Betting on Smols

Anyone is free to bet any amount in the Smol Run, on 1 or multiple smols, anything goes.

However, winners can only win the Active Pot, which doesn’t always coincide with the Total Bet Amount.

The essence is that winners can gain a maximum of 3x pure profit on the amount they have bet, assuming that all 4 losing betting pools are at least equal to their wining betting pool.

More details about the Active Pot can be found here.

The House takes 20% of the Active Pot and directs it as follows:

• 15.0% -> Staking Rewards
•  3.0% -> Raids/Marketing/Prize Pool
•  1.0% -> Smols Fund
•  1.0% -> Team

Winners divide the Active Pot according to what percentage of the initial winning smol betting pool they had.

Someone that bet 10% of a total 1ETH wagered on the winning smol gets 10% of the 4ETH in the Active Pot after the house cut.

The Incurred Loss of the losing participants is limited to the winning smols’ betting pool size. If a winner had 2ETH riding on it and a loser had 4ETH riding on it, the loser’s betting pool takes a loss of only 2ETH.

Distribution of loss among participants is done the same way, as a percentage from every user participating in the loosing pot. More details about Incurred Losses and distribution of losses among participants can be found here.