White paper

Introduction

Throughout human history, gambling and betting have always attracted people and have eventually been integrated Into our culture. Long ago the first bets used to be made verbally and were a kind of proto-smart contracts. Betting and risking were deemed rather noble adventures since the obligation to fulfill the conditions revealed the honor and reliability of a person.

Today, people take advantage of the digital era and usually place wagers online. However, centralized companies mostly control this market. These large businesses through their great capabilities often abuse the trust of users and manipulate the pool of the users’ funds taking the lion's share of the profits. Therefore, it is almost impossible for a new player to enter this business.

At the same time, the drive for risks is inherent in the very nature of people. Modern technologies allow a transparent and open betting market. The Polyway project is committed to disrupting existing paradigms. With WEB3 revolutionary capabilities, we strive to create a decentralized platform and ecosystem based on the principles of cooperation and fairness. We give people the opportunity to manage the project and participate in profit distribution.

Blockchain technologies keep gaining their importance, changing traditional approaches to finance, betting, and predicting. Meeting the needs of people, Polyway offers a unique blockchain-based betting and wagering platform where tech innovations and gamification merge into one solution.

Our main goal is to create a unique environment where users can interact, predict, bet on matter-to-them events, and make wagers with their peers. Through blockchain and smart contracts, we bring security, transparency, and decentralization to the world of betting.

It is a fun betting experience that transcends traditional platforms. Polyway opens for gamblers the door to acting as both bettors and bookmakers creating a dynamic and interactive ecosystem.

Introducing Polyway Ecosystem: Your Destination for Next-Gen Betting and Entertainment.

It includes:

Polyway.io - Prediction Market

Yez.bet - Web3 Sports Betting

Yez.casino - Online Casino

Platform Main Features

Polyway platform allows:

  • Creation of own bets on almost any event. The event’s outcome to be approved by the UMA oracle tool.

  • Creation of private wagers, peer-to-peer individual bets with other users or friends. Private event’s outcome to be approved by an individually selected moderator or a third party trusted by all involved bettors.

  • Bloggers and influencers to wager with their audience under a wide range of outcomes and conditions. It is a new and funny tool to diversify media interaction with followers and subscribers.

  • All users can place bets on public events, add liquidity and create new odds for existing outcomes.

  • Easy & lucrative staking. All governance token holders when depositing to staking can receive 35% of the platform’s fees from each event.

  • Polyway DAO. $PLW token holders can propose new product ideas, suggest improvements, and participate in decision-making processes, ensuring that the project evolves in line with community interests and values.

Polyway's Key Advantages

  • The platform does not impose 'restrictions, or block users, or reduce limits. It is Polyway’s competitive edge over other traditional betting platforms.

  • WEB3. Bets, instant payouts, based on WEB3 principles and audited smart contracts.

  • Polyway offers an endless variety of events to set bets on attracting a diverse audience.

  • Attractive commissions and a smart system of profit distribution.

  • The UMA oracle ensures the transparency and fairness of all bets.

  • Targeted partnerships secure both smooth platform operation and new markets expansion.

  • Know your Client is not required.

  • Adaptive UX including traditional betting interface and odds system that the bettor are used to.

Commissions

Users create their own bets on various events, set odds, and add liquidity. Upon event completion and UMA-oracle approval (or third party-based one for private bets), a smart contract distributes payouts and rewards, and charges a commission to the winner from the winning amount.

The prediction platform's basic commission is 3.6% of the payout amount and is charged to the event winner. For high liquidity events of at least $100,000 and higher, the commission can be reduced to 2.5% or less. The holders of the governance token can decide on the commission rate by voting.

Profit Distribution

Commissions from each event are distributed as rewards to users as follows:

  1. 35% of revenue from Polyway.io, Yez.bet, Yez.casino is distributed to all PLW token holders as rewards. To do this, PLW shall be added to the staking contract. DAO stakers can actively participate in platform development, propose new functionality, and vote on the distribution of platform commissions.

  2. 10% of commission amount charged to liquidity providers involved in the events in case of their winning to be additionally distributed to event creators (bookmakers).

