I think all of us come up with good ideas—sometimes even great ones—that we hold onto with white knuckles. Maybe I should only speak for myself, but there's a voice in my head that lies and tells me I'm the one who has to implement them. Maybe it’s just that I’m getting older, and becoming a little more honest with myself.
If someone decides to bring any of the ideas I share on this little blog to life, all I ask as “payment,” if you will, is that you open-source the code. Just as I’m offering the white paper freely, the spirit of shared knowledge should remain intact.
Hive-Based Deflationary Lottery Protocol (HDLP)
White Paper
Version 1.0
Date: May 9, 2025
Author: MenO
This white paper outlines the design, functionality, and implementation of a transparent, decentralized, deflationary lottery system on the Hive blockchain. The Hive-Based Deflationary Lottery Protocol (HDLP) allows users to participate in a weekly lottery by simply upvoting a designated post or comment. The lottery incorporates a deflationary mechanism by burning a portion of the prize pool, while also providing incentives for participants and operators. It leverages Hive's immutable ledger and transparent reward distribution system to ensure fairness, verifiability, and sustainability.
The HDLP seeks to achieve the following goals:
Each weekly prize pool (100%) is allocated as follows:
| Category | Percentage | Description |
|---|---|---|
| Winner Payout | 70% | Awarded to the verified winner |
| Token Burn | 20% | Sent to null address to reduce supply |
| Operations | 10% | Paid to developers/lottery host |
Note: These percentages are adjustable via community vote or DAO mechanism in later versions.
Winner_Index = Hash(Block_ID) % Number_of_Valid_Entries
Automated via Script or Smart Contract: Upon winner determination, the script:
@null for burningAll transactions are recorded on-chain and linked in the weekly lottery result post.
In future phases, integrate a token-based governance mechanism where token holders can vote on:
| Phase | Milestone | Target Date |
|---|---|---|
| 1 | Manual script-based lottery using upvotes | Q2 2025 |
| 2 | Hive-Engine token integration + frontend dashboard | Q3 2025 |
| 3 | Full smart contract deployment (SPK/Dlux) | Q4 2025 |
| 4 | DAO governance + community-owned treasury | Q1 2026 |
The Hive-Based Deflationary Lottery Protocol (HDLP) introduces a playful, transparent, and deflationary mechanism to increase engagement on the Hive blockchain. By leveraging existing Hive infrastructure and its upvote economy, HDLP provides a seamless entry point for users while burning tokens, increasing scarcity, and funding ecosystem development. With potential for full decentralization and DAO governance, this system offers both short-term fun and long-term value.
As with the other ideas I’ve shared here, this too is a gift to Hive. I’m not looking to collect DHF funds to build it or anything like that. I did take the time to run it by a few friends—mostly to surface any potential concerns or pushback they might have.
Please feel free to add your two cents to the conversation. There are obviously some levers here that can be adjusted. My suggestions for payouts, token burns, and administrative compensation are just that—suggestions. At best, they’re informed guesses.
Much love
MenO
