Why Prize Pools?
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HPB Pool allows developers to create a unique prize games for any HRC20 asset. This section will give an overview of the different types of Prize Pools, what a Prize Strategy is, and offer some use cases.
Prize Pools are contracts where users stake a token to be eligible for a prize. Tokens are given away as prizes by a Prize Strategy that uses a random number to select winners. There is one type of Prize Pools: Stake Prize Pools.
Stake Prize Pools allow any HRC20 token to be staked. In this way Stake Prize Pools can make a game out of any HRC20 token; which allows for a wide variety of Prize Pools. HRC20 and HRC721 prizes must be added manually to the prize pool.
The Prize Strategy's main role is distributing the prize. It is completely customizable and allows for everything from the number of winners, how often the prize is awarded, and other parameters to be changed.
The Strategy Contract has the ability to give out any tokens that have accrued to the Prize Pool contract as well any excess balance of the staked token. Excess balance can be from either accrued interest or fairness fees paid by users (more on that later). Excess balance is awarded to winners as tickets, and HRC20 and HRC721 tokens that have accrued to the prize pool are simply transferred to the winners.
