In-depth Research Report | Disruptor "HashEpoch": How to Leverage the "Platform + Public Chain + Token" Triad to Unlock the Trillion-Level Betting Market?

Introduction: Web3 Technology is Reshaping the Trillion-Dollar Betting Market

Betting activities (such as lotteries, blind boxes, digital betting, and raffles) have formed a massive global market exceeding $500 billion, with users reaching trillions, thanks to their randomness and entertainment value. However, traditional betting has long faced a trust crisis due to risks associated with centralized control (such as "fixed results" and "data tampering").

To address these challenges, decentralized solutions based on blockchain and other Web3 technologies are driving industry transformation. The on-chain prediction platform Polymarket has successfully broken through by leveraging event prediction features, validating the feasibility of Web3 technology in the betting sector.

Recently, the all-category betting platform HashEpoch has emerged, targeting an even larger market. It builds a systemic solution from the underlying public chain to the application ecosystem, showcasing its market ambition and potential.

This article will systematically deconstruct HashEpoch's core competitiveness and industry value from dimensions such as business model, token economic model, ecological layout, and future development prospects, revealing its potential to reconstruct the betting industry.

1. Core Sectors of HashEpoch Group

(1) HashEpoch Sports Platform: A Web3 All-Category Betting Platform

HashEpoch Sports Platform is an open Web3 competitive betting platform that ensures the efficient and automatic execution of all projects, users, and assets through a series of smart contract calls that guarantee data transparency, fairness, fund custody, and security verification.

Compared to Polymarket and traditional betting and on-chain competitive platforms, HashEpoch Sports Platform targets a much larger market audience. Polymarket focuses solely on the niche of event prediction within the betting market, while HashEpoch Sports Platform positions itself as a comprehensive Web3 betting platform. With years of industry experience and relevant background, it aims to integrate the entire betting industry chain, creating a cross-border, all-category competitive betting project aggregation platform that covers various betting categories and projects, from sports events and esports to predictions of international hot topics.

In terms of industry chain integration and transformation, HashEpoch Sports Platform primarily addresses trust issues, asset security concerns, low efficiency, and user retention in the betting market through four major innovative mechanisms:

• Hash Verification Mechanism: Ensures the authenticity and traceability of match results through immutable hash values while maintaining processing efficiency;
• Smart Contract Custody: Assets are automatically managed by publicly audited smart contracts, eliminating human operation risks;
• Loss Compensation Mechanism: Users can trigger a minting compensation contract when they incur losses, receiving compensation in installments based on net loss;
• Behavioral Reward Mechanism: Incentivizes user participation and invitations through tokens/NFTs, enhancing engagement.

(2) HashEpoch Sports Chain: The First Betting Oracle Public Chain

HashEpoch is set to launch the betting oracle public chain ------ HashEpoch Sports Chain. This public chain employs hash value random execution and verification technology, creating a "digital oracle" specifically designed for the betting industry. It is expected to become the industry's first oracle public chain focused on the betting track, aiming to solve the challenges of on-chain data verification for board games and competitive games, providing efficient decentralized access solutions for Web2 projects.

Specifically, HashEpoch Sports Chain will utilize the stability and fairness of the Ethereum mainnet to compile the main block hash and employ an "encrypted dictionary" to parse random hash values and their corresponding results in board games and digital games, as well as address randomness issues.

This mechanism allows board games and complex digital games to no longer rely on centralized random logic to produce results, effectively avoiding situations where players encounter "algorithm locking" and "centralized control" in traditional games. Additionally, it facilitates game publishers and developers to quickly access the public chain via APIs, ensuring the authenticity and randomness of data during the gaming process.

For example, in conventional digital betting games, a simple random hash value drawing method is only applicable when the specified results are ABCD… and 0 - 9.

However, for card games, due to their complex rules, it is challenging to use existing hash methods to specify players' dealing results and achieve data randomness. For instance, how to accurately define the King in a deck of cards within a blockchain environment and distinguish between the King of Hearts and the King of Spades. This requires a stable and comprehensive "encrypted dictionary" to complete the verification and parsing tasks.

The emergence of HashEpoch Sports Chain is precisely to meet the needs of this specialized field. It plans to provide decentralized data oracle services for the entire industry, helping to resolve key technical challenges in the blockchain applications of board games and competitive games. This will allow all online board games and complex games to easily go on-chain through oracle interfaces, completing the upgrade transition from Web2 to Web3.

