Poolorix Whitepaper

A decentralized Algorand prediction market by the community, for the community.

Introduction

Poolorix is a decentralized AMM based prediction market DApp built on the Algorand blockchain, powered by the Logarithmic Market Scoring Rule (LMSR) for efficient price discovery.

Poolorix enables users to speculate and trade on the outcomes of real world events using USDC, Poolorix removes the need for a central “house” allowing peer-to-peer trading with transparent probabilities.

Value Proposition

  • Decentralized and trustless No centralized bookmaker, users trade peer-to-peer via smart contracts.

  • Low Fees & Fast Settlement Built on Algorand for sub-second finality and minimal transaction costs.

  • Open Access Anyone can create or trade markets, democratizing prediction markets globally.

  • USDC Stability Trades are settled in USDC, reducing volatility concerns in crypto-native markets

Quick Overview

  • Market Creators Users who seed new markets with initial USDC liquidity and set event details.

  • Yes/No Shares Participants buy “Yes” or “No” shares reflecting belief in an event’s outcome.

  • Automated Market Maker LMSR-based AMM adjusts share prices automatically based on demand.

  • Source of Truth A publicly accessible URL that would be used to validate, the outcome of the event, example: https://www.livescore.com/en/, https://www.msnbc.com/

  • Fees 0.5% trading fee on buys/sells; 70% of fees go to market creators, 30% fund protocol operations.

  • Resolution Market disputes are resolved via a community-driven process using the $POOLO governance token

  • Payouts Winning shares redeem at $1; remaining collateral returns to market creators after fees.

How Event Trading/Speculations Work

  • Market Creation: A user feels that Arsenal are going to win the league this season, they create a market “Arsenal will win the 2025/2026 premier league” seeds USDC liquidity, defines Yes/No outcomes, and provides a source-of-truth URL for resolution.

  • Trading: Once the market has been created, another user might feel that there is no chance Arsenal are going to win the league, and decides to buy 1000 No shares. Another might feel the will and buys 500 Yes shares. Each trade on the platform incurs a 0.5% fee or the collateral amount.

  • Fee Distribution: 70% of fees go to the market creator; 30% fund protocol operations and liquidity reserves.

  • Resolution: At the end of the 2025/2026 season, the market creator or protocol submits the outcome of the event with a URL citing the outcome of the event, a 4 hour dispute window is opened anyone can contest the outcome, If contested $POOLO holders vote to resolve the dispute.

  • Settlement: Winning shares redeem at $1; remaining collateral (minus fees) returns to the market creator—potentially yielding profit if net fee shares were favorable. Example: if Arsenal wins the league the user who bought 1000 Yes shares get $1000, and the user who bought 500 lose his money, if it was the other way round, the user who bought 500 No shares get $500 and the user who bought No shares lose their money.

How market Resolution works:

Market resolution is broken down into 3 parts.

  • Outcome Proposal: Market creator or protocol submits a URL citing the event result backing the final outcome.

  • Automatic Settlement Window (4h): If no one disputes, outcome finalizes.

  • Dispute & Voting: If disputed within 4 hours, a 4-hour voting period begins. Quorum: 60% of market participants; if unmet, the vote window automatically extends by 4 more hours until quorum is reached or a max of 24h.

    After 3 consecutive extensions, if no consensus is reached, the initial proposed outcome becomes the final answer.

    To dispute an outcome a 10 USDC fee is charged. This is to deter spam. This fee can be changed through community governance.

    Staking & Slashing: Disputers stake $POOLO; those on the losing side forfeit 100% of their staked tokens, which are distributed to correct voters.

Technology

Poolorix is a decentralized prediction-market platform built on the Algorand blockchain. It enables users to trade outcome-based shares of real-world events using USDC, leveraging an automated market maker (AMM) powered by the Logarithmic Market Scoring Rule (LMSR) for efficient price discovery.

Smart Contracts

Each market created on poolorix is a separate Algorand smart contract which ensures transparency and security of funds, these smart contracts act as an escrow which holds/disburses the token shares based on the price of each price, the prices of each side is computed off-chain and fed to the smart contract by the treasury.

The Backend

The backend keeps records of each interaction on the platform, this makes it easier so data can be presented to the frontend fast.

The Frontend

This provides a smart and intuitive UI for traders to interact with the market contracts.

Tokenomics: $POOLO

The $POOLO token enables decentralized governance and community-driven market resolution.

Total Supply: 1,000,000,000 POOLO Ticker : $POOLO

Utility:

  • Vote on disputed market resolutions in a UMA-style process.

  • Influence protocol upgrades and fee parameters.

  • Future staking to earn a share of protocol fees.

Supply & Allocation

Public Sale & LP

35 %

350 M

2 months

Daily linear over 4 months (post-cliff)

Community & Ecosystem

25 %

250M

-nil-

5 % airdrop on TGE, then daily linear over 48 months

Team & Advisors

15%

150M

12 Months

Monthly linear over 24 months

Protocol Treasury

15%

150M

6 Months

Monthly linear over 36 month

Early Investors & Partnerships

10%

100M

6 Months

Monthly linear over 12 months

TOTAL

100%

1 Billion

Roadmap

  • Phase 1 (Testnet):

    • Smart and Intuitive UI creation for poolorix.

    • Smart contracts developments.

    • Beta launch on testnet to test security and functionality of the smart contracts.

    • Collect feedback and iterate till all systems are ready for mainnet launch.

  • Phase 2 (Mainnet):

    • Finalize testing on testnet, to ensure optimal functionality and security, deploy on Algorand mainnet.

    • Launch initial prediction markets by onboarding our first set of market creators.

    • Initiate decentralized resolution and governance.

    • Launch the $POOLO token and establish a liquidity pool.

    • Distribute initial wave of airdrop to testnet testers and users.

  • Phase 3 (Cross-Chain):

    • Expand USDC support and deploy to additional blockchains for broader market access.

Team & Contact

Founder & Lead Developer: Nwalozie Amamihe Chibuzor, reengineering prediction markets with AMM-based mechanics and on-chain governance. Ex-Gora DevRel. Full-stack engineer with 6+ years building scalable infra and smart contract systems across Algorand and EVM. Focused on turning decentralized theory into usable finance.

Website: https://poolorix.xyz/ Email: [email protected]

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