PearnRisks and FAQ
What can go wrong, and what is assumed.
Risks
| Risk | Mitigation |
|---|---|
| Oracle callback spoofed | Only the oracle's own XCC account may call onRate; the rate never decreases |
| Resolver lies | Ideally a DAO; for 24 h the guardian can force Invalid (everyone keeps principal plus a share of the yield) |
| Resolver disappears | Anyone voids after 7 days |
| stNEAR depeg or Meta Pool bug | Principal is a NEAR value paid in stNEAR, so Meta Pool risk is yours |
| Slashing introduced on NEAR | The rate could fall. The oracle keeps its last (higher) rate and stops refreshing: after 2 days bets stop, markets can no longer be resolved (that needs a sync after close), and after 7 days they can only be voided to Invalid. stNEAR comes back at the last rate |
| Contract bug | Small surface, no admin, fuzz and invariant tests on "payouts ≤ holdings" across several markets |
| Betting both sides | Costs only capital, and the hedger's weight earns a share of any sponsored pot whatever the outcome. Inherent to no-loss: losers lose nothing, and per-account netting is defeated by a second account. Sponsors should expect their pot to be shared by capital as well as by calls |
FAQ
Do I get NEAR or stNEAR back? stNEAR worth your principal's NEAR value at settlement. Convert at Meta Pool: instantly with a fee, or through a delayed unstake.
Can I exit before close? Not yet. Bets are locked until close; that is what makes the time weight fair.
Why are the testnet pots so small? Meta Pool's testnet rate barely moves (it stayed at 3.198752 NEAR per stNEAR for days), so testnet markets earn almost no yield and their pots are mostly sponsorship. On mainnet the rate rises every epoch; the fork tests and the local stack show the yield path.
Who resolves the testnet demo markets? The deployer, 0x3B4f…85F5. On mainnet each market should name a DAO.
Is the yield worth it? Pure yield is modest (about 4.5% a year, split between winners). Sponsored pots and long markets are what make it interesting; the app always shows the real projection.