Platform Economics

The economics of our Future Prediction Platform is designed to be transparent and equitable, ensuring the interests of Event Pool Owners, Liquidity Providers, and Players are well-represented and balanced.

Event Pool Owners (EPOs) Economics:

Event Pool Owners aim to earn rewards when the event outcomes align with their predictions. If the event outcomes are in their favour, they receive all the bets placed by the players. If Liquidity Providers are also part of the pool, the winnings are shared. EPOs risk losing their collateral used to safeguard players’ bets if the event outcomes favour the players. EPOs have the privilege of setting an entry fee for Liquidity Providers wishing to participate in their pool.

Liquidity Providers (LPs) Economics:

Liquidity Providers are motivated by the prospects of sharing in the rewards from the event pool. They do not need to possess PRLN tokens to participate, making the platform accessible to anyone wishing to become a Liquidity Provider.

Players Economics:

Players participate with the objective of winning rewards based on their bets and the event pool’s coefficient. Players aim to maximise their winnings while understanding that losing the bet means losing their placed funds.

Platform Fee:

The platform charges a fee on the winning side, which is typically a fraction of a percent, significantly lower than traditional betting platforms. However, in some cases, depending on the event type and pool size, this fee may go up to 1.5%. This fee structure is established and locked in at the time the pool is created. It is designed to be both fair and transparent, ensuring that the fee aligns with the unique characteristics of each event and remains affordable for users.

When the event does not favour Event Pool Owners and Liquidity Providers, the collateral is proportionally shared between them. The overall economic structure is meticulously designed to maintain fairness, transparency, and to keep every stakeholder motivated, thereby fostering the overall success and sustainability of the platform