3.2 Platform Ecosystem

Path Protocol introduces a permissionless platform registration system where third-party interfaces can earn revenue from markets created through their platform.

Platform Registration Flow

┌─────────────────────────────────────────────────────────────┐
                     Platform Lifecycle                        
└─────────────────────────────────────────────────────────────┘

Registration
    │
    ├─> Stake PATH tokens (configurable minimum)
    │
    ├─> Submit platform details (name, website, metadata)
    │
    ▼
7-Day Review Period
    │
    ├─> PATH stakers can veto malicious platforms
    │
    ├─> Community review of platform legitimacy
    │
    ▼
Auto-Approval (if no veto)
    │
    ├─> Platform status: APPROVED
    │
    ├─> Can now create markets
    │
    ├─> Earns 0.1% fee on all markets created
    │
    ▼
Active Platform

Platform Economics

Registration Requirements:

• Minimum PATH stake (configurable by governance, starting ~10,000-50,000 PATH)

• Platform metadata (name, URL, description)

• Authority key for platform operations

Revenue Model:

• Platform earns 0.1% of trading volume from markets created through their interface

• Perpetual revenue stream as long as market exists and trades

• No caps or time limits on earnings

Example Platform Revenue:

Platform creates 100 markets, average $100k volume each:

• Total volume: $10M

• Platform fee (0.1%): $10,000 revenue

Successful platform with 1,000 markets at $1M average volume:

• Total volume: $1B

• Platform fee (0.1%): $1,000,000 revenue

Platform Governance

Veto Mechanism:

During the 7-day review period, PATH stakers can veto platform applications:

Veto Power = (Staker's PATH) / (Total Staked PATH)

Veto Threshold = 51% of voting stakers

Example:

Total staked: 100M PATH
Veto threshold: 51M PATH voting power
If vetoed: platform rejected, stake returned

Platform Types:

1. General Markets: Broad prediction market platforms (e.g., "Path Markets")

2. Niche Platforms: Category-specific (e.g., "CryptoBets" for crypto predictions)

3. Regional Platforms: Geography-focused (e.g., "India Predictions")

4. White-Label: Custom branded platforms for enterprises

5. Embedded: Platforms integrating markets into existing apps

All Markets Are Public

Critical Design Choice:

All markets created on Path Protocol are public and filterable by any platform. This means:

• Platform A creates a market

• Platform B can also list that market on their interface

• Both platforms can facilitate trading

• Only Platform A earns the 0.1% platform fee (creator attribution)

Rationale:

• Maximizes liquidity (all platforms access all markets)

• Prevents fragmentation

• Encourages platforms to create unique, valuable markets

• Users can choose their preferred interface while accessing all markets