2. Model and Mechanism of HashEpoch Sports Token

HEST is the native token for HashEpoch Sports Platform and HashEpoch Sports Chain, with a total issuance of 10 billion tokens. It serves not only as a medium for ecological applications and public chain verification but also as a representation of HashEpoch's overall value and rights.

(1) Token Distribution

• Insurance Pool: 50% (5 billion tokens), mainly used for user loss compensation and ecological stability assurance.
• DEX Liquidity: 10% (1 billion tokens), used to provide initial liquidity.
• Other Liquidity: 20% (2 billion tokens), used for ecological expansion and partner incentives.
• Team: 10% (1 billion tokens), used for project development and operations.
• Competitive Project Revenue Rewards: 5% (500 million tokens), used to incentivize the integration of quality betting projects.
• Node Mining: 2.5% (250 million tokens), used to incentivize nodes to participate in network maintenance.
• Community Rewards and Airdrops: 2.5% (250 million tokens), used to enhance community activity and user stickiness.

(2) Token Application Scenarios

Margin: The margin pledge system requires various betting projects to enter the platform, necessitating the purchase of 30% of the margin in platform tokens for staking, creating a clear buying demand for the token.

Staking and Lending: Users can stake HEST to obtain up to 70% in USD chips for participation in betting activities. The staking mechanism not only provides financial support to users but also creates a clear usage scenario for the token.

Platform Business Value Rights: Users holding HEST can gain rights to the value appreciation of platform ecological businesses.

Dividend Rights: Holding tokens is equivalent to holding shares, allowing users to enjoy dividends from platform revenue.

Public Chain Applications: HEST serves as gas for the Hash Epoch Sports Chain public chain, used for node staking and other operations, as well as settlement fees for game data retrieval, further enhancing the token's value support.

Insurance Claims: The platform generates insurance policies for users who incur losses, with compensation provided in HEST. Users can participate in various activities within the ecosystem, such as mining, node staking, and liquidity provision.

(3) Token Buyback and Burn

25% of the platform's profits will be used to buy back HEST and conduct deflationary burns. A portion of the revenue from public chain data retrieval and node staking will also undergo deflation as interactions occur, continuously injecting funds into the token's value and enhancing its long-term worth.

(4) Sustainability and Value Potential Analysis

Unlike most Web3 projects, the value of HEST is driven by a real business system, with profitability and application scenarios beyond the token itself, which is expected to avoid the "death spiral" predicament that tokens often face after circulation and interaction airdrops due to a lack of genuine consumption demand.

a. Sustainable Mechanism of Token Supply and Demand

• On the demand side, there are multiple rigid consumption scenarios, such as staking mechanisms, margin systems, lending needs, gas fee consumption, and insurance payouts, all ensuring continuous consumption of the token.
• The supply side's deflationary model + strict release controls inflation risks. On one hand, the platform will use 25% of its profits for regular buybacks and burns of HEST, directly reducing circulation. As the business scales, the intensity of the burns can increase, forming a positive cycle. On the other hand, the team and ecological tokens will adopt a phased unlocking mechanism to avoid concentrated sell-offs. Liquidity pool tokens will be gradually released through incentive programs to ensure market stability.

b. Ecological Growth and Value Capture

• Monetization of betting platform traffic: As the user base expands, platform fees, margin staking, and lending demands will drive long-term demand for HEST.
• Cross-chain and ecological cooperation: Future expansion into multi-chain ecosystems can attract more betting DApps, broadening the application scenarios for HEST.
• Community governance and DAOization: Token holders can participate in ecological governance, further enhancing the token's practical value and holding willingness.

c. Long-term Deflationary Model

• Accelerated Burns: As platform profits grow, the intensity of buybacks and burns will increase, continuously reducing circulation and forming a positive cycle of "deflation + appreciation."
• Node and liquidity incentives: Attracting long-term holders through mining and liquidity rewards will reduce market sell-off pressure.

In summary, the economic model design of the HEST token balances short-term incentives with long-term value accumulation. Through multi-layered supply and demand mechanisms and deflationary models, it lays the foundation for the sustainable development of the ecosystem and the growth of token value. As the ecosystem expands and deflationary effects become apparent, HEST may become an important value carrier in the Web3 betting track.

