Every day, we are inspired by the opportunities that the cryptocurrency ecosystem creates for people all around the world to participate in. We are also inspired by the amazing potential that Stellar has to revolutionize global economies. As a result, we wanted to apply this revolution to the lottery industry.
Unlike traditional lotteries, we want to give you a fair, democratic chance of winning by establishing a transparent and decentralized lottery model.
At a glance, our model operates just like more traditional lotteries. Our lottery will function within a set timeframe, with a ticket required for participation, and the prize paid to the winner.
Unlike traditional lotteries, the prize will be pegged to the equivalent value in XLM, the ‘ticket’ will be digital and the winner is chosen through a decentralized mechanism, not by a fat man sitting behind his desk petting his cat!
But here’s the key difference:
Everything will happen on a distributed network with immutable records. This bit is really important. By leveraging the transparency of blockchain technology, we are creating a fair, open, global, and accessible lottery platform.
How to Participate in the Lottery
To participate in a lottery round, you need to buy a ticket while the round is open.
How do you purchase tickets?
It’s simple. You just need to transfer your LSP to the GAB7…24WK (through our interface or manually), and the transaction hash will serve as your ticket ID.
Lumenswap will independently set ticket prices for each round and announce them in the Round Introduction article. Because we’re aiming for maximum inclusion, tickets will be priced in a way that anyone with any financial capacity can participate.
The lottery is completely open, so anyone can buy as many tickets as they want. However, this raises a question: How do we plan to prevent whales from buying many tickets?
The answer is that we don’t! We don’t believe in limiting individuals in the name of fairness. Instead, through transparency and decentralization, we want to ensure that everyone has a chance to win in proportion to their purchase volume.
Note: The address to which LSP is sent is the contract address. All pooled LSP will be removed from circulation. Each lottery round will therefore also serve as a token-burning mechanism. This is the first upgrade to our tokenomics roadmap and serves as an important milestone in delivering more value for the Lumenswap ecosystem and community.