Prism Points Campaign

The Prism Points Campaign is a 12-month incentive program designed to bootstrap liquidity and reward high-conviction traders during the protocol's first year.

Unlike volume-based programs that encourage wash trading, Prism Points are awarded based on Net Capital at Risk. We reward users who take a stance and hold it, aligning incentives with accurate price discovery.

Campaign Budget & Schedule

The program allocates 1,000,000 $PRSM (1.0% of Total Supply) from the Community Incentives bucket. This budget is distributed across three distinct "Seasons" to concentrate rewards during the highest-growth windows.

Season	Duration	Allocation	Status
Season 1	Months 1-4	400,000 $PRSM	Upcoming
Season 2	Months 5-8	350,000 $PRSM	TBA
Season 3	Months 9-12	250,000 $PRSM	TBA

Note: Points are an abstraction that maps to a fixed $PRSM budget. At the end of each season, your points are converted to $PRSM tokens pro-rata based on your share of the total points pool.

How to Earn: The "Unhedged" Rule

To prevent manipulation and "hedge-farming" (where a user buys both YES and NO to generate fake volume), Prism utilizes an Unhedged Adjusted Cost Basis (ACB) scoring model.

Points are only finalized at Market Resolution.

You do not earn points for simply flipping shares. You earn points for the net exposure you hold when the market settles.

The Formula

$Points = (Winning Shares - Losing Shares) \times Average Cost Basis$

• Winning Shares: The number of shares you hold for the correct outcome.

• Losing Shares: The number of shares you hold for the incorrect outcome (deducted to find net exposure).

• Average Cost Basis: The price you paid for your winning position.

Examples

• Scenario A (Pure Conviction): You buy 100 YES shares at $0.60. You hold until resolution. YES wins.

  • Calculation: (100 - 0) * 0.60 = 60 Points.

• Scenario B (Hedged/Farming): You buy 100 YES and 100 NO to farm volume.

  • Calculation: (100 - 100) * Cost = 0 Points.

• Scenario C (Partial Hedge): You hold 100 YES and 20 NO. YES wins.

  • Calculation: (100 - 20) * Cost = Points on your net 80 shares.

Prism Power Multipliers

Your total points earning rate is determined by a simple "Base + Boost" formula. Every user starts with a Base Rate of 1.0x, and holding Prism NFTs adds a stackable "Boost" on top of that base.

$Total \ Rate = 1.0 \ (Base) + \sum (NFT \ Boosts)$

NFT Tier	Bonus Boost	Total Single Rate
Base User	--	1.00x
Emerald	+ 0.05x	1.05x
Ruby	+ 0.40x	1.40x
Diamond	+ 1.10x	2.10x

Example: A user holding one Diamond (+1.1x) and one Ruby (+0.40x) would have a total effective multiplier of 2.50x on their base points.

Anti-Farming Guardrails

To ensure fairness, the following rules apply:

1. Resolution-Only Scoring: Points are calculated based on the snapshot taken at market resolution. Selling your position before the event concludes forfeits the points associated with that capital.

2. No Wash Trading: Fully hedged positions (holding equal YES and NO shares) generate zero points.

3. Anti-Sniping: Exposure opened in the final window (e.g., last 24 hours) of a market may be subject to reduced point generation to prevent last-minute capital dumping.