  3. 30% to be distributed to referrers who invite new users to the platform.

  4. 10% of all platform profits for the buyback and burning of PLW Tokens.

  5. 10% revenues from the Yez.Casino, and the prediction markets of Polyway.io, 30% from the Yez.bet sport line are distributed among NFT holders.

Deposit

The main cryptocurrency for betting and computing odds is USDT on the Polygon network. All smart contracts of the project are configured to work with the mentioned network.

However, it is possible to top up the betting balance with other cryptocurrencies such as USDT TRС-20, Bitcoin, Ethereum, BNB, Ton, USDT ERC-20. Other currency balance is converted by smart contracts at the current exchange rate to USDT Polygon.

Integration with Fireblocks guarantees multi-currency support and the highest level of security available on the market.

Polyway Ecosystem

Polyway is a holistic ecosystem designed for betting, gambling and prediction products, including lotteries, raffles and Web3 games.

Polyway.io - web3 prediction market

Public Betting Events

Public betting events are one of the key Polyway features. It allows our users to create and participate in a wide range of events to bet on, from sporting ones to political elections and world events. Any newsworthy event throughout the world can be turned into a bet. A huge variety of bet-worthy subjects attracts a huge audience with different interests and makes the whole gambling process fun and exciting.

How Public Betting Events Work

Event Creation: Any user can create their own betting event. This could be anything from predicting who would be the Oscar winners to whether aliens will invade humanity the next month. The event creator (bookmaker) specifies the bet description, different outcomes and odds for each outcome encouraging other users to place their bets. The event creator also adds liquidity to ensure payouts to bettors. When creating an event, the bookmaker is free to decide on the probability of each outcome and offer own odds.

Betting: Users can view open events and select which one to place their bets on. They can choose one of the available odds offered by the event creator. Users can also add their liquidity to the existing odds or create their own odds on the outcomes offered by the event creator. Event creators (bookmakers) receive additionally 10% of amount of commissions charged to liquidity providers involved in the events in case of their winning and payed to the platform. This will make the betting line wide and varied.

Users have the ability to create limit orders with their desired odds and own liquidity, while bookmakers can accept these bets. This process forms the order book and enables real-time trading.

Voting and Results: Upon an event completion, UMA oracle starts to determine the event outcome.

Public Event Mechanism

Let's take a closer look at the mechanics of public events.

Smart contracts are responsible for creating bets, adding liquidity, new odds, distributing payouts and commissions. We use the European odds metric system.

Users can act as a bookmaker accepting bets against themselves, or as a bettor.

A bookmaker plays against the users, so do the users against the bookmaker. As a bookmaker, the user creates an event, provides its description, adds possible outcomes, and specifies the date and time when the event to be ended. For each outcome, he/she shall set his/her own odds and add liquidity, so to secure with own funds a possible payout to other bettors who placed bets on his/her event.

Gamblers can see possible outcomes of the event, odds, and available liquidity. Available liquidity is the maximum amount that can be bet on each odd. When creating an event, the bookmaker provides liquidity for each of the odds with its own funds. If the bookmaker wins, he/she takes the funds of the users who placed their bets on the event. If bettors win in any of the outcomes, they take the bookmaker's funds in that outcome. Available liquidity formula is SUMM/(K-1), where SUMM is the bookmaker's funds contributed for the given outcome. For example, the bookmaker contributed 1,000 USDT for a certain outcome and set x1.2 odds, therefore the available liquidity will be equal to 1000 USDT/(1.2-1) = 5,000 USDT. This is the maximum amount allowed to be bet by gamblers. In case of winning, bettors can return their funds and win 1,000 USDT from the bookmaker, 5,000 USDT * 1.2 = 6,000 USDT (5,000 their own funds and plus 1,000 USDT from the bookmaker). If the bookmaker wins, he/she takes 5,000 USDT from the users (if the maximum sum was bet).

