For example, time may accrue in 5 minute increments, on each claim. We call these increments “ticks.” 

Because time changes, the engagement value of a claim will change incrementally with every incremental change in time.  For example, if a market were to become static over a period of time, with no new participants and no new claims, the engagement value of existing claims would continue to evolve as a function of time.  In some instances, this could cause existing participants to trade rungs on the ladder. (In this scenario, high priced bids that began with little or no time gain ground on low priced bids that began with high assigned time.)  

Time for the individual participant is represented as a percent of time relative to other claim holders. When compared against other claim holders, an individual participant might have, for example, 5% or 10% of total time in the market.   

Time for the entire market is capped as a percent of engagement value.  So a market might be assigned an engagement formula where bid price is weighted at 95% of engagement value and time is weighted at 5%.  

Claim markets can be designed to more heavily weigh auction outcomes or more heavily weigh claim outcomes simply by changing this time variable in our market calculations.  For example, a market weighted at 90% bid price and 10% time is skewed towards an auction outcome. By contrast, a market weighted at 10% bid price and 90% time is skewed towards a claim outcome. 

Changing this formula can lead to different outcomes for a market in terms of funds raised and/or the mix of winning claim holders. 


Participants may cancel their claims at any time.    

When a claim is cancelled, the participant’s bid price or cost for that claim is returned to the participant by replenishing the participant’s reserve account.  There is no capital gain or loss on the transaction and it is not a taxable event. 

When a claim is cancelled, a participant's time for the claim is forfeited.  The forfeit applies to both time assigned to the claim from the time bank and time accrued on the claim.  

Cancelled claims revert to the market’s cancelled claims account.  These claims have now lost their accrued time and do not accrue additional time while in the cancelled claims account.  

Cancelled claims are automatically priced (bid price alone, with no time added) such that their engagement value falls below the market claim with the lowest engagement value.  This feature facilitates rapid clearing of the cancelled claims account. 

Participants may cancel a single claim or all claims within a market.  If a participant chooses, instead, to cancel a portion of claims held in a market, the participant cannot selectively choose which claims to cancel.  Instead, the trading platform automatically cancels those claims with the lowest engagement value.  Quite often, this translates into participants having to keep with their higher priced (and perhaps overpriced) claims.  This feature encourages disciplined bidding by participants and corresponding, reasonable market valuations. 

Participants may cancel claims by visiting the My Claims page and selecting the Portfolio by Symbol tab.  


In a traditional auction, the face value of a bid is an accurate representation of the value of that bid. For example, a $5,000 bid for a painting has a value to buyer and seller of just that, $5,000. 

1) In a claim market, the bid amount reflects only a portion of the face value with time providing additional value for the claim. 

2) The value of time can vary widely with the overall valuation of a claim market. Here is an example (for simplicity, we calculate engagement value using dollar amounts instead of the percent values found on our website): 

Imagine two markets, Market 1 and Market 2, each weighted at 95% bid and 5% time. 

Participant A holds a claim in Market 1, with a bid of $10 and 10% of the time in the market. Market 1 has a total market value of $100. In this case, the value of the participant’s time is $0.50 ($100 market value x .05 time cap x .10 participant’s time = $0.50). To bench participant A in Market 1 will require an engagement value greater than $10.50

Participant B holds a claim in Market 2, with a bid of $10 and 10% of the time in the market. Market 2 has a total market value of $1,000. In this case, the value of the participant’s time is $5.00 ($1,000 market value x .05 time cap x .10 participant’s time = $5.00). To bench participant B in Market 2 will require an engagement value greater than $15.00

To recap, two participants with identical bids and percentage of time in their respective markets, may hold claims with very different values depending on overall market valuation. 

3) The value of time is influenced by additional forces, other than market valuation.  For example, the value of a benched participant’s time will erode as time continues to accrue on active claims throughout the market.  We call this time inflation for benched claims.  On the other hand, cancelled claims remove accrued time from a market and thus improve the value of both benched and active claims. 

