Glossary
Key terms used throughout the betlana protocol.
Coupon
A single user position containing one to four prediction market legs. The coupon's payout is stake × (product of all leg odds). A coupon is atomic; all legs execute together or not at all.
Leg
One prediction market bet within a coupon. Each leg selects a Betlana market, a side (yes/no), and contributes its odds to the coupon's overall odds product.
LP (Liquidity Pool)
The protocol's on-chain counterparty. Every coupon is settled against the LP; it pays winners and collects from losers. The LP starts at $0 and grows purely from user losses; there is no way to deposit capital into it directly.
Payout Queue
A FIFO (first-in, first-out) linked list of unpaid winning coupons. When the LP cannot immediately cover a full winning payout, the profit portion of the win enters the queue. Queued amounts pay out automatically as the LP receives new funds.
$BET
The LP fee-claim SPL token. $BET is minted when a user loses a coupon, at a rate tied to the LP's gain. Staked $BET earns a share of LP revenue and LP excess sweeps in USDC.
sideBucket
An accounting buffer that holds incoming loss proceeds when the payout queue is non-empty. The harvest keeper drains the sideBucket into queued payouts, ensuring queue order is preserved.
treasury
The LP's primary balance account. Covers immediate winning payouts when solvent. Loss proceeds flow to the treasury when the queue is empty, or to the sideBucket when the queue is active.
Martingaler
The mechanism that allows the LP to operate with zero upfront capital. Named after the Martingale probability concept. The FIFO queue provides a solvency guarantee under the assumption that the LP will eventually receive sufficient loss proceeds. Full details in the whitepaper.
tailProgressUsd
A high-water-mark variable tracking cumulative LP gain beyond the $2M flat-region threshold. Used to compute the asymptotic $BET mint rate decay. It never decreases, even if the LP balance falls.
$5M staker reward cap
A sweep threshold, not a hard cap on the LP. Below $5M, stakers earn only the LP-revenue share; once the LP balance exceeds $5M, every dollar of further LP gain is fully sweepable to stakers. The LP itself is not prevented from holding more.
Harvest Keeper
A permissionless off-chain process (anyone can run it) that calls the on-chain harvest instruction to drain the sideBucket into queued payouts. No trust or permission required.
FIFO
First-in, first-out. The payout queue processes winning coupons strictly in the order they were submitted, ensuring earlier positions are paid before later ones when the LP is insolvent.