The higher the odds, the more liquidity is needed to support it. For example, the bookmaker set a x5 odds for the outcome and allocated 1,000 USDT to back it. In this case, according to the above formula, the maximum available betting pot equals 1,000 USDT/(5-1) = 250 USDT. By betting 250 at x5 odds, the user can take 1,250 USDT in case of winning (250 own funds and 1,000 the bookmaker’s collateral). If the bookmaker wins at such odds, he/she wins 250 USDT of the user and return own collateral of 1,000 USDT.

There may be situations when only a part of a bookmaker’s liquidity has been placed. Available not-placed liquidity to be returned to the bookmaker who can at his/her discretion either redistribute it to other outcomes or withdraw any moment.

If an event is interesting to users, they can add their liquidity in their favor to the bookmaker’s existing outcomes and odds and thus increase available maximum betting pot on a specific outcome. If a user who added liquidity wins then he/she will get the winning amount as a bookmaker.

For existing outcomes users can create new odds with their own liquidity. For example, the user believes that the probability of an event differs from the odds that have been set by the bookmaker, so the user can create new own odds for the event. This mechanics allows saturation of the line with a large volume of funds.

The bookmaker can permit or prohibit adding liquidity to his/her odds and outcomes for the created event. Upon permission, the bookmaker can receive additional rewards from commissions on the volume of funds added by other bettors. This option encourages bookmakers to create interesting and well-thought events and outcomes to attract liquidity from other users.

At any time, the bookmaker can stop the event, take the unused available liquidity, or create new odds. Liquidity that has been matched by gamblers cannot be taken. After voting and approval, it will go to the winner.

Private Betting Events

Private betting events are one of the main features of the platform allowing users to create and participate in events granting access to a certain limited audience. This option allows creating unique and private betting scenarios for numerous betting opportunities and interaction with friends.

Our platform allows private events with own rules and tailored user scenarios. Scenarios can be adapted to any interests and preferences making betting activity a means of social interaction.

For bloggers and influencers, our private bets are an effective and fun way of interacting with their audience.

Private betting events on our platform provide endless opportunities for creativity, competition, and social engagement.

Wagers and bets between friends, peers, a team member, individual challenges to a specific person or the whole community – all these can be realized through smart contracts on our platform.

Private Betting Events Mechanism

There is a private wager between peers with two or more outcomes with proportional distribution of liquidity. A user creates an event, describes it, sets outcomes and adds liquidity to one of the outcomes. A peer is offered to add liquidity to his/her own outcome. The liquidity of both gamblers may be equal or different. If one wins, he or she takes all the liquidity. The betting event creator shall delegate the right to approve the wager outcome to a third party that is trusted by all bet participants. If the subject of the bet is a public and well-known event, the right to approve the outcome may be delegated to the UMA oracle. The number of participating gamblers is not limited; each of them can add their share of liquidity to the outcomes.

For example, Bob, John, and Ted agreed on a bet among themselves who would be fastest to eat 5 burgers. Each of them bets $100, and they chose Katie as a moderator. She was given a $20 reward for her role. The guys had a fun time, Ted was the first to eat the burgers and eventually became the winner. Katie approved the outcome. Now Tadd can withdraw $280 from the smart contract (minus the platform commission) by clicking Claim. The funds instantly arrive in his wallet.

There are also possible events the approval of which is put to voting by a limited number of users. Such a betting event can be secured with a password; then a link to the voting is generated and sent to friends or the involved audience. Voting time can be set optionally from a few minutes to several days. Voting participants can be encouraged with rewards like added in advance liquidity or offering a certain percentage of the winning amount.

There can be challenges to friends and even influencers. A challenge initiator shall indicate his/her friend’s email or Instagram, write what a friend is supposed to do, for example, run 500 meters in 2.5 minutes in a city stadium, set the winning amount, add the necessary liquidity, indicate a third party as an approver, or send a password link for voting to mutual friends. If the bet condition is met, the participant will withdraw his/her winning amount from the smart contract. In this case, he/she will have to connect the platform through email address or Facebook/Instagram account, or any other social network that has been specified in the created event.

Public figures and influencers can challenge each other and set real cash prizes. For their audience they can offer new entertainment like participation in voting; set rewards to their subscribers distributing the winning amount among all participants or a part of them under certain conditions. For example, if there are too many voters, and the pool of rewards is not big, then the rewards distribution can be limited to the first 50 voters and the last 50 ones. These settings are pretty flexible and allow a plenty of custom scenarios.

