The Monaco Protocol

TL;DR

The Monaco Protocol is an open-source, decentralized betting engine built on the Solana blockchain. It provides the core infrastructure and liquidity needed for developers to create exchange-based betting applications and prediction markets. By offering shared infrastructure and liquidity, Monaco enables an ecosystem of interoperable betting apps with a seamless user experience.

Introduction to The Monaco Protocol

The Monaco Protocol is laying the groundwork for a new paradigm of decentralized betting applications on the Solana blockchain. This open-source protocol acts as a decentralized betting engine, providing global liquidity and the key infrastructure needed to power betting exchanges and prediction markets.

For operators, Monaco offers plug-and-play access to the backend technology required for betting apps, allowing them to focus solely on crafting incredible front-end user experiences. This is in stark contrast to traditional models where each operator needs to build their own siloed platform from the ground up.

By sharing liquidity and infrastructure through the protocol, Monaco enables an ecosystem of interoperable betting markets across different apps and interfaces. Users can seamlessly interact with various betting applications, while the core matching engine and settlement happen through Monaco's smart contract on the backend.

How The Monaco Protocol Works

Under the hood, The Monaco Protocol offers an array of powerful features tailor-made for exchange-based betting:

• Non-custodial trading - Funds are never held by the protocol, only the smart contract
• Best-price matching - Orders are filled at the best available price
• Partial matching - Large orders can be partially filled against multiple counterparties
• Order cancellation - Unmatched portions of orders can be cancelled
• Smart risk management - Unmatched risk can be recycled to fill new orders
• Inplay betting with delay - Enables inplay markets with a slight delay to prevent last-second advantages
• Wallet settlement - Winnings are paid out directly to the winner's wallet

This suite of features provides all the necessary components for robust, fully-functional betting markets, without the need for each app to implement their own layers.

The protocol currently supports single outcome binary markets, with plans to expand to multi-outcome markets in the future based on feedback and demand.

Building on The Monaco Protocol

For developers and entrepreneurs looking to enter the betting space, Monaco offers the shortest path to market. Rather than spending resources on backend infrastructure, Monaco enables teams to direct their energy towards crafting standout products.

Integrating Monaco is designed to be simple and straightforward. Developers can leverage Monaco's open-source SDK which includes:

• Detailed documentation and guides
• Client examples for common betting app features
• A dedicated Discord for developer support

The SDK supports building both exchange-based applications where users trade positions against each other, and sportsbook-style interfaces where the operator takes the other side of user wagers.

By building on Monaco, apps can offer their users access to the shared liquidity of the entire ecosystem. This global liquidity is a significant draw in the betting space, as it enables tighter spreads and the ability for apps to serve users worldwide.

The Monaco Protocol's Unique Advantages

The Monaco Protocol's architecture and its choice to build on Solana provide it some key advantages:

• Global Liquidity - Apps built on Monaco can share liquidity rather than compete over fragmented pools
• Permissionless Access - Anyone can build on or use Monaco without restrictions
• Cheap & Fast - Solana's high throughput and sub-penny fees are ideal for betting transactions
• Composability - Apps can leverage Monaco's infrastructure while composing it with other Solana protocols
• Continuous Improvement - Monaco's permissionless model incentivizes constant innovation in protocol and app design

For users, this translates to a better betting experience with tighter spreads, deeper markets, faster settlement, and the ability to seamlessly use any Monaco-powered app.

Protocol Security and Audits

Security is paramount for any protocol dealing with real-money transactions. To that end, Monaco employs leading security firms to conduct rigorous audits of each protocol release.

Notably, every release is fully audited by Sec3, a leading blockchain security firm. The full audit reports are made publicly available in Monaco's GitHub repository, exemplifying the protocol's commitment to transparency.

The protocol's smart contract on Solana acts as the core arbiter, matching orders and settling markets based on predefined rules. Funds are only held in this audited contract, never by Monaco or app operators.

The Team Behind The Monaco Protocol

The Monaco Protocol is built by a team deeply experienced in both the betting industry and blockchain technology.

Key members include:

• Krasimir Raykov (CEO) - Serial entrepreneur and veteran of the gaming and betting industry, having built and exited multiple ventures.

• Valentin Mihov (CTO) - Blockchain expert and former CTO of a leading crypto wallet provider. Extensive experience with Solana and other L1s.

The team is advised by notable figures from the betting, gaming, and crypto industries who provide strategic guidance and insight.

Protocol Tokenomics & Roadmap

The Monaco Protocol does not currently have a native token. The protocol charges a small fee on betting volume which is used to sustain development and contribute to ecosystem initiatives like user acquisition for apps in the network.

Regarding the roadmap, the team is focused on continuous iteration and improvement of the protocol based on partner feedback. Key priorities include:

• Expanding supported market types and bet structures
• Optimizing the SDK and building additional developer tools
• Incorporating partner feature requests to expand protocol functionality
• Aggressive scaling of liquidity and user base through app integrations

Over the long term, the vision is for Monaco to become the default infrastructure powering the majority of betting applications and prediction markets. By providing unrivaled liquidity, a robust feature set, and the ability to compose with other Solana protocols, Monaco aims to capture a significant share of the global betting market.

Conclusion

The Monaco Protocol is ushering in a new era for decentralized betting applications. By providing the core exchange and settlement infrastructure on Solana, Monaco enables developers to build world-class betting products without technical or liquidity constraints.

For users, Monaco-powered apps translate to a transformed betting experience, with global access, better odds, faster payouts, and the ability to move seamlessly between applications.

As Monaco continues to grow its ecosystem and refine its protocol, it is well-positioned to become the key infrastructure layer powering a new generation of betting and prediction market applications on Solana.