Glossary

Example 2: Kalshi (Taker Fee)

Market price: $0.60 (bid $0.58, ask $0.60) - Spread cost: $0.01$ - Taker fee: $\min(0.01, 0.60/15) = 0.01$ per contract on each side - Total cost per contract: $0.01 + 0.01 + 0.01 = 0.03$ - Breakeven probability: $0.60 + 0.02 = 0.62$

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