Moonpot has a governance pot called Ziggy’s Pot. This is where 5% of all the interest earned across the entire Moonpot ecosystem is sent.
Those earnings are then paid to users who hold Moonpot’s native token $POTS and stake them in Ziggy’s Pot.
Additionally, another 5% of all the interest earned across the whole of Moonpot is put in the fund for the prize game attached to Ziggy’s Pot.
The draw for Ziggy's Pot takes place once a week. All users who have staked their $POTS are eligible.
There are five winning tickets — with each awarded 20% of the prize pot.
In this way, all of Moonpot’s fees are redistributed as interest and prizes back to eligible users holding $POTS.
For our weekly (our longer) Moonpot prize games, there is an initial 10-day-long Fairplay Timelock in place.
If you withdraw before the 10 days, you will need to pay, at most, a 2.5% Fairness Fee.
Note that this 2.5% Fairness Fee reduces down to zero over the course of the ten days.
Winnings are subject to a maximum 5% Fairness Fee.
These mechanisms ensure users don’t hit and run without contributing to the platform.
The Fariness Fees guarantee fairness for every single player in each pot.
Moonpot is built on everyone’s assets being bundled together to earn interest for each individual as well as for the wider prize pots.
The Fairplay Timelock exists to prevent someone depositing just before a prize draw, and then immediately withdrawing if they don’t win, without having contributed to the group growth.
For more details, see the question below.
The prizes come from the interest generated by all the Moonpot players, so we need a system to keep the game fair.
There is a basic 10-day-long Fairplay Timelock to prevent players from depositing right before a draw and then withdrawing quickly afterward.
If you want to withdraw before your Fairplay Timelock has passed then you’ll pay a 2.5% Fairness Fee, or less.
The Fairness Fee reduces every second down to zero over the 10 days.
Depositing more tokens will reset your Fairness Fee to a maximum of 2.5% for your extra deposit.
If you have a winning ticket and get a prize, your Fairness Fee will be reset to 5% and will then reduce every second down to zero over the 10 days after you have won.
These measures prevent bad actors from manipulating the prize draws.