❔FAQ
What is Cosmos Millions?
Cosmos Millions is a prize-linked savings account protocol that offers the opportunity to win prizes while saving money.
What is a Prize-Linked Savings Account?
A prize-linked savings account (PLSA) combines the stability of a traditional savings account with the excitement of potential rewards.
In a PLSA, the deposits are gathered to collectively generate yield. Then, this yield is distributed in the form of prizes to randomly selected account holders.
Such an approach incentivizes individuals to save money by offering them the chance to win substantial rewards without risking their initial deposits.
Is Cosmos Millions free to use?
Yes. Anyone can deposit and participate for free. Cosmos Millions is an open and accessible platform for all.
To keep things running, the Cosmos Millions protocol automatically collects 10% fees over prizes once they are distributed. Fees goes toward Lum stakers, see Protocol Fees documentation for more information.
This is fundamental to ensure long-term viability of the blockchain infrastructure used to support the Cosmos Millions protocol.
Using Cosmos Millions requires to pay (blockchain) transaction fees that are usually extremely cheap, less than a USD cent, thanks to the blockchain technology being used.
How can I participate?
To participate to Cosmos Millions, you first need:
A Keplr / Leap / Cosmostation wallet
Tokens to save (see available Pools)
Then you can deposit your savings into Cosmos Millions to start participating.
Check the 🚀 Getting Started section and follow the onboarding to participate.
How are the prizes generated?
Prizes on Cosmos Millions are generated from the staking rewards earned on user deposits. When a user makes a deposit, their tokens are sent back to their native blockchain where they are staked, thus generating rewards.
These staking rewards are then collected and distributed as prizes on the Cosmos Millions platform. In other words, the prizes are the result of the collective staking activity of all the deposited tokens.
Are my deposits safe?
Cosmos Millions employs robust security measures to protect your deposited assets. When you make a deposit, your tokens are sent back to their native blockchain where they are staked with reputable validators in the Interchain. These validators have a track record of reliability and security, which helps ensure the safety of your deposits.
Also, Cosmos Millions is open-source, and it has been thoroughly audited by Oak Security, an independent security firms to ensure its safety and reliability. See Security & Audit
How will the $100,000 from the ATOM Accelerator DAO grant be used?
The full amount will be used as liquidity for the ATOM pool, ensuring exciting prizes for our early depositors.
Is it necessary for me to deposit in the pool every week?
No. You are not required to deposit funds into the pool every week.
Once you make a deposit, you automatically become eligible for all future prizes. But the more you deposit, the higher your chances of winning, so you can always chose to top-up your deposits over time.
How many winners are there?
The number of winners for each pool of Cosmos Millions varies, and so does the number of prizes awarded.
As a decentralized and open-source protocol, Cosmos Millions provides complete transparency to its users. Anyone can see the list of winners on the web application.
You can check the details of each pool before making a deposit to understand the specific number of prizes and winners.
What are my chances to win?
Your chances to win a prize are dependent on how much you have deposited. The more you deposit, the more you can win.
Your chances to win a prize are also dependent on when you have deposited during the prize period.
E.g: say you have $1000 deposited for a full week prize period. That would mean your average balance for the prize period is $1000. Someone else might deposit $2000 in the middle of the week before the prize draw. Their average balance for the draw would be $1000. Even though they deposited more than you, their chance to win would be the same.
The actual chances are only known at the time of the draw when all deposit are locked in. At the time of bonding your tokens, the estimation showed is based on the data available.
What if I don't win?
No win, but no loss either. Your deposits remain intact and continually make you eligible for upcoming draws. Also, you have complete control over your funds. You can withdraw your deposit at any time.
How long do I have to claim my prizes?
When you win a prize on Cosmos Millions, you have a 30-days window from the draw date to claim your prize.
Head to the My savings section of our web application to claim your prizes.
To never miss a prize, we recommend activating prize notifications using our bot on Discord. This way, you'll always know when it's time to claim!
If you don't claim your prize within the 30-days time frame, the prize will be clawed back by the protocol and will end up into the next draws' prize pools.
Remember, regular check-ins on the platform ensure you never miss out on any prizes!
Is there a minimum deposit?
Yes, each pool does require a minimum deposit amount.
However, this amount is typically quite small. Its purpose is to prevent unnecessary spam transactions to ensure the smooth operation of the system.
Why is there an unbonding period on my deposit?
Your deposit is sent by Cosmos Millions on the native blockchain (e.g: Cosmos Hub for $ATOM) to generate staking rewards.
On each blockchain of the Cosmos Ecosystem, there is a specific unbonding period to ensure the security and stability of the network. By locking up your tokens for a specified period of time, you are contributing to the security of the blockchain and reducing the risk of network attacks or manipulation.
Additionally, the unbonding period incentivizes long-term participation and discourages short-term speculation, promoting a healthy and sustainable ecosystem.
The unbonding period depends on the network - it is generally set between 14 and 28 days. Due to technical reasons, it is best to add 3-day buffer if you want to withdraw and have your tokens available (e.g. for a withdraw on the Cosmos Hub, count 21 days of unbonding + 3 days buffer : up to 24 days to get your tokens back)
How will the $5,000 ATOM launch incentives be distributed?
To give an incentive for people that register early, $5,000 ATOM worth of deposit drop will be randomly distributed to 50 users ($100 each).
The requirements to be part of the 50 chosen ones are to:
Register before May 3rd 12:00 UTC
Deposit at least 1 ATOM in the ATOM pool between the pool opening and the first draw.
You will be entitled to the prizes corresponding to this extra $100 participation for the next 3 months. At the end of the 3 months, you will keep the tokens you deposited and the incentive tokens will go back to the protocol.
Can I participate in on-chain governance with my deposit?
We understand and acknowledge the significance of on-chain governance in the Cosmos ecosystem, and we are actively working towards supporting governance rights for Cosmos Millions depositors.
At the time of writing, depositors' deposits do not carry voting rights for the depositor, only Cosmos Millions validators remain capable of "accessing" this voting rights. Validator's votes will therefore be taken into account for Governance Proposals on the native chains.
This issue is notably faced by liquid staking protocols, and efforts are ongoing to solve it.
What is the Cosmos ecosystem?
The Cosmos ecosystem is a decentralized and interoperable network of independent blockchains, applications, and services communicating through the Inter-Blockchain Communication (IBC) protocol.
What is the Lum Network?
The Lum Network is a secure and sustainable blockchain from the Cosmos Ecosystem launched in December 2021. It is powered by the $LUM token, its native crypto-asset.
Lum comes from the word “light” and expresses the value created by and for community members throughout their online and offline experiences. Learn more about Lum Network.
Still have a question? We'll be glad to answer it, come to our Discord.
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