📐Rule

The rules of the Bet

Creation Rules

The creator must pay a fee in governance tokens to create a bet. If the bet’s winning option is ultimately confirmed, the creator will receive a reward. If the bet is cancelled, there will be no reward.

When creating a bet, the following details must be specified:

• Title: A prominent title for the bet to attract players’ attention.

• Description: A detailed description of the event being predicted.

• Options: A set of descriptions for the possible outcomes of the event being predicted. There must be at least 2 and no more than 10 options.

• Wagering Period Deadline: Specify a wagering deadline. The period from now until the wagering deadline is referred to as the Wagering Period, which must be at least 1 day and no more than 7 days.

• Verifying Period Deadline: Specify a verifying deadline. The period from the wagering deadline to the verifying deadline is referred to as the Verifying Period, which must also be at least 1 day and no more than 7 days.

• Bet Chip: Choose a chip token. Chips can be used with Ethereum native currency (ETH) or ERC20 tokens.

Advanced optional options:

• Icon URL: The URL of the bet’s icon.

• Forum URL: The URL for the forum related to the bet.

💡 To ensure the smooth execution of the wager, you must adhere to the following principles:

1. Clear and Precise Description: The wager’s description must be straightforward and unambiguous to prevent misunderstandings. Clearly specify the details and timing of the predicted event, which must be easily verifiable online.

2. Distinct Option Descriptions: Each option must represent a unique and independent prediction result. The options should be clearly distinguishable so that the winning option can be easily determined based on the actual outcome of the event, avoiding ambiguity or overlap between options.

3. Appropriate Wagering Deadline: Set the wagering deadline before the predicted event’s result is revealed. Ensure sufficient time remains between the wagering deadline and the result announcement to prevent insider participation by those with early knowledge of the outcome.

4. Appropriate Verifying Deadline: Schedule the verifying deadline after the event’s result is announced. Provide sufficient time for verifiers to make their verification.

5. Verifiable Outcomes: The final result of the predicted event must be publicly available online, preferably announced by reputable media outlets or verified by multiple independent sources.

Wagers that fail to meet the above requirements may be subject to cancellation during subsequent processes.

Wagering Rules

During the Wagering Period, players can place bets.

Bets are placed by transferring the specified chip token for the bet to the address of the option (BetOption) they want to bet on.

Players can bet on multiple options simultaneously, but they can only have one valid bet per option.

If a player makes multiple transfers to the same option, only the last bet will be valid, and the amounts from previous bets will be automatically refunded.

If a player wishes to cancel their bet on an option, they simply need to transfer 0 to that option’s contract.

After the wagering period ends, if no single option has more than 85% of the total amount wagered and the total amount wagered meets the minimum requirement (0.01 ETH for Ethereum native currency, 10 for ERC20 tokens), the bet will be considered valid and automatically enter the verifying period. Otherwise, the bet will be cancelled.

Verifying Rules

During the Verifying Period, verifiers can cast their votes.

Votes are cast by transferring voting tokens to the address of the option (BetOption) they believe will win.

💡 The voting tokens are not actually transferred when voting; instead, they are "fixed" by the contract. Fixed voting tokens cannot be used for voting in other options or bets until the current bet is closed, and the tokens are "unfixed."

Verifiers can vote for multiple options, but only one vote per option is valid.

If multiple transfers are made to the same option, only the last vote is valid, and previous votes will be automatically unfixed.

If a verifier wishes to cancel their vote on an option, they simply need to transfer 0 to that option’s contract.

At the end of the verification period, if the total voting amount meets the required minimum voting threshold (which is proportional to the total wager amount) and a single option with the highest votes emerges, it will be designated as the unconfirmed winning option, and the bet will automatically enter the announcement period. Otherwise, the bet will be canceled.

Announcement Rules

The Announcement Period lasts for 1 day. During this time, anyone dissatisfied with the verifiers' verification result (Disputer) can raise a dispute.

To raise a dispute, the disputer transfers the specified chip token for the bet to the main bet contract (Bet), which completes the dispute process.

If the total amount disputed exceeds 5% of the total amount wagered, the contract will confirm the dispute and automatically enter the arbitrating period.

Otherwise, once the announcement period ends, the unconfirmed winning option will be confirmed, and the bet will automatically enter the confirmed status.

Arbitrating Rules

The Arbitrating Period lasts for 2 day. During this time, arbitrators can cast their votes.

Votes are cast by transferring voting tokens to the address of the option (BetOption) they believe will win.

