polymarket-settlement-bot

Auto-redeem resolved Polymarket positions back to USDC.

The #1 most-requested feature in the Polymarket ecosystem -- 56 comments across 2 issues on py-clob-client, and still no official solution:

• py-clob-client #68: Redeem/claim winnings
• py-clob-client #41: How to settle/redeem positions

This bot solves it. One script. No dependencies on py-clob-client. Just direct on-chain redemption.

What it does

1. Fetches all your positions from the Polymarket data API
2. Checks each position's condition on-chain to see if it's resolved (payoutDenominator > 0)
3. For resolved positions with a remaining token balance, calls redeemPositions on the Conditional Tokens Framework contract
4. Executes the redemption through your Gnosis Safe proxy wallet (the same pattern Polymarket uses internally)
5. Reports USDC balance before and after

Quick start

git clone https://github.com/LuciferForge/polymarket-settlement-bot.git
cd polymarket-settlement-bot
pip install -r requirements.txt

Set your environment variables:

export POLY_PROXY_ADDRESS="0xYourPolymarketProxyAddress"
export POLY_PRIVATE_KEY="your_private_key_hex"

Run once:

python3 redeem.py

Run continuously (checks every 5 minutes):

python3 redeem.py --monitor

Configuration

All configuration is through environment variables. No hardcoded secrets.

Variable	Required	Default	Description
POLY_PROXY_ADDRESS	Yes	--	Your Polymarket proxy wallet address (Gnosis Safe)
POLY_PRIVATE_KEY	Yes	--	Private key of the EOA that owns the proxy
POLYGON_RPC_URL	No	https://polygon-rpc.com	Polygon RPC endpoint
POLL_INTERVAL	No	300	Seconds between checks in monitor mode

How it works

Polymarket uses Gnosis Safe proxy wallets for all users. When you trade on Polymarket, your positions are held in conditional tokens (ERC-1155) inside this proxy wallet. When a market resolves, the conditional tokens can be redeemed for USDC -- but there's no "claim" button in the API.

The redemption flow:

1. Find resolved positions: Query the Polymarket data API for your positions, then check each condition's payoutDenominator on the CTF contract. If it's greater than 0, the market has resolved.

2. Build the redemption call: The CTF contract's redeemPositions function takes the collateral token (USDC), a parent collection ID (zero for root markets), the condition ID, and index sets ([1, 2] for binary YES/NO markets).

3. Execute through the Safe: Since your tokens live in a Gnosis Safe proxy, you can't call redeemPositions directly. Instead:

   • Get the Safe's internal nonce
   • Build the redeemPositions calldata
   • Get the Safe's transaction hash via getTransactionHash
   • Sign that hash with your EOA private key
   • Submit the signed transaction via execTransaction

4. Verify: Check USDC balance before and after to confirm the redemption worked.

Requirements

• Python 3.8+
• web3
• requests
• eth-abi
• eth-keys

Contract addresses (Polygon mainnet)

Contract	Address
Conditional Tokens Framework (CTF)	0x4D97DCd97eC945f40cF65F87097ACe5EA0476045
USDC (PoS)	0x2791Bca1f2de4661ED88A30C99A7a9449Aa84174

License

MIT -- see LICENSE.

Copyright 2026 LuciferForge.