> The index of every page is at https://docs.nova.markets/llms.txt. The complete documentation in one file is at https://docs.nova.markets/llms-full.txt.

# What is Conviction Markets?

Address: https://docs.nova.markets/#/what-conviction-markets
Section: Introduction

Nova introduces Conviction Markets, the new primitive for market formation, where aligned incentives accelerate liquid listings by rewarding traders and LPs with lifetime fee sharing from all listed markets.

**Conviction Markets is more than a better listing process. It is a market formation mechanism.** Discovery, validation, liquidity formation, trader capture, and economic alignment are all the product of one system.

Markets can be proposed, traded, and capitalized before they move to an orderbook on Hyperliquid.

Participants earn direct fee sharing from all listed markets on Nova, and when a market shows sustained activity it graduates from Nova directly to Hyperliquid, bringing its liquidity, traders, and Conviction Token with it.

The creator, early traders, and liquidity providers earn revenue share from every trade for as long as the market exists. They become equity-like participants in the market rather than early users who get replaced once volume arrives. This is not an incentive program with an expiry date. It is a structural alignment between the people who originated the market and its ongoing economics. Revenue share makes them permanent.

## How Conviction Markets work

1. Participants receive **[Conviction Tokens](https://docs.nova.markets/revshare.md)** for each new listed market: the ERC-20 token that rewards holders with a lifetime share of the market’s fees.
2. Participate by backing a market in the **[Conviction Drop](https://docs.nova.markets/conviction.md)**: every 3 days spend **[Conviction Points](https://docs.nova.markets/points.md)** backing the market you want to see listed next and receive **Conviction Tokens** of the listed market. Back the winning market to receive a boosted share of its **Conviction Tokens**.
3. Earn **Conviction Points** by trading and by providing liquidity to the **[Conviction Pool](https://docs.nova.markets/conviction-pool.md)**.
4. Propose a market to be backed in the **Conviction Drop** and receive 10% of its **Conviction Tokens** if it gets listed.

When a market shows sustained activity it graduates from Nova directly to Hyperliquid, and it brings its Conviction Tokens and traders with it.

Conviction Markets is whitelisted at launch. More information on [Telegram](https://t.me/novadotmarkets).