PROS token reveal: model and utility
Greetings, dear community members, it’s been a while since our first mention of Prosper token. We’ve been constantly receiving a large amount of questions on that from our community. But the time has come and today we are proud to introduce you to one of the core elements of our ecosystem — PROS token.
Disclaimer: please note, that we may change the exact numbers before token release, but the idea and model will stay the same. The information you will find below is just a draft of our economy model.
As we previously announced, the fee rate of Prosper is 5% of the winning side, however, users may reduce them by using PROS as a payment. We are convinced that the most effective model here is the BNB one [In terms of maintaining the token value]. Basically a user can cover half of the fee by his token. The token, which has been received by Prosper foundation as a fee compensation will be burned each quarter. Another model that we are considering here is a subscription model: users can eliminate platform fees by monthly payments in PROS token. Tokens that have been received from the subscription will be burned as well.
One of unique features of Prosper is user owned pools. We’ve already briefly explained how it works in our previous article “Features and future plans”, we recommend you to read it for better understanding, but you can find a quick summary below:
In order to create a custom prediction pool, the owner has to lock some amount of $PROS token for 14 days [Or pay a smaller amount, if he doesn’t want to lock tokens]. Prosper foundation also takes 10% fee from the amount of commission, that has been received by the owner. Tokens that have been received as an income from the custom pools feature will become a subject of quarterly token burn.
We’ve released a detailed podcast on our insurance system some time ago, check it out here if you missed it.
Basically, if a user holds some amount of $PROS token, he is eligible to participate in the bet insurance program, but it does not come in an automated way. Each time, when he makes his bet, he has to lock tokens that have been used for insurance for 14 days. It helps us to create a demand of $PROS and guarantee equality for all users.
Exclusive pools feature is still in early stage, so we haven’t finalized a model here. But the idea behind this feature is that from time to time we will be opening an exclusive prediction [For example: on election results, or next binance listing, etc.]. Those are free from any commissions, but users have to pay some amount of $PROS token to make a prediction. $PROS received from exclusive pools will become a subject of quarterly token burns.
Bet leverage is another feature, which is currently in the early stage of development. But it is going to work this way: a user, who is willing to leverage his bet, needs to send a request to leverage the pool and make a pledge in $PROS token and also pay a $PROS interest rate.
The key point of the sustainable token model is a balance of supply and demand, exactly this we are trying to achieve here at Prosper Foundation. Thus we’ve integrated $PROS in most of the platform features, guaranteeing a constant increase of token usage together with the user base growth. You can find a quick summary of how we are going to control the demand of $PROS below:
Subscribe on our social media channels to stay up to date. We would also appreciate your feedback and bug reports there.