In sum, the face value of a bid does not reflect the value of the claim secured by that bid.  The value of a claim is impacted by bid price, time, market valuation, time inflation, and cancellation of claims.  


Markets begin with all claims held in the market’s opening claims account.  The market creator designates the number of claims for the market.  These claims open at a minimum price set by the market creator. 

In some instances, unsold opening claims may be present when existing claims are cancelled.  If so, the cancelled claims are priced to match the opening claims and the cancelled claims will clear first when a new participant seeks to make a claim. 


Claim markets allow participants, the media, the general public, governing authorities, and others to suggest market refinements.  These refinements may be incorporated in the market by the market creator.  Claim markets may be refined in any number of ways.  

Participants in a claim market have an opportunity to vote up or down on suggested refinements.  Presumably, market creators would pay attention to suggested refinements with the highest number of positive votes, but this is not required.  Market creators may choose to refine their market in any way they see fit. 

Markets may be paused for introduction, edit, or removal of a refinement.  Refinements may also be made while the market is being actively traded.  

A record of any changes made to a claim market, including implemented refinements, may be found on the Market News tab. 


Claim markets consist of the following statuses: 



       - OPEN

       - PAUSED


       - CLOSED 

UNDER CONSTRUCTION markets are closed to the public and may only be viewed by the market creator and others authorized by the market creator and Schock Market.  This status is used by the market creator to design his or her proposal prior to the claim market being viewable to the public. 

PENDING OPEN markets are in the process of opening for the first time.  This status is initiated by the market creator and lasts one trading day.  It is a time for promotion by the market creator and a time for review by Schock Market staff.  During this period, no change or refinement may be made to the market by the market creator. 

In some instances, pending open markets may encounter an unforeseen or problematic issue and may be returned to under construction status by Schock Market staff. 

OPEN markets are open to participants and may be actively traded.  Markets may also be refined during this status. 

PAUSED markets have been paused by Schock Market staff or the market creator.  This status allows participants, the media, the public, and others time to digest recent developments such as market refinements or legal questions, before resumption of trading. 

PENDING CLOSE markets are in the process of closing.  This status is initiated by the market creator and lasts an initial five trading days.  It is a time for final promotion by the market creator and a time for review by Schock Market staff.  During this period, no change or refinement may be made to the market by the market creator. Once the initial five trading days are over, the closing window begins.  

Claim markets close within an established closing window (2, 3, 4, or 5 trading days after the pending close) on a surprise, computer-generated day. The exact closing day is unknown (i.e. June 29, 2019) to participants, the market creator, the media, the public, and governing authorities prior to close.  While the closing day is unknown, the closing time will always be 11:59PM in the market time zone.  

Claim markets are designed to reveal price and stakeholders.  By utilizing an unknown day to finish, claim markets encourage participants to reveal their identity and bids well in advance of the market closing.  This facilitates price and stakeholder discovery (see Economic Mechanisms page). 

CLOSED markets are closed.  Historical information such as trading data, suggested refinements, and more may remain available to participants and the public. 



Claim markets may be launched by authorized officials within an institution seeking reform of that institution.  We call these endorsed markets.  Endorsed markets enjoy the advantage of being sponsored by those with authority to implement the market.  

Alternatively, claim markets may be launched by unauthorized individuals or those outside an institution.  We call these activist markets.  Activist markets enjoy the opportunity to challenge the status-quo, but risk being rejected by those with authority to implement the market. 


Schock Market sorts markets by the general theme of the market, such as but not limited to:  education, environment, state government, local government, and new project.  


Claim markets are designed to unfold in phases: 

Exploratory Phase:

Proposals may begin as an exploratory market.  An exploratory market represents a preliminary concept that will be refined and improved over time.  

