Feeling lucky? Buy lottery!
Lottery is a hope of many people, in fact a desperate hope. When we see the news of Lotto winners, there are jealousy and hope for a chance to win big too. Unfortunately the chance to win big is very little. There's a bigger chance to lose money buying that lottery. If you summarize the total amount you have bought lottery in your whole life, you will be surprised how much you have spent on it. That money could be sittinng on your retirement saving. What if we can save it?
Pancakebunny.finance offers no loss jackpot. The Bunny Pot collects total yield accrued over a set period of time based on the total stake, and distributes these profits to one of the pot participants. Will you be that one? The chance is more likely if there are less participants, but the reward will also be smaller to the point that it may not be attractive anymore.
There are Bunny pot and Cake pot to choose. Most of the pots are 7-day locked fund except Cake Premium pot which requires only 3 days locked. Although the idea seems good to bet without losing, but there's still a weakness. Once the coin is locked, you are losing an opportunity to earn from the locked coin. We have not yet taken gas fee for moving fund into consideration, so you will end up at loss if you win nothing.
That is how Moonpot comes to improve by combining the stake yield and lotto together. Each pot offers yield while coins are locked in the pot. So you can still earn from staking and have a chance to win lottery too. The pot also divide rewards to increase chance for more participants to win lottery, not just a single big winner of the pot.
In my opinion, the reward could be divided more in levels to cover more participants winning lottery in each round. It does not need to have only a few levels of winners, but it could be 100+ consolation prizes, so to make participants feel more excited for a chance to win bigger than just APY shown on the pot, since they already give up a chance for higher APY pool staking elsewhere.
Moonpot is powered by Beefy, the famous Defi. Moreover it was certified by Certik. So we can be sure that our money is safe in the pot. If you have a question how these pots bring in rewards, they just collect to invest in Beefy and generate income to distribute among winners and participants. So this is like a small Beefy project to support the mother platform.
$POTS is Moonpot’s token that allows holders to share in part of the revenue of the platform. By staking $POTS in Ziggy’s Pot, you can receive a portion of 5% of the interest earned across all Moonpots. Ziggy’s Pot also has a regular prize draw that pays out another 5% of the platform’s interest to the winners. $POTS also provide voting power in Moonpot’s DAO governance model. Maybe you can propose or vote for another pot they should have. Community pot like BANANA pot for Apeswap community is also available. I personally would like to see NFT pot in the platform soon, if they are hearing.
Let's take a closer look at CAKE pot. If CAKE is staked in PancakeSwap (Cake pool), APY is 92.12%, but in Cake pot, APY is only 45.52% which makes sense when half rewards go to winners and the other half to pay staking yield to every participant. So you can choose a steady double yield, or you are willing to receive half less for a chance to win big, but also keep in mind that it is also highly likely to win nothing at all. That half less APY is still your consolation prize.
Once you have your fund deposited in the pot, you automatically participate the lucky draw as long as your fund is staked without having to buy lottery. However, please note there is a 10-day timelock on your deposit, or payment of a 2.5% fee (or less as the fee reduces every second until release time) if you would like to exit early. Your odds of winning depend on how much you deposit in the Moonpot, and how much is in there when the prize draw is held. This is because it’s directly proportional.
Winners record also shows who are winners in each round. The prize and interest are automatically deposited into the winners' account. There's a record of $30,000 prize to a winner who staked only 10 CAKEs. Very lucky!
You can find more information on docs.moonpot.com which I think is quite honest and points out risks and opportunities. If you feel lucky, go for it!
Good luck and Stay safe!
