🛑Be Aware: Disclosures

You should be aware of exactly how Paradox works.

Our current contract was audited by Halborn. You can read the audit report here. However, there still remain significant risks in using Paradox.

Paradox implements novel code.

While the contracts were audited by Halborn there still remains significant risk in using Paradox. Paradox uses novel code which has never been tested in the "real world" prior to deployment.

You can read the audit reports HERE and HERE.

Score Reporting is controlled by a 3/5 Gnosis multisig wallet (Game Grading Multisig).

You are trusting other humans to approve scores. No event results will go on-chain without the approval of 3/5 signers on the Game Grading Multisig. We believe that in the short term it is more likely that a new "totally decentralized" oracle misgrades than a group of humans misgrade. Expect results to be entered within 10 minutes of a final score.

The current contract is upgradeable.

This admin functionality is handled by a separate 4/7 Admin Role Multisig. Upgradeability was designed to protect users and help prevent funds from being tied up in the contract. However, this does open up the possibility of attack via the Admin Role Multisig (e.g., if the multisig signers approved a malicious upgrade it could drain user funds).

We understand we sacrifice a degree of decentralization. The goal of upgradability is to remedy potential situations where funds are stuck. Given the pools are being graded by the separate Game Grading Multisig, this seems like a reasonable benefit without additional loss in decentralization.

The user interface is pulling some data from a database

The UI currently is pulling some data from a database. It is possible that data on the UI is different than on the blockchain. We rely on a database to display the following functions on the UI:

• Tokens owned; and

• Commission generated.

The intention behind this tradeoff is to provide a better user experience. All users can still interact directly with the contract regardless of database connection status. The smart contract will function the same without the database. The current official betting UI for paradox is app.betparadox.com.

When making a bet, a user mints ERC-1155 tokens directly into their wallet. These tokens are wholly owned by the user and never held by Paradox.

90 days after an event is graded, admins can vote to move unclaimed commissions and winnings to a community-owned wallet.

Gas costs will make it uneconomical for some users to claim earned commissions. If the commission for a game is not claimed 90 days after the event finalizes, we will re-route the commission to a community-owned wallet.

Paradox v1 is designed as a proof of concept. Our goal is to create a totally decentralized betting protocol.