Exploratory markets may be structured with a high claim count to accommodate a high number of participants.  These markets are designed to obtain input from participants, the media, regulators, existing stakeholders, and concerned citizens.  Trading data provides additional information.  

This information is used to revise and redraft specifics of the market to overcome legal, financial, and political obstacles as they are discovered.  

Exploratory markets may be run for a period of weeks or months.  Once the market creator is satisfied that an exploratory market has achieved its potential, the market is closed. 

(Some participants may refer to exploratory markets as the “citizen phase.”) 

Qualified Phase:

Once the exploratory phase has closed, the proposal may be re-launched as a qualified market

A qualified market offers a refined proposal with specific legal guidelines and steps for implementation.  A qualified market is not designed to explore a concept; it is designed to implement a plan. 

Qualified markets may be structured with a low claim count.  A low claim count often makes it easier for governing authorities to monitor, approve, and implement a market.  

For example, a city might seek to privatize its water treatment plant with one contractor chosen to manage the plant.  In this case, the city would complete the bidding process using a qualified market with only one claim (one winning bidder). 

Qualified markets may be run for a period of weeks or months.  Once the market creator is satisfied that a qualified market has achieved its potential, the market is closed. 

(Some participants may refer to qualified phase as the “corporate phase.”) 

Implementation Phase:

Once an exploratory or qualified market has closed, governing officials may choose of their own accord to implement the market. 

If governing authorities fail to implement the market, the market creator may choose to launch a voter initiative as a possible path to implementation.

Recap of Phases:

Exploratory markets are designed to accommodate thousands of citizen participants.  Claims in these markets are often priced in the hundreds or thousands of dollars. 

Exploratory markets provide broad instructions for implementation.  Governing authorities manage and decide the remaining details. 

Qualified markets are designed to accommodate relatively few, corporate participants.  Claims in these markets might be priced in the millions or even billions of dollars. 

Qualified markets provide specific instructions for implementation.  Governing authorities manage and decide few, if any, remaining details. 

Market creators may seek implementation by the following paths:

-      Exploratory market > Implementation.

-      Exploratory market > Qualified market > Implementation.

-      Qualified market > Implementation 


Some qualified market may require bids in the millions, even billions, of dollars. To participate in such a market, a participant (likely a corporation or institution) will require a reserve value that has been revised upward.

In these situations, qualified participants are allowed to increase their reserve value to an amount equal to 50% of their corporate or institutional balance sheet equity.  

Participants may request a revised reserve value by clicking the Update Financials button found on the My Profile page.  

Note: A revised reserve value assigned to any participant is based upon a financial snapshot that is dated by the time it arrives at Schock Market. A participant’s net worth is an inherently subjective value, one for which it is difficult to obtain complete data, and one subject to fluctuating market values. For these reasons, the revised reserve value assigned to participants at Schock Market will always be inaccurate, to a degree.  Schock Market reserves the right, for any reason whatsoever, to decline a participant’s request for a revised reserve value. 


To encourage market participation and feedback, participants in exploratory markets may be provided with a proposed payout.  Claims priced at or below the final qualified market value are eligible for a payout.  Claims that overbid the final qualified market value are not eligible for a payout. 

The specific payout value is determined by each participant’s accrued time, on claims at or below the final qualified market value. 

A typical payout might be 2%.  Imagine an exploratory market that later finalizes as a $10 million qualified market.  If 100 participants in the exploratory market are eligible for a payout, their average payout would be $2,000 each. 

Corporate participants in qualified markets also accrue time.  This time assists them with securing claims and winning markets outright.  It does not, however, provide them with a payout. 


The public sector represents a risk-averse environment.  Taxpayers, regulators, the media, and others expect public monies to be spent in a responsible manner.  Prudence takes precedence over risk. 

Claim markets that interface with the public sector must accommodate conservative expectations.  For this reason, our claim markets are designed (but not guaranteed) to understate potential savings for taxpayers and payouts for participants. 

