As sports culture and crypto-economics converge, and major events such as the Qatar World Cup approach, derivatives based on sporting events present new opportunities for crypto-investors.
NEW YORK, NY / ACCESSWIRE / November 24, 2022 / NFTEA, a Web3 based NFT ‘Tea House’ has NFT options, games, galleries and many other derivatives. It features a brand new community governance and fully decentralized contract interaction that achieves total fairness.
For the first time, NFTEA integrates NFT, options and sports culture at its core, allowing investors to enjoy the event while participating in options trading and making profits.
NFT multidimensional options for sporting events
In the run-up to the 2022 World Cup in Qatar NFTEA World Cup 2022an NFT-based options product, has been launched, creating several firsts at the start:
- The first sports NFT option;
- The first multidimensional option NFT;
- Take the lead in integrating AMM into the NFT alternative.
NFTEA World Cup 2022‘s products run completely decentralized on the chain. Based on a simple options mechanism, users can support their favorite teams by purchasing options from different teams.
Options represent a certificate of option assets with several conditions and potential future value, which can be traded on markets such as Open sea anytime. This right will be exercised at the conclusion of the World Cup in Qatar. Investors who have different layers are expected to receive significant equity income.
The NFTEA project is supported by Qatar 2022 Digital Twinwhich is the first meta-universe ecosystem supported by the Qatari royal family.
How the decentralized NFT option is designed
NFTEA World Cup 2022 is built on the Polygon network, with a total of 32 layers, each with 40,000 options and NFTs. The team option records the team information, exercise date, expected return, etc. The team NFT records the purchase time, team information, etc. Both team options and NFTs are based on Ethereum’s ERC1155 standard.
Users must purchase the NFT options to participate in the events. NFTEA has adopted AMM mechanism, with the starting price as 3USDC. Later, the pricing mechanism is completely decentralized and determined by the market, determining factors include aspects of the team’s performance, market sentiment and community feedback. For example, before the game starts, the future performance of a team is still unclear, so the price of options will not be high; When the game starts, and the stronger teams present themselves, indicating the increasing possibility of making profits from such teams, the price of options will certainly increase.
This means that the cost of buying option cards for stronger teams will increase significantly as the game progresses, and the earlier you buy, the lower the cost and the more profit you will receive (early entrants can earn the most). Meanwhile, the cost of some unpopular teams is relatively low, by using appropriate strategies, you can also earn some benefits.
Team NFT represents NFT options, which are used as a token and collectible to give away to users for free after users purchase NFT options.
Fully decentralized revenue system
Users who have the NFT option can exercise their rights after the WC to make money. When users purchase NFT options, 10% of the fee will be sent to the development team as development funds and copyright revenue, while all remaining sales will be returned to participating users.
Depending on the final score of each team, the buyer of the team’s NFT option will be able to win different amounts of money, and may also lose money.
The income pool contains:
1. Team Reward (90%)
According to the final results of each team (champion, second place, third place, fourth place, quarter final, top 16, of top 16), the buyer of the team’s NFT options will have the opportunity to receive different amounts of income and may also have a loss.
We take into account both cost and number of sales. Assuming that the number of options sold for each team is uniform, we will obtain the following cost-benefit ratio:
A single team (40,000 total)
- If 5000 cards were sold, the average price of the option is 3.428 USDC and the highest price is 3.918 USDC. After winning the championship, theoretically 3,428*2=6,856 USDC can be recovered (if other teams also sold the same number of options).
- If 10,000 cards were sold, the average price of Option is 4 USDC, and the highest price is 5.33 USDC, after winning the championship, theoretically 4*2= 8 USDC can be recovered.
- If 15,000 cards were sold, the average price of the Option is 4.8 USDC and the highest price is 7.68 USDC. After winning the championship, theoretically 4.8*2= 9.6 USDC can be recovered.
- If 20,000 cards were sold, the average price of the Option is 6 USDC and the highest price is 12 USDC. After winning the championship, theoretically 6*2= 12 USDC can be recovered.
- If 25,000 cards were sold, the average price of the Option is 8 USDC and the highest price is 21.33 USDC. After winning the championship, theoretically 8*2= 16 USDC can be recovered.
- If 30,000 cards were sold, the average price of the Option is 12 USDC and the highest price is 48 USDC. After winning the championship, theoretically 12*2= 24 USDC can be recovered.
Therefore, assuming all teams sell 20,000 options (total is 40,000), of which Team A wins the championship, the final return can be double the average price of 8U for selling 20,000 options, which is 16U.
As for the earliest investors who bought in while the price is at 3U, they can get 4x the return. Those who bought later, despite the decline in returns, could still get quite a substantial return. With this model, you can see that users who participate early are the ones who earn the most.
It’s worth mentioning that on the Option Details page of each team, the highest payout (if they win the championship) and lowest payout (if they didn’t finish in the top 16) of the option will be continuously updated in real time. Users can use this information to judge the teams and people’s expectations of them, combine such information with the current price to make an overall assessment and decide which team’s option to buy.
2. Last buyer (1%)
The last buyer of all teams will receive an additional grand prize of 1% of the team’s prize pool.
3. Referral reward (5%)
We have referral rewards! When a user invites a friend to buy an NFT option, they will receive 5% of the sales commission directly. For example, if player B buys a 3 USDC option through player A’s referral link, player A will immediately receive 5% of the sale on his address, which is 0.15 USDC. This is another way for users to get more profit.
4. Lotto prize pool (3%)
This part of the income pool will support various small activities, such as Blind boxes, Card collection, Airdropsetc.
5. Community incentives (1%)
This part of the income pool is used to reward active community members and administrators, to incentivize those who actively contribute to the project.
NFTEA World Cup 2022 the product line is a pilot for the team to engage in NFT Option in sports. From 2023, we will launch products for the five major European leagues, NBA, E-sports (Dota, League of Legends, CS) and other diversified Sports NFT Option products to meet our users’ needs.
About NFTEA
A Web3 based NFT ‘Tea House’ has NFT options, games, galleries and many other derivatives. It features brand new community governance and a fully decentralized contract interaction that achieves total fairness.
NFTEA has launched an exclusive NFT Option product for World Cup in Qatar 2022which can be used to purchase your own corresponding NFT options cards, support your favorite team while participating in options trading and sports.
Make friends, play and earn. Have fun!
Website: nftea.homes
Contact person: Yusuf
Email: [email protected]
SOURCE: NFTEA
