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The Megapot app is winding down and shuts down on December 1, 2026. Ticket purchasing and new signups in the app are closed. The protocol continues to run, and the player / backer / referrer split below still describes how money flows on-chain. Read Announcement.
Megapot brings together three groups of participants, each playing a different role in making the lottery work. Understanding how they fit together helps explain why Megapot can offer better odds and instant payouts.

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Three Roles, One System

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Players

Traditional lotteries keep most of your money. Megapot returns approximately 77.5% as prizes. For just $1 USDC, you’re in the running for 10 prize tiers—including the jackpot. And with a drawing every single day, you don’t have to wait long for your next chance.

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Backers

Backers fund the prize pool. They deposit USDC, and that money becomes available as prizes. In return, Backers earn a share of ticket sales revenue. Think of Backers as the foundation that makes everything possible. Without them, there would be no prizes to win. In exchange for taking on this role, they earn returns from every ticket sold.

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Referrers

Referrers help spread the word about Megapot. When someone uses a referral link to buy tickets, the Referrer earns a portion of the sale. If that player wins, the Referrer also earns a share of the winnings. Referrers are incentivized to bring in players who stick around, because their earnings grow when their referrals win. Learn more on our Referral Economics page.

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How Money Flows

Every dollar spent on tickets flows through the system in a predictable way. Here is how it breaks down:
Megapot Mechanism

Megapot Mechanism

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Step by Step

1. Backers fund the prize pool Backers deposit funds into the prize pool. Their deposits becomes available as prize money. 3. Players buy tickets Each $1 ticket purchase gets split:
  • ~90% goes to Backers (as revenue)
  • ~10% goes to Referrers (as fees)
4. The drawing runs Once daily, Pyth Network generates verifiable random numbers. These determine the winning combination. No one can predict or manipulate the outcome. 5. Winnings Calculated Approximately 77.5% of ticket sales are paid out as prizes across all tiers. 10% of prizes are paid to referrer’s as a referral win share. 6. The cycle continues After each drawing, a new round begins. Backers’ positions update based on the results, and the system is ready for the next day.

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The Key Insight

Backers receive 90% of ticket revenue, but over time approximately 77.5% gets paid out as prizes. The difference (roughly 12.5%) is the expected Backer return per ticket. This is how Backers earn yield while making the prize pool possible.

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Why Everyone Benefits from Growth

The Megapot ecosystem is designed so that all three roles benefit each other and drive further community growth. When more Players join:
  • Backers earn more revenue
  • More Backers join the pool
  • Prize pools get larger (more exciting jackpots)
When more Backers join:
  • Bigger jackpots mean bigger wins
  • Larger prize pools attract more Players
  • Referrers convert at a higher rate
  • More referrers join
When more Referrers join:
  • More Players discover Megapot
  • More Players play Megapot
  • Backers earn more revenue
This alignment of incentives is what makes the system sustainable. No single group can succeed at the expense of the others.

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What Makes This Work

Megapot operates differently from traditional lotteries in several important ways:

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Next Steps

Now that you understand how the ecosystem works, try out the role that interests you most: Or continue learning: