The WINR Protocol is a decentralized gaming ecosystem built on top of the Arbitrum blockchain to provide decentralized liquidity for on-chain games. However, to facilitate an on-chain mechanism that ensures liquidity is provided to games while also rewarding players' actions, WINR Protocol has developed two token systems with WINR/vWINR contributing and playing an important role in the protocol's mathematical model.

We first need to distinguish the two tokens to understand the process better. WINR is the native token of the protocol. The second part of the token system consists of the vWINR token, which is the vested version of WINR.

New vWINR tokens are minted with each betting transaction and can be converted into WINR tokens after 180 days. While the vesting period isn't strictly imposed, every user can redeem vWINR tokens outside of 180 days; however, vWINR tokens must be vested for at least 15 days before being redeemable. Still, token holders are incentivized to hold and stake both WINR and vWINR tokens to receive WLP tokens which are part of the protocol's staking pool. Staking vWINR tokens are two times more profitable than staking WINR tokens.

To decrease inflation while ensuring an accurate rewards system, the WINR protocol has a set emissions schedule where 30% of all emissions are distributed during each on-chain transaction. Moreover, liquidity providers also get 7.5% tokens while 2.5% is allocated to the WINR/vWINR staking pool.

There's also an emissions scheme set to combat token inflation further, and it's directly related to the bribes paid into the WINR/vWINR pool, the current vWINR price, and the minting multiplier. We'll discuss the bribes mechanism later; however, the bribe multiplayer ranges from 0.5X to 2x and can also be subjected to three total halvings.

So for each vWINR minted for the players, a fourth of the amount is minted for the WLP holders. WLP tokens grow in value over time as more users lose tokens that are added to the general index fund. However, the more players win, the lower the price of WLP tokens becomes until there is a rebalancing of players sum ups.

With so many emissions and token issuance, WINR needs a deflation mechanism to keep token value and inflation in check. This means the protocol has a buyback process of 20% bribes and 15% fees to burn WINR tokens from the open market. This self-rotating mechanism also includes a lesser than 180 days vesting period where vWINR are burned on top of the 0.5% fee for unstaking WINR or vWINR tokens.

With the bribes mechanism forcing the WLP to pay based on a multiplier, the WINR protocol's incentive model offers a mathematical edge that helps its liquidity to stay solvent while providing value to developers and rewarding token stakers and players. On that note, the WINR smart contract provides WINR protocol with a solid foundation to continue building the self-relying on-chain liquidity protocol.

The WINR Protocol is a decentralized gaming ecosystem built on top of the Arbitrum blockchain to provide decentralized liquidity for on-chain games. However, to facilitate an on-chain mechanism that ensures liquidity is provided to games while also rewarding players' actions, WINR Protocol has developed two token systems with WINR/vWINR contributing and playing an important role in the protocol's mathematical model.

We first need to distinguish the two tokens to understand the process better. WINR is the native token of the protocol. The second part of the token system consists of the vWINR token, which is the vested version of WINR.

New vWINR tokens are minted with each betting transaction and can be converted into WINR tokens after 180 days. While the vesting period isn't strictly imposed, every user can redeem vWINR tokens outside of 180 days; however, vWINR tokens must be vested for at least 15 days before being redeemable. Still, token holders are incentivized to hold and stake both WINR and vWINR tokens to receive WLP tokens which are part of the protocol's staking pool. Staking vWINR tokens are two times more profitable than staking WINR tokens.

To decrease inflation while ensuring an accurate rewards system, the WINR protocol has a set emissions schedule where 30% of all emissions are distributed during each on-chain transaction. Moreover, liquidity providers also get 7.5% tokens while 2.5% is allocated to the WINR/vWINR staking pool.

There's also an emissions scheme set to combat token inflation further, and it's directly related to the bribes paid into the WINR/vWINR pool, the current vWINR price, and the minting multiplier. We'll discuss the bribes mechanism later; however, the bribe multiplayer ranges from 0.5X to 2x and can also be subjected to three total halvings.

So for each vWINR minted for the players, a fourth of the amount is minted for the WLP holders. WLP tokens grow in value over time as more users lose tokens that are added to the general index fund. However, the more players win, the lower the price of WLP tokens becomes until there is a rebalancing of players sum ups.

With so many emissions and token issuance, WINR needs a deflation mechanism to keep token value and inflation in check. This means the protocol has a buyback process of 20% bribes and 15% fees to burn WINR tokens from the open market. This self-rotating mechanism also includes a lesser than 180 days vesting period where vWINR are burned on top of the 0.5% fee for unstaking WINR or vWINR tokens.

With the bribes mechanism forcing the WLP to pay based on a multiplier, the WINR protocol's incentive model offers a mathematical edge that helps its liquidity to stay solvent while providing value to developers and rewarding token stakers and players. On that note, the WINR smart contract provides WINR protocol with a solid foundation to continue building the self-relying on-chain liquidity protocol.