The purpose of this article is to add clarity to the EarnBet dividends model and buyback/burn mechanism. We hope this answers a number of frequently asked questions about these topics.
EarnBet helped pioneer the dividend token model. We pay 100% of profit (revenue minus operating costs) to BET token holders.
After our move to the WAX blockchain, we relaunched the EOSBet.io website for our EOS fans still wanting to play our games with their EOS account. So BET holders now receive dividends from 2 websites:
Update: Meanwhile we also implemented our Staking Program.
Dividends from EarnBet.io:
A small portion of each bet called the house edge is transferred to the WAX revenue account
waxbetbank11. From there, 25% is transferred to the WAX dividends account
waxbetdivs11 and 75% to the WAX costs fund account
From the WAX dividends account, every BET holder gets paid according to their amount of BET tokens staked when they claim it on the EarnBet website.
Dividends from EOSBet.io:
100% of dividends from EOSBet.io are also sent to the dividends pool.
A portion of each bet (the house edge) is transferred to the EOS revenue account
eosbetbanknn. From there, 25% is transferred every month to the EOS dividends account
eosbetdivsnn and 75% to the EOS costs fund account
eosbetcostsn. From the EOS dividends account the funds will be manually transferred about once a month to the WAX dividends account
waxbetdivs11, where they can be claimed by staked BET token holders.
BET buyback and token burn details! 🔥🔥🔥
Current Buyback Program
From August 29, 2019 until November 29, 2019 the EarnBet team ran a token buyback program. BET tokens were purchased from exchanges and placed in an EOS holding account
waxbetlocked), taken out of circulation forever. This created for the first time ever a deflationary BET supply. Over 1.5% of circulating supply is permanently taken out of circulation as to date.
Following recommendations from the community, we decided that rather than fully destroy or “null” these tokens, it would be more beneficial to keep them locked and use the dividend proceeds to buy back even more tokens off the market.
This creates a perpetual, permanent buyback¹, where tokens will be continually removed from the market. All dividends that the WAX lock account
waxbetlocked is generating will be sent to WAX buyback account
waxbetbinanc where they will be used to buy more BET off the market, which is then sent back to the locked WAX account
waxbetlocked. Additionally, all tokens users convert to BEP2 Binance Chain tokens do not receive dividends, these proceeds instead go to the buyback pool.
We keep track of the burned token amount on our website here.
Future Buyback Plans
The EarnBet team continues to take tokens off the market in the following ways:
- Using 100% of dividend proceeds from the WAX lock account
waxbetlockedto purchase and remove BET from circulation;
- Using 100% of dividends from converted BEP2 tokens to purchase and remove BET from circulation;
- Using a variable percentage of dividend proceeds from the WAX costs fund account
waxbetcosts1to purchase and remove BET from circulation.
Future possibilities for additional burn events include:
- Allowing gameplay with the BET token. Profit would be burned rather than distributed as dividends.
- Allow users to burn BET tokens in order to receive different power-ups and perks on EarnBet.io
- Additional to be announced burn features following future releases
¹ The EarnBet permanent buyback program is permanently running until the total supply reaches 44 million BET tokens.