💰Pool Distribution
With Fuul, you can allocate a fixed reward pool among participants based on different criteria. Instead of rewarding users individually for each action they complete (as in Reward per Action), Pool Distribution determines how the total reward pool is divided among all eligible participants. This approach ensures that incentives are distributed proportionally, based on predefined metrics.
For example:
If you set a $10,000 reward pool for a referral program, Pool Distribution determines how that total amount is shared among users rather than assigning fixed rewards per referral.
Fuul offers multiple ways to distribute rewards from a pool:
Volume-Based Distribution
Rewards are allocated based on the volume of activity each participant contributes. This is ideal for incentivizing high engagement.
Example:
In a referral program, users who generate more referred transactions will receive a higher share of the reward pool.
In a trading incentive campaign, users who execute larger trade volumes will get a larger portion of the rewards.
Revenue-Based Distribution
Rewards are distributed based on the revenue generated by each participant. This method ensures that the highest contributors receive the largest share of the pool.
Example:
In a DeFi protocol, liquidity providers (LPs) who generate more trading fees through their liquidity contributions receive a greater portion of the rewards.
In an affiliate program, referrals that result in higher-value transactions receive a larger percentage of the incentive pool.
Conversion Event-Based Distribution
Rewards are allocated based on the number of times each participant performed a qualifying action (attribution count). Each conversion event a user triggers adds to their count, and their share of the pool is proportional to how many conversions they contributed relative to the total.
Example:
In a referral program with a $5,000 pool, if Alice refers 6 users and Bob refers 4 users (10 total conversions), Alice receives 60% ($3,000) and Bob receives 40% ($2,000).
In a quest campaign where users earn points for completing on-chain actions (e.g., swapping, bridging, staking), a user who completes 5 qualifying actions gets a larger share than one who completes 2 — even if both crossed the eligibility threshold.
Fair Distribution
Pool distribution supports an optional fair distribution mode that uses a square root formula to reduce concentration of rewards among large participants. Instead of distributing purely by contribution size, the square root of each user's contribution is used to calculate their share.
This gives smaller and medium-sized participants a higher relative weight, preventing whales from capturing most of the pool.
Example:
Without fair distribution: A user with 90% of total volume receives ~90% of the pool.
With fair distribution: The same user receives a smaller share because the square root compresses large values, giving other participants proportionally more.
✅ Best for: Programs that want to encourage broad participation and avoid rewards being dominated by a few large contributors.
Multipliers
Multipliers let you boost the pool share of specific user groups by assigning them a multiplier that scales their contribution value before the pool is divided. Users who belong to an audience with a multiplier have their raw volume, revenue, or attribution count multiplied before the pool calculation — users in no audience default to a 1× boost.
Formulas:
With fair (square root) distribution:
With linear distribution:
Example (volume-based, fair distribution):
Alice
$10,000
Gold tier
3×
Sqrt(3 × 10,000) = 173.2
Bob
$5,000
Silver tier
2×
Sqrt(2 × 5,000) = 100.0
Carol
$8,000
None
1×
Sqrt(1 × 8,000) = 89.4
Alice's pool share = 173.2 / (173.2 + 100.0 + 89.4) ≈ 47.8% — higher than her raw volume share of 42.9%, driven by her 3× multiplier.
✅ Best for: Programs that want to reward loyal or high-value user segments with a larger slice of the pool without changing the total budget.
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