We attempt to achieve this by creating ineligibility for participants that overbid markets.  Here is how: 

1) To be eligible for payout, participants in an exploratory market must not overbid the following qualified market.  

Before securing claims in the exploratory market, participants are encouraged to complete the following calculation: 

Participant’s bid amount x total available claims in the market = theoretical market value 

For example:  $50 bid x 100,000 total available claims in the market = $5 million projected market value. 

In this example, if the qualified market achieves a final valuation of $5 million, participants that secured claims for $50 or less are eligible for a payout.  

Participants that secured claims for more than $50 are not eligible for a payout. 

2) In many instances, participants will have their claim benched and then successfully roll time from the benched claim into a new claim.  This may occur numerous times with the final claim containing accumulated time from multiple claims preceding it. If the participant’s final claim overbids the qualified market, all of the accumulated time resident on the final claim is ineligible for payout. 

In short, a participant may trade successfully over a period of days or months, garnering valuable time in an exploratory market, and then lose his or her entire payout with an ill-advised, excessive bid in the final moments of the exploratory market. 

The ideal outcome for claim markets involving the public sector, is one in which the value of exploratory markets tops out below that of the qualified market.  In this manner, claim markets provide taxpayers, regulators, the media, etc. with conservative price predictions. 


An implemented market is one in which a governing authority implements, in part or in whole, the property, participatory, or other rights proposed by that market.  This implementation takes place outside the confines of Schock Market (see How Our Markets Close and Reach Completion below). 

The implemented market value is the value achieved by the market once it has been implemented by governing authorities.  

For example, an exploratory market might seek to predict the savings, that could be achieved by a county selling its landfill to a corporation specializing in waste management.  The exploratory market might predict a sale price of $10 million.  

A following qualified market might achieve a sale price of $10.5 million.  County commissioners might choose to rebid the project, to comply with local laws, and in doing so achieve a sale price of $11 million.

In this case, the implemented market value is $11 million.


In pursuit of simplicity, Schock Market asks that proposed payouts to be based on the final valuation of qualified markets.

In some instances, due to unforeseen legal or regulatory or other obstacle, the implemented market value may differ substantially from the preceding qualified market value.  In this case, Schock Market may choose to make a good faith effort to arrange a revised payout between exploratory participants and the winning corporate bidder(s) in hopes of maximizing value for all participants.

Finally, Schock Market cannot compel winning corporate bidders to pay proposed payouts; corporate bidders will pay only if they, of their own free will, agree to the proposal.  Typically, corporate bidders have an interest in participating in additional and future markets at Schock Market and for this reason seek to meet the expectations of exploratory participants by completing payouts.  But, Schock Market can guarantee such will be the case or that any proposed payout will ever be paid.


Schock Market reserves the right to assign a lower credit rating, at any time, with or without notice, to any participant for any reason Schock Market deems reasonable. 


Exploratory participants may have their credit ranking lowered if they consistently or willfully overbid markets. 


Qualified participants may have their credit ranking lowered if they renege on claims made in markets later implemented by governing authorities.  For example, imagine a qualified market is used as a final bidding tool for privatization of a city water treatment plant.   

If a winning bidder fails to abide by the proposal, provided by the qualified market, Schock Market may choose to penalize the participant by reducing their credit at Schock Market.  The credit reduction may be proportional to (or exceed) the amount reserved (not counting time) divided by the participant’s reserve value. If a participant participateed 10% of his or her reserve value in the claim market and then failed to follow through on his or her bid, then the participant’s credit rating may be dropped by 10%, from 100 to 90 percent of reserve value.  

Credit recovery may follow an identical procedure, except the credit gain may be divided by 2 (or other denominator) as a means of slowing credit ascent.  For example, if a participant with credit rating of 50 percent of reserve value were to bid his entire reserve value on a qualified market and then make good on that claim in the implemented market, his credit rating may improve from 50 to 100, a gain of 50 percentage points, but then divided by 2 resulting in a new credit rating of only 75 percent of reserve value. 

