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Further Reading

Looking to dive deeper into market scoring rules, bounded-loss automated market makers, or the history behind CLMSR? Start with these cornerstone papers.

  • Robin Hanson (2003) — Combinatorial Information Market Design
    Introduces the Logarithmic Market Scoring Rule (LMSR) that Signals extends into a continuous range setting. Read this to understand why maintaining a single convex potential keeps probabilities normalised.

  • Jacob Abernethy, Yiling Chen, Jennifer Vaughan (2013) — Efficient Market Making via Convex Optimization
    Formalises cost-function market makers, bounding maker loss and analysing liquidity parameters. Handy when you want the proof behind the αln⁡n\alpha \ln n limit.

  • Abraham Othman, Tuomas Sandholm (2012) — Market Making via Smoothing
    Discusses practical considerations—limited liquidity, smoothing techniques, and how to keep markets stable—which inspired parts of the Signals operational tooling.

Pair these with our Key Formulas Cheat Sheet and the Signals CLMSR Whitepaper for Signals-specific notation and implementation details.