As the betting industry is expanding with more operators and players coming into the picture, the money put into such ventures is also increasing significantly. Talking about casinos where organizers deliberately resort to sabotage to aggrandize their profits, even the cases where such game organizers are inclined towards welshing on their agreement of paying the door-prize or jackpot money have become general. Games of chance have always been prone to manipulation and fraud because of trust in a third party. And where trust resides, there is always leeway for malpractices. Also, the growth of bookmaking is restrained by centralization and regional limits. Moreover, online betting and gambling are controlled by complex computer algorithms which makes it even easier to disrupt its integrity.
A promising solution to these problems is integrating the transactions in a common distributed ledger as in the Blockchain. Blockchain gaming platforms disintermediate third-party operators who manipulate betting outcomes and increase transaction costs. Thus, allowing the users to have a secure, trustless, and faster experience of betting. There are many platforms where users can play with the anonymity of identity, transact with the use of cryptocurrency and all this will be engineered under Blockchain technology. Some known examples of such platforms are Let Bet and Proof of Toss.
How do we ensure candid results for all stakeholders?
To play a fair game in the gambling industry looks no less than a sham. Another important issue with game organizers in casinos is that using computer algorithms, they can predict the betting pattern of a certain participant in the bet. This strategy seems treacherous to the person's overall winning percentage because then it becomes obvious to judge his/her next move. For instance, a betting game floated online by a group where Peter initially bets for $100 and loses but the next time, he bets for double the amount then for $300 and so on. It is quite easy to conclude Peter has a tendency to double his bet on every win/loss. If it is so easy for us, in no time will a trained algorithm breakthrough any peculiar betting habits. The game (used for betting) algorithms will be done in the form of smart contracts and uploaded to the Ethereum network. The fair win is an organization dedicated to ensuring upright winnings in the online gaming industry. The whole game process takes place outside the Blockchain system which allows for instantaneous moves in the game. There is no more need to wait for the validation of the transactions; only the depositing and withdrawal of funds will be done on the Blockchain base as stated in their whitepaper. The smart contract code will define the game combinations and calculate the winnings. At that, any player will be able to see the proof that the game combination was generated by a smart contract precisely since it is signed with a unique key. If there is any intervention regarding consensus, everyone in the network will be aware of it.