Abstract: An improved system and method is provided for permutation betting. To do so, a permutation betting engine may be provided for providing services to support betting on an outcome resulting in an ordinal ranking of objects. Orders specifying a property of an ordering of one or more positions of an object in an ordinal ranking of objects may be received. The quantities for orders to accept may be determined, a response may be sent to traders indicating the quantities of orders for payment, and the amount owed for accepted orders may be collected. Winning accepted orders may be identified and payout may be made for winning accepted orders. Advantageously, the present invention may provide a framework for efficiently optimizing an auctioneer's objective using linear programming for a prediction market where the outcomes of interested events are ordered statistics.