A participant’s credit rating has a proportional impact on the participant’s reserve account.  For example, a participant with reserve value of $5 million and credit rating of 90% may only participate $4.5 million in claim markets. 

Credit ratings encourage participants to be disciplined in their choice of claims.  Exploratory participants should make a good faith effort to not overbid the market. Qualified participants should bid with the intention of making good on their bids, with real monies, should the market be implemented.     

In some cases, an abruptly lowered credit rating may result in a participant being over reserved.  If so, Schock Market may rely on benching to naturally bring the participant back in line with his or her credit ranking. Schock Market may also choose to take additional steps in order to bring the participant’s claims back in line with his or her credit ranking, including Schock Market itself cancelling all or a portion of that participant’s claims. 


Participants may participate up to, but not in excess of their assigned reserve value.  Securing claims on margin is not allowed at Schock Market.  


Participants do not experience monetary gain, loss, or tax liability when trading at Schock Market.  If a participant receives a payout, that payout occurs at a later date outside the confines of Schock Market. 


If a claim market is successful, by any parameter chosen by the market creator, the market creator may close the market.  

Once a successful market is closed, the winning claim holders are announced in conjunction with the final parameters of the claim market.  At this time, responsibility for the claim market transfers from Schock Market to the market creator, participants, governing authorities, and/or any other stakeholders defined by the claim market such as activists, voters, elected office holders, contractors, or other. 

These persons or entities are then responsible for crafting any necessary legal agreements affecting the implementation of the claim market, in whole or in part, and to arrange for the completion of any transaction and exchange of funds for such. 


Participants in an exploratory market (typically citizens) seek to accrue time and earn a payout.  If the market is implemented by governing authorities, the winning contractor is typically responsible for funding the payout.  A typical payout might be 1% of implemented market value for exploratory participants, .5% for the market creator, and .5% for Schock Market. 


Participants in a qualified market (typically corporations) seek to win the market outright—just like a normal bid or auction.  If a participant has made claims totaling $50,000 in a qualified market, that participant is then expected to participate with $50,000 in real money, in the implemented market. 

If the qualified market is preceded by an exploratory market and is later implemented by governing authorities, the winning contractor is typically responsible for funding the payout of exploratory participants.   

Fees are typically due upon implementation of the market. 


Throughout the life of a claim market, market creators are encouraged to provide participants in their claim market with a high standard of effort, communication, and dedication to bringing their proposed market to fruition.  

At the same time, participants must understand that when they participate in a market, they’re hoping to create something new — not ordering something that already exists. There may be changes or delays, and there’s a chance something could happen that prevents the market creator from being able to continue the claim market as expected.  

In some instances, participants in the market, the market creator, a governing authority, or others may fail in some capacity, causing damage to the market or even market failure. 

If a market creator is unable to bring a market to fruition, we encourage market creators to provide the following to market participants: 

- A market news update that explains what work has been done and what prevents the creator from finishing the market as planned. 

- An announced close date which will occur in the future and is timed such that interested parties have time to respond with their comments, feelings, and perhaps final suggestions for salvaging the market. 

- A thank you to all who have invested their time, resources, and expertise in the market. 

Participants and market creators should understand that some markets will fail to generate the funding, publicity, public acceptance, or momentum necessary to proceed.  Markets may fail for countless reasons. These reasons might be predictable or unforeseen.  

It is up to the market creator, in his or her sole discretion, to decide when failure has occurred and to close the market permanently. 


When a market creator creates a market, that market creator is making a proposal that must be implemented, not by Schock Market, but by a governing authority (regulator, legislature, voters, etc.) at a later time and place.  

Anyone that participates in any way with Schock Market claim markets is accepting that a market creator is using Schock Market to create a proposal in the form of a claim market. Implementation of that proposal, in part or in whole, is the responsibility of a governing authority and not Schock Market, the market creator, or any participant at Schock Market.  

