August 23, 2024

The dynasty pot

I proposed a new rule in my fantasy league this year: the dynasty pot.

How it works

Each year, some percentage of owner buy-in gets allocated toward the dynasty pot. If an owner ever wins back-to-back championships, they unlock the accumulated dynasty pot in addition to that year's earnings. So for a 12-team league with a $100 buy-in and a 10% dynasty pot allocation, $120 goes to the dynasty pot and the remaining $1,080 goes to the winner (potentially split with runner-up). If someone wins consecutive 'ships in the fifth year, for example, they get an extra $600.

The odds

For a 12-team league, each owner has about an 8% chance to win it all each year. Each owner's individual odds of a repeat are about 0.7%, but the probability of anyone repeating in a two year stretch is ~8%. But because there are some perennial contenders and some lol-what-were-you-thinking owners in every league, I'm guessing the actual odds of a repeat are a bit higher—maybe 10-12%. And of course if you won last year, you're just looking at the 8% yearly chance. It's going to happen within the decade, I bet.

Compound interest

As the Treasurer of my league, I have to decide what to do with buy-in funds each year from September to January. This past year I parked the venmos in a 5% high-yield savings account. Over five months, that doesn't amount to that much, but you still have to decide what to do with it. I wrote down five options:

  1. Pocket it for my troubles (unpopular)
  2. Add to the championship pot (boring)
  3. Reserve for draft weekend host gift (practical)
  4. Contribute to draft weekend food 'n beverage fund (better)
  5. Accrue in a dynasty pot (best)

While in-season interest doesn't amount to much itself, over the course of an offseason and multiple years without a repeat winner, it will become a material bonus for anyone who builds a dynasty.

Fines

Our league imposes a fine if an owner fails to set their lineup that week. Any fines paid throughout the season will also be allocated to the dynasty pot.

Selling teams

The dynasty pot also creates a lasting financial stake in each team. If an owner ever decides to leave the league, they might want to cash in on their dynasty pot investment. Or better yet, it would be a disincentive to leave the league (although I actually don't like fantasy football becoming too monetary—I'm categorically against buy-in increases—and of course people might have perfectly good reasons to bow out).

Dynasty league

I do like that the dynasty pot ties different seasons together. The next rule proposal I am weighing is a dynasty league where your entire roster carries over year to year. This makes trading much more interesting (older versus younger players, injured players, trading auction draft cash, etc.). There would still be a rookie draft each year. With a large dynasty pot and a repeat winner looking unlikely mid-season, you may look ahead to next year with your roster moves.

*Our league voted on a 10% dynasty pot allocation this year. Since this is the first year of the rule, if last year's winner repeats, it doesn't count.