[Polymarket] Issues with configuring wallet after following Nautilus docs

[marco-rigoni]

Hi everyone,

I'm having a hard time getting my Nautilus and wallet setup to work with Polymarket.

I successfully completed all the steps in the Nautilus docs here using my MetaMask wallet, including getting API keys and set allowances (even though I had to change the RPC URL in this script because it gave me authorization issues, while this RPC URL worked perfectly).

After trying to place two orders (both with POL in MetaMask and pUSD in Polymarket), I first received these warnings from the risk engine:

2026-05-13T16:15:23.165619453Z [WARN] TRADER-3425.RiskEngine: SubmitOrder for O-20260513-161523-3425-001-1 DENIED: NOTIONAL_EXCEEDS_FREE_BALANCE: free=0.000000 pUSD, balance_impact=-0.260000 pUSD
2026-05-13T16:15:23.168588841Z [WARN] TRADER-3425.RiskEngine: SubmitOrder for O-20260513-161523-3425-001-2 DENIED: CUM_NOTIONAL_EXCEEDS_FREE_BALANCE: free=0.000000 pUSD, cum_notional=0.750000 pUSD
2026-05-13T16:15:23.168753541Z [WARN] TRADER-3425.PolyDMan: <--[EVT] OrderDenied(instrument_id=0x6e0f3ab22b93604e7cb4e9ca11cbbd8ac1db1f1e097213cb4df340181cecfc2e-34470982472657432185517003445100611893497689969119569143966974383116978800170.POLYMARKET, client_order_id=O-20260513-161523-3425-001-1, reason='NOTIONAL_EXCEEDS_FREE_BALANCE: free=0.000000 pUSD, balance_impact=-0.260000 pUSD')
2026-05-13T16:15:23.168801277Z [WARN] TRADER-3425.PolyDMan: <--[EVT] OrderDenied(instrument_id=0x6e0f3ab22b93604e7cb4e9ca11cbbd8ac1db1f1e097213cb4df340181cecfc2e-34470982472657432185517003445100611893497689969119569143966974383116978800170.POLYMARKET, client_order_id=O-20260513-161523-3425-001-2, reason='CUM_NOTIONAL_EXCEEDS_FREE_BALANCE: free=0.000000 pUSD, cum_notional=0.750000 pUSD')

Then, I decided to test the same while bypassing the risk engine. The orders were rejected by Polymarket with the reason:

2026-05-13T16:16:03.784233114Z [ERROR] TRADER-1911.ExecClient-POLYMARKET: Failed on submit_order ClientOrderId('O-20260513-161603-1911-001-1'): PolyApiException[status_code=400, error_message={'error': 'maker address not allowed, please use the deposit wallet flow'}]
2026-05-13T16:16:03.786264149Z [WARN] TRADER-1911.PolyDMan: <--[EVT] OrderRejected(instrument_id=0x6e0f3ab22b93604e7cb4e9ca11cbbd8ac1db1f1e097213cb4df340181cecfc2e-34470982472657432185517003445100611893497689969119569143966974383116978800170.POLYMARKET, client_order_id=O-20260513-161603-1911-001-1, account_id=POLYMARKET-001, reason='PolyApiException[status_code=400, error_message={'error': 'maker address not allowed, please use the deposit wallet flow'}]', due_post_only=False, ts_event=1778688963784264917)
[py_clob_client_v2] request error status=400 url=https://clob.polymarket.com/order body={"error":"maker address not allowed, please use the deposit wallet flow"}

I did the tests both with signature_type=1 and signature_type=2 with the same results (I'm not considering signature_type=0 because I want to avoid gas fees).

I also tried to replace the POLYMARKET_API_KEY variable with a Relayer API key from Polymarket but that fails on connection.

Thanks a lot in advance to anyone who'll help!

[cjdsellers]

Hi @marco-rigoni

Thanks for the report.

Looking at this, there isn't enough information to determine for sure if there's an issue with your config or the code.

What’s clear:

• Nautilus sees 0 pUSD available
• Polymarket rejects the maker address and asks for the deposit wallet flow
• That suggests a wallet/API-key/deposit-flow mismatch, but does not prove where the issue is

Could you please provide:

• Nautilus version
• Redacted Polymarket config
• Wallet/deposit address used
• How API keys were created
• Whether the same setup works with Polymarket’s CLOB client

[marco-rigoni]

Hi @cjdsellers and thanks as always for your support.

After your suggestion I went to look into the Polymarket’s CLOB client repo, and scrolling through the issues it looks like many other users are experiencing similar issues (probably those who recently registered on the platform like I did).

So I tried to place an order using the script provided by the client (on the repo's front page) and the the only way it went through successfully was when I used signature_type=3 with the deposit wallet address (the 'deposit wallet flow').

Here are the rejection reasons for all the combinations I tried:

• signature_type=2, funder=(MetaMask address): "maker address not allowed, please use the deposit wallet flow"
• signature_type=2, funder=(deposit wallet address): "maker address not allowed, please use the deposit wallet flow"
• signature_type=3, funder=(MetaMask address): "the order signer address has to be the address of the API KEY"
• signature_type=3, funder=(deposit wallet address): order successful

Hope this will somehow help with finding a workaround to make Nautilus work with Polymarket until the issue is fixed on their part.

Let me know if I can provide any other info that might help and thanks again.

[omencat]

@marco-rigoni did you deploy your deposit wallet programmatically or via the Polymarket web interface (upon login)? If programmatically, could you share the code? I am having some issues when following the docs on deposit wallets

[omencat]

I've been able to replicate the response with signature type 0 with the same response maker address not allowed, please use the deposit wallet flow

A few observations:

• Polymarket migrated to CLOB V2 (live 2026-04-28)
• pUSD replaced USDC.e as collateral
• new API users must now deploy a per-user deposit wallet, an ERC-1967 proxy smart contract deployed gaslessly via Polymarket's relayer
• Orders from a deposit wallet use signature type 3 (POLY_1271), an ERC-1271 smart-contract signature (ERC-7739-wrapped), where funder = maker = signer = deposit wallet address!
• The py-clob-client-v2 sdk has a note in the README that they are superseding this to py-sdk 🤦 though its still in beta.

If this is a matter of adding support for this new wallet type, I can take a stab at it, since it's also blocking for me. I don't know what's involved yet, my hope is that updating the enums in rust and python, adding some guards, + updating docs/integrations/polymarket.md will be sufficient.

[marco-rigoni]

Hi @omencat and thanks for the help.
Hope you'll be able to implement this as, like you said, new API users won't be able to use the old order flow with the EOA wallet.
Using the CLOB client it's as easy as changing an int variable but for Nautilus it's probably much more complex and I don't have the skills to do it myself.
But I think it'll be a much appreciated add-on for new users as I also saw an issue on this topic 👍