For avoidance of doubt, anyone that participates at Schock Market in any way understands that Schock Market is a platform for presenting proposals.  Any agreements related to such proposals are contingent on authorization by the governing authorities and would be implemented, in part or in whole, by those governing authorities outside the confines of Schock Market. 

Schock market makes no guarantees, representations, or warranties as to whether any claim markets may or will actually be implemented, in part or in whole.  

Should a Schock Market claim market be implemented, in part or in whole, Schock Market makes no guarantees, representations, or warranties as to whether market participants, market creators, or anyone involved with the claim market will be included, in any way, with the implemented market. 

Schock market makes no guarantees, representations, or warranties as to whether participants in an exploratory market will receive a payout.  Payouts may fail to materialize for countless reasons, including but not limited to legal proceedings, financial insolvency, malicious intent, and more. 

Schock Market makes no guarantees, representations, or warranties as to whether the proposed market is or will be constructive, legal, moral, accurate in statement or statistic, or acceptable when measured by any parameter as it relates to the design, construct, processes, participants, outcomes, or any other attribute or function of that market. 

Schock Market makes no guarantees, representations, or warranties as to whether an implemented market will reflect, in any way, the claim market that preceded it.  A claim market exists in one time and place; implementation of that market exists in a later, different time and place. The two constructs may be identical in design, participants, and such, yet result in different or unexpected outcomes. 

Schock Market provides a platform for exercising free speech.  Schock Market does not vet, judge, or endorse the free speech represented by claim markets.  Traditional forms of free speech have been used to promote the inaccurate, misleading, unrighteous, and absurd – and successfully gain adherents while doing so.  The same may be true of claim markets. 

By participating in a claim market, each participant acknowledges and understands that each claim market is a proposal accompanied by vast uncertainties, each of which may lead to failure of the market.  This uncertainty extends to all of the participants in the market (participants, market creator, governing authorities, and more), to the construct of the proposal (legal, financial, factual accuracy, and more), and to the challenges of implementing the proposal (political, economic, legal, and more). 


In the public sector, claim markets represent a form of free speech.  Each market is a proposal, a proposal whose implementation hinges on approval by governing authorities such as regulatory authorities, legislative bodies, or voters.  As such, claim markets are entirely legal within the public sector. 

The creation of claim markets that will be implemented by a public entity and that do not involve the sale of a security are allowed at Schock Market. 

In the private sector, U.S. SEC regulations predate the advent of claim markets and conflict with claim markets.  Current SEC regulations demand clear accounting and description of a commercial entity before that entity may be securitized.  

Claim markets perform in the reverse of this.  Claim markets securitize a concept and use trading data and participant input to later create a finished product.  

Due to this conflict with SEC regulations, claim markets whose implementation hinges on approval by a private authority are, until regulations can be changed, disallowed at Schock Market. 

For avoidance of doubt, the creation of claim markets that will be implemented by a private entity or that would involve the sale of a security are expressly disallowed at Schock Market. 


Schock Market reserves the right to deny a market opening to markets that infringe upon the expected success of an existing market, jeopardize the Schock Market brand or platform, or for any reason whatsoever. 

Schock Market reserves the right to pause, edit, and close existing markets based upon negative media coverage, low trading volume, or for any reason whatsoever.

Each claim market is a proposal.  It is a form of free speech.

Many obstacles stand between this free speech and actual implementation of the market proposal.  Some claim markets may be contrary to existing local, state, or federal laws, making implementation impossible without changes to applicable law.  Schock Market makes no representation as to whether any particular claim market will result in a public/private partnership, tax savings, voter initiative or any changes or outcomes proposed by market creator or participants.  Schock Market cannot guarantee that our market proposals will be implemented or that any payouts will be paid.

All participation is subject to the Market Rules, available