Ship vs slash payouts

Every promise resolves one of two ways.

Ship → collateral returned, YES paid

The condition holds at resolution.

Party	Receives
Team	Its full collateral back.
YES holders	1 unit per YES share.
NO holders	Nothing. NO shares are worth 0.

Slash → collateral slashed to NO holders

The condition does not hold at resolution.

Party	Receives
Team	Nothing back. The collateral is gone.
YES holders	Nothing. YES shares are worth 0.
NO holders	1 unit per NO share, plus the team’s collateral, distributed among them.

A worked example (illustrative)

Not real numbers, not a real market. Suppose:

the team locked collateral C;
you hold n NO shares out of N NO shares outstanding at resolution;
the slash distribution is pro rata to NO shares (one candidate rule, not final).

On a slash you would receive n from your shares, plus C × n / N from the collateral. On a ship you would receive 0.

With the same assumptions, a YES holder with m shares receives m on a ship and 0 on a slash.

Payouts are claimed, not pushed

In the current design, payouts sit in program-controlled accounts after resolution and each holder claims their own. Whether unclaimed funds ever expire is not decided.

Open questions

Slash distribution rule. Pro rata to NO shares at resolution is the simplest option. Alternatives weigh by time held or cost paid, to make last-minute NO buying less attractive once a miss is obvious.
No NO holders. If nobody holds NO when a promise is slashed, where the collateral goes is undecided.
Fees. Whether windle takes a fee on trades, collateral or payouts, and how much, is not decided. This page will list any fee once one is decided.
Team positions. Limits on what the team’s declared wallets can hold, see Collateral → open questions.