Payout Logic
Using a binary parimutuel market structure as an example, the payout logic on FORE Protocol is best described by the following diagram:
- Players take positions against each other in a market with two binary outcomes
- Players’ funds are held in a decentralized smart contract until market resolution
- Market odds are determined upon market closure based on market participation on either side
- Payout is determined by the player’s respective share of the winning side relative to the losing side
- 95% of the total market is distributed to winning players
- Payout is trustless and immediate upon resolution
Last modified 4mo ago