Open Positions

How to deposit prediction market positions as collateral into VarlaCore and create a borrowing account.

How It Works

When you deposit ERC-1155 prediction market positions into VarlaCore, an account is implicitly created for your wallet address. There's no separate "create account" step — your first deposit opens your account.

1

Approve VarlaCore (one-time)

Call setApprovalForAll(varlaCore, true) on the prediction market's ERC-1155 contract. This allows VarlaCore to transfer your positions.
2

Deposit positions

Call deposit(tokenId, amount) on VarlaCore. Your ERC-1155 positions are transferred to the contract's escrow. Multiple positions can be deposited into the same account.
3

Oracle prices your collateral

VarlaOracle evaluates each deposited position using min(spot, TWAP) pricing and assigns the appropriate risk tier LTV.
4

Borrow capacity available

Once deposited, you can borrow stablecoins up to your weighted LTV limit. Your health factor starts at infinity (no debt yet).
ℹ Cross-margin by default
All positions you deposit go into the same account. Your health factor reflects your entire portfolio, not individual positions.

What Gets Deposited

Varla accepts ERC-1155 tokens from supported prediction market platforms. Each position is identified by a unique tokenId that corresponds to a specific market outcome (e.g., "YES" on a specific event).

Supported position types 
Polymarket (Polygon):
├── CTF (Conditional Token Framework) positions
└── NegRisk wrapped positions

Opinion (BSC):
└── CTF Execution Engine positions
⚠ Not all positions are eligible
The oracle must have an active price feed for the position's market. Markets that are too illiquid, too close to resolution, or not yet onboarded will be rejected.