If the arbitrator believes there is no winning option, they can transfer to the main bet contract (Bet), indicating support for cancelling the bet.

💡 Unlike verifier votes, for arbitrator votes, the transfer amount only needs to be greater than 0, and the vote count will equal the maximum number of voting tokens the Arbitrator holds (Arbitration voting tokens include only those staked with a 12-week unlocking period, and also include fixed tokens). The transfer does not actually occur, and the tokens are not fixed like in verifier votes. This means the arbitrator's voting tokens are not consumed, and the arbitrator can vote on other bets simultaneously.

Arbitrators can vote for multiple options, but only one vote per option is valid.

If multiple transfers are made to the same option, only the last vote is valid.

If an arbitrator wishes to cancel their vote on an option, they simply need to transfer 0 to that option’s contract.

At the end of the arbitration period, if the total voting amount meets the required minimum voting threshold (which is proportional to the total verification votes) and a single option with the highest votes emerges, it will be designated as the confirmed winning option, and the bet will automatically transition to the confirmed status. Otherwise, the bet will be canceled.

Release Rules

Once the bet enters the confirmed status or is cancelled, it can be released.

Any transfer of 0 to the main bet contract (Bet) or the option contract (BetOption) will trigger the release.

If the bet is cancelled, the release will return all participants' tokens.

If the bet is confirmed, the release will distribute rewards and penalties according to the following rules:

🎖️ Reward Rules

• The PVPBet protocol will receive 1% of the total amount wagered, which will be 100% distributed to governance token stakers.

• The bet creator will receive 1% of the total amount wagered as a creator reward.

• Verifiers who voted for the confirmed winning option will share 5% of the total amount wagered based on their voting amount, as a verifier reward.

• Players who bet on the confirmed winning option will share the remaining funds based on their betting amount.

💡 In extreme cases, if no verifiers voted for the confirmed winning option, or if no players bet on it, these unclaimed rewards will be added to the PVPBet protocol revenue and 100% distributed to governance token stakers.

🚨 Penalty Rules

All betting amounts on options other than the confirmed winning option will be forfeited and added to the prize pool for the winners.

If no dispute is confirmed, verifiers will not be penalized, and all voting tokens will be unfixed.

If a dispute is confirmed, the following three situations apply:

• If the arbitrators agree with the verifiers' winning option, supporting the verifiers’ verification result, the disputers will be penalized. The penalty will be the forfeiture of all the disputer’s funds, which will be distributed to the arbitrators who voted for the confirmed winning option based on their voting amount.

• If the arbitrators disagree with the verifiers' winning option, indicating the verifiers’ verification result is not supported, only the verifiers who voted for the unconfirmed winning option will be penalized. The penalty will be the forfeiture of all tokens used to vote for the unconfirmed winning option, which will be converted into governance tokens and distributed to the arbitrators who voted for the confirmed winning option based on their voting amount. The remaining verifiers will not be penalized. Verifiers who voted for the arbitrators' confirmed winning option will receive the verifier reward.

• If the arbitrators did not select a winning option but voted to cancel the bet, then the bet will be cancelled, and all participants’ tokens will be returned. No one will be penalized, and no rewards will be given.

💡 Example

A bet has two options, A and B.

• The amount wagered on option A is 150,000.

• The amount wagered on option B is 850,000.

• The total amount wagered is 1,000,000.

• The verifiers select option A as the winning option.

• The disputer transfers 50,000 to raise a dispute.

If the arbitrators select option A as the winning option:

• The protocol receives 10,000.

• The creator receives 10,000.

• The verifiers who voted for option A share 50,000.

• The players who bet on option A share the remaining 930,000, winning 780,000, with an odds ratio of about 6.2.

• The players who bet on option B lose all their wagered funds.

• The disputer’s 50,000 will be forfeited and distributed to the arbitrators who voted for option A.

• All verifiers' voting tokens will be unfixed.

If the arbitrators select option B as the winning option:

• The protocol receives 10,000.

• The creator receives 10,000.

• The verifiers who voted for option B share 50,000.

• The players who bet on option B share the remaining 930,000, winning 80,000, with an odds ratio of about 1.1.

• The players who bet on option A lose all their wagered funds.

• The disputer’s 50,000 will be refunded.

• The voting tokens used to vote for option A will be forfeited, converted into governance tokens, and distributed to the arbitrators who voted for option B.

• The voting tokens used to vote for option B will be unfixed.