Polymarket Bot Python Tutorial: Build from Scratch (2026)

Environment Setup

Install Python 3.9+ and create a virtual environment. Install the SDK: pip install py-clob-client web3 python-dotenv. Create a .env file with your API credentials.

You need a Polygon wallet private key for signing orders and Polymarket API credentials. Generate API keys through the Polymarket interface or SDK. Never commit credentials to version control.

Connecting to the CLOB API

Initialize the ClobClient with your host URL, chain ID (137 for Polygon), and API credentials. The client handles authentication, signing, and order submission.

Test your connection by fetching a market. Use the Gamma API to get market metadata (title, token IDs) and the CLOB API for orderbook data (prices, depth).

Implementing Trading Logic

Build a main loop that: (1) fetches current market prices, (2) evaluates your strategy conditions, (3) places orders when conditions are met, and (4) manages open positions.

Start simple: buy YES when price drops below a threshold, sell when it rises above another. Add stop losses, position sizing, and error handling as you iterate.

Deploying to a VPS

For 24/7 operation, deploy to a VPS (DigitalOcean $5/month droplet works). Use systemd or PM2 to keep your bot running and auto-restart on crashes.

Set up logging, error alerts (Telegram or email), and monitoring. Your bot should handle API errors, network issues, and rate limits gracefully without crashing.

Or Skip the Code: Use PredictEngine

Building from scratch takes hours and requires ongoing maintenance. PredictEngine creates the same bot in 60 seconds — describe your strategy in English and it generates everything.

PredictEngine handles hosting, monitoring, error recovery, and gasless trading. Free tier includes 1,500 credits plus 250 daily. Ideal if you want bot functionality without the engineering work.

Frequently Asked Questions