3. Development Potential and Challenges

(1) Market Potential

The "three-pronged" model composed of Web3 betting platforms, public chains, and tokens mutually promotes each other, forming a virtuous cycle.

HashEpoch Sports Platform utilizes blockchain technology and innovative mechanisms to address the trust crisis in the traditional betting industry while offering advantages such as low fees, instant payments, and behavioral rewards, enhancing user experience and attracting global users.

HashEpoch Sports Chain, as the underlying infrastructure, not only provides decentralized and tamper-proof technical support for the betting platform but also expands diverse application scenarios, such as NFTs and DeFi, promoting standardization and ecological development in the industry.

HashEpoch Sports Token serves as the core asset of the entire ecosystem, providing clear value support through mechanisms like staking and buybacks, while incentivizing user participation in ecological construction and enhancing user stickiness.

HashEpoch Group is poised to reshape the global betting market landscape, driving the industry from traditional models to a comprehensive transformation towards Web3.

From the growth potential of Web3 betting platforms, the global betting market is vast, exceeding $500 billion in 2023. The transformation of the traditional betting industry through blockchain and other Web3 technologies is almost a certain trend. Additionally, betting platforms have a certain network effect; if HashEpoch Sports Platform can gain market share early on, such as capturing 10% of the market, it represents an opportunity worth $50 billion.

From the growth potential of the betting oracle public chain, Chainlink, as the leader in the oracle space, primarily serves DeFi and cross-chain data scenarios, providing off-chain data feeds for smart contracts, with a market cap that once exceeded $50 billion. In contrast to Chainlink, HashEpoch Sports Chain focuses on the vertical field of competitive betting, offering a much larger real application scenario, making its future growth potential promising.

(2) Development Opportunities and Advantages

In the short term, major sporting events such as the 2026 World Cup will present explosive growth opportunities for Web3 betting platforms. As one of the most influential sporting events globally, the World Cup attracts billions of viewers. During the event, a large number of fans and betting enthusiasts will participate in various betting activities, bringing significant traffic and user growth potential to Web3 betting platforms.

HashEpoch can fully leverage this opportunity by launching World Cup-related betting activities, optimizing platform features, and enhancing user experience to attract more users and achieve rapid business growth.

In the long term, as user awareness increases and the industry develops in a standardized manner, the demand for fairness, transparency, and diversity brought by Web3 in the traditional betting market will become increasingly strong. The transformation of the betting industry through Web3 technology is almost the only path forward.

During this critical window for the betting industry to transform with Web3 technology, HashEpoch is expected to occupy a certain market position through the following advantages:

• First-Mover Advantage: Compared to Polymarket, HashEpoch focuses not only on all categories of betting and the entire industry chain but also spans from the application layer to the infrastructure layer, helping it quickly establish brand recognition and a user base in a competitive market.
• Technological Advantage: The four innovative mechanisms of HashEpoch Sports Platform and the hash verification mechanism employed by HashEpoch Sports Chain provide a reference technical standard for the industry regarding fairness and transparency in betting.
• Ecological Advantage: HashEpoch encompasses core businesses such as competitive betting and asset trading while actively integrating with fields like NFTs and DeFi, offering users a richer experience and more revenue opportunities, enhancing the ecosystem's attractiveness and stickiness.
• Traffic Advantage: HashEpoch employs a multi-ecosystem model of event betting + task-driven traffic + MiniAPP + cross-platform linkage to achieve rapid traffic acquisition and user retention.

(3) Risks and Challenges

Despite the promising outlook for Web3 betting platforms, their development still faces numerous risks and challenges. First, regulatory risk is a key issue. Globally, the betting industry is subject to strict regulations, with significant differences in laws and regulations across countries and regions. HashEpoch Group needs to ensure that its operations comply with local regulatory requirements to avoid business restrictions or interruptions due to compliance issues.

Secondly, from a technical perspective, while blockchain technology has advantages, it evolves rapidly, and HashEpoch must continuously invest in research and development to address potential technical bottlenecks or security vulnerabilities. Additionally, as Web3 technology becomes more widespread, an increasing number of betting platforms may enter the market, intensifying competitive risks. HashEpoch must continuously enhance its competitiveness, optimize user experience, and expand market share to cope with competitive pressures from other platforms.

This article does not constitute investment advice; please exercise caution in your evaluations due to limited public information.