The organizer of a private betting event can be either the gambler or an independent person.

Yez.bet - decentralized web3 sportbook

Integration with the Azuro Protocol opens unlimited opportunities for placing bets on classic sports, matches, basketball tournaments, hockey leagues, boxing games, and others live on the blockchain. All related transactions governed by Web3 principles and audited smart contracts ensure instant payouts. Add to that Web3 games, draws, raffles, lotteries and a universe of entertainment to enjoy!

Yez.bet delivers a betting experience like never before, doing away with such traditional constraints as:

  • Censorship;

  • Mandatory registration;

  • Collection of user data;

  • Blocking of user accounts;

  • Discrimination and bias on various principles;

  • Bet limit reduction.

Azuro's large liquidity pools in USDT (more than 10 million TVL) allow users to place huge bets and receive winnings from smart contracts.

Yez.casino - decentralized web3 casino

Yez.casino is premier destination for online gambling, featuring a vast array of over 10,000 games including slots, roulette, blackjack, and baccarat. Transparency and fairness ensures a trustworthy environment for all players. All statistics of wins and losses are open. Anyone can see the casino’s profits and get a share of it.

Staking

Any PLW token holder, regardless of the held quantity, can receive profits from the all products of ecosystem operation; holders shall just deposit their PLW to a staking contract. 35% of revenue received by polyway.io, yez.bet, yez.casino and all future projects to be distributed by the contract in proportion to all PLW tokens holders who deposited them to staking. Thus, the more tokens are staked by a holder, the larger % of the prize pool is transferred to a holder. Rewards to be credited weekly and to be paid in USDT which can be taken (claimed) at any time.

Rewards from Yez.bet sports line commissions are received once a month and to be distributed to PLW token stakers daily during the month following.

Sports line rewards are computed also based on 35% of the platform profits. The amount is computed as follows: (GGR*X) * 0.35. (A-B) = GGR, where GGR is the gross gaming income, A is the amount of bets (pot), B is the amount of payouts to bettors, X is a dynamic rate established monthly by Azuro protocol based on the gamblers performance and amounts to 30-60% on average.

In the Q3 of 2024, we plan to develop WEB3 games such as Dice, Plinko, Crash, CoinFlipp, Miner and others with 98-99% RTP. Third-party WEB3 projects will be allowed to host games under small commissions on profit. These commissions are also subject to 35% distributed to PLW token stakers.

Uma Oracle

Within integration of the UMA oracle, event outcomes are resolved transparently, ensuring fairness and trust in the platform This is an innovative oracle tool that ensures fair and transparent approvals of bettors and event outcomes.

UMA's Optimistic Oracle allows contracts to quickly request and receive trust data information about the real world. More details how UMA oracle work - https://docs.uma.xyz/protocol-overview/how-does-umas-oracle-work

Users can dispute any outcome in uma oracle by placing a bond, in this case it will be submitted to UMA’s DVM for dispute arbitration and voting process.

Referral Program

The referral program gives the opportunity to earn additional money by inviting new users to the platform.

The referral program:

  • 30% revenue from all invited users.

Upon registration on the platform, a user automatically receives a unique referral link. It is possible to share any event available on the platform; the link will already have a user Referral ID.

Various sources can be used to attract users. The referral program is suitable for:

  • news websites, channels, public pages, as well as influencers and arbitrators. It will be possible to monetize news traffic.

  • any newsworthy event throughout the world can be turned into a bet.

  • websites, movie reviews channels, TV series, it is a good idea to invite users to bet on the development of the story of a new, popular TV series or movie.

  • subject-matter experts who can allow their audience to create and place bets on the events of interest.

  • users in terms of creating private events for their friends to wager.

Referral rewards to be distributed daily through a separate smart contract. A Merkle tree is used, therefore securing fairness and transparency of all computations.

Referral rewards on Azuro protocol classic sports line to be credited at the beginning of each month for the previous one.

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