LEARN//What To Do
What To Do During Rising Fork Risk
TL;DR — Fork risk is manageable at low levels. Monitor more closely as it rises. At high levels, take concrete action to protect your positions.
Risk Overview
| LEVEL | SITUATION | YOUR ACTION |
|---|---|---|
| No Risk (0%) | No disputes active | Trade normally. Check meter occasionally. |
| Low (<25%) | Early disputes | Identify which markets are disputed. Understand the disagreement. |
| Moderate (25-50%) | Disputes escalating | Calculate your exposure. Think about exit strategies if needed. |
| High (50-75%) | Large bonds active | Monitor daily. Consider reducing exposure. Prepare for fork governance. |
| Critical (≥75%) | Fork imminent | Take action now. Prepare to choose a fork. Engage with community. |
High Risk (50-75%) — Take Action
The dispute has passed the halfway point. Fork is increasingly likely with continued escalation.
What you should do:
- Reduce exposure if uncomfortable — Consider exiting disputed positions
- Monitor daily — Check the fork meter and dispute progress regularly
- Understand the disagreement — Review community discussions about the disputed outcome
- Prepare for fork governance — If a fork occurs, be ready to choose with your REP
- Avoid new large bets — Don’t enter high-risk markets during escalation
- Know your positions — Understand exactly how a fork would affect you
Critical Risk (≥75%) — Fork Is Likely
The dispute is in its final rounds. A fork is imminent or may have been triggered. This is the highest-stakes scenario.
What you must do:
- Understand your position — Know exactly what outcome you’re betting on in disputed markets
- Plan your fork choice — Which fork version do you believe represents the correct outcomes?
- Prepare to migrate REP — You’ll choose which fork version to support during the 60-day period
- Engage with the community — Discuss the disputed outcomes with other REP holders
- Be ready to act — The fork period requires active participation and decision-making
- Prepare for market freezes — Disputed markets will be frozen until the fork resolves
During a Fork Event
The 60-Day Fork Period
- Markets freeze: No new trades on disputed markets
- You must migrate REP: Choose which fork version you support
- Voting occurs: Your REP migration determines your choice on the disputed outcome
- Communicate: Engage in governance discussions about the right outcome
- Wait for resolution: The fork window is 60 days
After Fork Resolution
- Check your REP: You now have REP on the winning fork
- Markets settle: Markets settle according to the winning fork’s outcomes
- Resume trading: Normal Augur operations resume
- Evaluate impact: Assess how the fork affected your positions
General Best Practices
- Check the meter regularly: Make fork risk checking part of your routine
- Understand disputed outcomes: Know what you’re betting on before a dispute arises
- Size positions appropriately: Don’t over-commit to markets that could fork
- Stay informed: Follow Augur discussions and governance
- Plan ahead: Think through fork scenarios before they happen
- Engage with the community: Forks are community decisions