How It Works
Learn everything about the blockchain-based rotating savings system
🎯Overview
SpinPigs is a modern blockchain version of the traditional rotating savings system (ROSCA). Groups of 5 people are formed and each week one person receives a lump sum payment. The system is completely transparent, secure, and protected by smart contracts on the Polygon network.
Since collateral is locked on the blockchain, no one can take the money and run. Lottery results are determined through verifiable random number generation on the blockchain.
Yield Generation: While your funds are locked, they are deposited into Aave V3 on Polygon to earn yield. Interest is distributed to all members at the end of the group!
Step by Step Process
Choose a Pool and Join a Group
Select a pool that fits your budget. Each pool forms groups of 5 people. Connect your MetaMask wallet to Polygon network and click the "Join Group" button.
Available Pools:
- • Mini: 5 USDT/week (20 USDT payout) - For testing
- • Standard: 50 USDT/week (200 USDT payout) - Most popular
- • Premium: 500 USDT/week (2,000 USDT payout) - High stakes
Tip: If you're new to SpinPigs, start with the Mini pool to understand how the system works.
Deposit Collateral + First Week Payment
When joining a group, everyone deposits the same amount upfront: maximum collateral plus the first week's payment. This ensures the system's security - no one knows their position yet!
Initial Deposit Required:
- • Mini: 20 USDT (15 USDT collateral + 5 USDT week 1)
- • Standard: 200 USDT (150 USDT collateral + 50 USDT week 1)
- • Premium: 2,000 USDT (1,500 USDT collateral + 500 USDT week 1)
Don't worry! After the lottery, excess collateral is automatically refunded based on your position.
Group Fills - Lottery & Refunds
When the group fills with 5 people, a lottery is automatically executed. Positions are determined through blockchain randomness (1-5). After the lottery, excess collateral is automatically refundedbased on your position.
Post-Lottery Collateral (Standard Pool):
- • Position 1: Keeps 200 USDT (pays W1-W4 from deposit)
- • Position 2: Keeps 150 USDT (pays W2-W4 from deposit)
- • Position 3: Keeps 100 USDT, refund 50 USDT (pays W3-W4 from deposit)
- • Position 4: Keeps 50 USDT, refund 100 USDT (pays W4 from deposit)
- • Position 5: Full refund 150 USDT (no future payments needed)
Weekly Payouts Begin
After the lottery, weekly payouts begin! Each week, one person receives the full pot (200 USDT for Standard). Meanwhile, all locked funds earn yield in Aave V3.
Payout Schedule:
- • Position 1: Receives 200 USDT immediately (Week 0)
- • Position 2: Receives 200 USDT end of Week 1
- • Position 3: Receives 200 USDT end of Week 2
- • Position 4: Receives 200 USDT end of Week 3
- • Position 5: Receives 200 USDT end of Week 4
Yield Distribution: At the end of the group, interest earned from Aave V3 is distributed to all members (80% to members, 20% platform fee).
💎Understanding the Payment Flow
Why Does Everyone Deposit the Same Amount?
Everyone deposits the maximum collateral when joining because no one knows which position they will get before the lottery. This ensures fairness - all participants start on equal footing.
How Are Payments Made?
After receiving your payout, remaining weekly payments are automatically deducted from your locked collateral. If your collateral runs out, you'll need to pay manually from your wallet.
Collateral Needed = Remaining Weeks After Payout × Weekly Amount
Example: Position 2 gets paid Week 1, then must pay Weeks 2-4 → 3 × 50 USDT = 150 USDT
Position 1 vs Position 5 - What's the Difference?
- ✓Position 1 (Best): Gets 200 USDT immediately! Uses it to make weekly payments. Earns the most yield since funds are locked longest.
- ✗Position 5 (Worst): Must pay 3 weeks from wallet before receiving payout. Gets collateral back but earns no yield.
📊Aave V3 Yield Integration
All locked collateral is automatically deposited into Aave V3 on Polygon to earn yield. Earlier positions earn more interest because their funds are locked longer.
Estimated Interest (Standard Pool - 50 USDT/week)
Note: Yield rates depend on Aave V3 market conditions. If Aave supply fails, your funds remain safe in the contract but won't earn yield. You'll see "Yield: Failed" status in such cases.
🔒Security Features
Smart Contract Protection
All funds are locked in audited smart contracts on Polygon. No one (including the platform) can access or withdraw these funds outside the rules.
Blockchain Transparency
All transactions are publicly visible on Polygonscan. Lottery results, payments, and collateral movements can be verified by anyone.
Automatic Payments
Weekly payments are automatically deducted from collateral when available. No need to remember to pay - the system handles it.
Zero Escape Risk
The collateral system ensures no one can take money and run. You cannot withdraw collateral without completing all your payments.
📖Example: Michael's Standard Pool Journey
Michael joins the Standard Pool and gets Position 2
Michael joins the Standard pool and deposits 200 USDT USDT (150 USDT collateral + 50 USDT week 1 payment).
The group fills with 5 members. Lottery runs and Michael gets Position 2.
Position 2 needs 150 USDT collateral for 3 remaining weeks. Michael keeps all collateral (no refund yet).
Week 1 ends: Michael receives his 200 USDT payout!
Weeks 2, 3, 4: 50 USDT is auto-deducted from his collateral each week. Total paid from collateral: 150 USDT.
Week 4 ends: Group completes! Michael receives ~1.125 USDT interest from Aave V3 yield.
Initial Deposit
200 USDT
Payout Received
200 USDT
Paid from Deposit
200 USDT
Interest Earned
~1.125 USDT
Net Result: 200 USDT payout + ~1.125 USDT interest - 200 USDT payments = +1.125 USDT profit!
❓Frequently Asked Questions
What if Aave supply fails?
Your funds remain 100% safe in the smart contract. You'll see "Yield: Failed" status. The group continues normally, but no interest is earned for that round.
What currency is used?
SpinPigs uses USDT (Tether) on Polygon network. You'll need USDT in your wallet plus a small amount of MATIC for gas fees.
How long is each week?
Each "week" in SpinPigs is exactly 7 days (168 hours). The timer starts when the group fills and lottery completes.
Can I leave a group after joining?
Before the group fills, you can leave and get a full refund. After the lottery, you're committed until the group completes (4 weeks).
Ready to Get Started?
Join a group today! If you land Position 1 or 2, you'll get your payout early AND earn the most interest.
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