TLDR / Summary

Not everyone enjoys reading lengthy texts to grasp concepts and ideas. That's why we've opted to provide a concise summary of how Shark Protocol operates, utilizing a series of images and examples to illustrate the flow of processes within the protocol.

Shark's Price Prediction

Example: In a price prediction game on Bitcoin ($BTC) with a target price set at $70,000, participants predict whether the price will be HIGHER or LOWER than $70,000 within a 5-minute timeframe. Bulls and Bears wager their amounts. Those with the correct prediction win the prize pool.

Note: $SHARK staking automatically opens positions on both sides of the game to make sure there are positions on both side of the game.

There is also a 2% fee taken by the protocol which is distributed to:

• 80% $SHARK stakers

• 10% $WHALE stakers

• 8% Racoon NFTs DAO

• 2% $RAC DAO

These fees are used to maintain the protocol and incentivize the $SHARK stakers as they are crucial to the operations.

$SHARK Staking

$SHARK staking represents a native liquid staking mechanism. When you stake $SHARK, you receive $lsdSHARK, whose value appreciates over time with the addition/distribution of more $SHARK into the staking contract. You have the option to unbond your $SHARK using either the classic approach, which requires 10 days, or the instant approach, which completes within 15 seconds but incurs a 10% fee (distributed to $SHARK stakers).

$SHARK is added to the staking contract through:

• Staking rewards every 24h

• Shark Protocol fees

• Shark Staking's prediction games won

Overview of Shark Protocol's Ecosystem

In the below image, you can find how do all pieces interact with each other.