What is PoolTogether?
PoolTogether is a decentralized finance (DeFi) protocol that offers no-loss prize savings games on the Ethereum blockchain. Users deposit funds into the protocol, which are pooled and invested into yield-generating DeFi protocols like Aave. The interest earned from these pooled deposits is then distributed as prizes to participants through random draws. This unique setup ensures that users do not lose their deposited funds, even if they do not win a prize, making it a secure and attractive way to save and earn potential rewards.
PoolTogether operates transparently through open-source smart contracts, allowing anyone to verify prize draws and audit the protocol's code. The platform supports multiple blockchains, including Ethereum, Polygon, and Optimism, offering users flexibility and lower transaction fees. Governance of the protocol is managed by the community through the POOL token, enabling token holders to participate in decision-making processes and influence the future direction of the platform.
Since its inception, PoolTogether has awarded millions of dollars in prizes and continues to grow as a popular tool for incentivizing saving within the DeFi ecosystem.