Borderless financial platform Gluwa announced the launch of its second investment product – The Lottery Account. This new investment product is a no-loss lottery-style stablecoin account where users can deposit their sUSDC-G (Gluwa’s sidechain-native USDC) into a collective liquidity pool and have the potential to win the entire combined interest accrued, while all participants principal remains redeemable at any time.
The Lottery Account from Gluwa follows the OpenFi (open finance) model, whereby interest is earned through debt financing deals from real-world transactions off-chain. To participate in this investment vehicle, users must deposit the funds on or before the designated cutoff time to be eligible for the daily prize draw every 24 hours.
As part of the daily draw, users will stand a chance to win all the interest earned in the prize pool every day. This draw is designed to follow the existing format style of lotteries, meaning there are no guaranteed winners, and the prizes will be rolled over to the subsequent draws, thus expanding the prize pool over time. The unique structure of the product presents a “gamified prize savings” option for Gluwa Invest users as they keep their principal investment, even if they don’t win the prize draw.
A total of $1 million worth of sUSDC-G investment cap will be initially set at launch. Users will be limited to depositing a maximum amount of $50,000 in sUSDC-G into their respective accounts to ensure inclusiveness and fair chances for everyone. The more a user deposits, the higher their chances of winning. In this context, each additional dollar deposit is equivalent to an extra ticket, thereby increasing the chances of winning. Furthermore, there is no fixed lockup period on the deposited funds, granting users the flexibility to withdraw their funds at any time.
To celebrate the launch of the Lottery Account, Gluwa will be boosting the inaugural prize pool with an additional $250,000 sUSDC-G. This will increase the size of the daily prize up for grabs, while not reducing the users’ odds. Gluwa intends to run this promotional prize boost campaign for the next few months to attract new users. Whoever wins the first-ever Lottery Account prize draw, will also win a massive 3000 CTC bonus prize.
Brendan O’Toole, Head of Product (Invest) at Gluwa, notes, “This has been a challenging but exciting product to bring to market. Think PoolTogether but instead of generating yield from DeFi protocols like Aave or Compound – we are harnessing the power of #OpenFi by bridging our crypto ecosystem with real-world off-chain opportunities to offer our users a chance at winning big in a low-volatility environment. With its no-loss lottery-style underpinning, users have everything to gain and nothing to lose.”
For more details: Lottery Account Explainer