Nearly every field of commerce has been revolutionized by the Internet, but even among the different areas, online gambling has notably blown up since its advent. According to Forbes, the online gambling market has been growing at an annual rate of 9% - dramatic growth indeed. Blockchain technology promises to disrupt and innovate just about any area tech is involved with, but many of these benefits still await fuller maturation and implementation of blockchain infrastructure. Online gambling, on the other hand, stands ready to reap the benefits of decentralized ledger technology in a very immediate way.
A crucial component of any type of gambling and gaming is fairness. While it's obvious that any casino (online or otherwise) makes a profit for the house in the big scheme of things, it is vital that any game or system of wagering is essentially fair. Before blockchain, this fairness had to be simply trusted by customers of the service. Some third party services attempted to document and track fairness of different online gambling companies, but it is a difficult task when the services are so opaque. With blockchain, there's no longer a need for this trust. This is because of one of the most basic yet powerful aspects of blockchain: a decentralized ledger.
Transparent Ledgers and Accountability
Blockchain enables the online gaming ecosystem to maintain immutable (a.k.a. tamper proof) records of all transactions, deposits, wagers, and payouts. Players and casinos alike can use this function to ensure all that was due is paid, and that there's no funny business going on. In the case of any disputes, the blockchain records can be referred to with authority - no grey areas or wiggle room. Such ledgers can also be audited by third parties and analyzed for discrepancies or hidden stacked odds.
Deposits, Cash Outs and Settlements
In the past, transferring money in and out of online casinos depended on the cooperation of a gambler's bank. Banks could monitor and control such payments at their whims, and it's not unheard of for these transactions to be blocked. With blockchain, such gatekeepers are removed, fully empowering players and casinos to deposit and withdraw funds in and out of the system at their will. In the past, players might need to put their trust into uncertain third parties in order to participate in online casinos - a risky proposition at best, and quite possibly a factor preventing the online gambling space from growing at an even more dramatic rate. With blockchain, those third parties are removed and the power is put squarely in the hands of players and casinos.
Peer to Peer Betting
While there will always be a place for organized online gambling casinos, blockchain can allow users on a network to place bets with each other through smart contracts, or even run their own miniature gambling games or casinos. This would be utterly impossible in the past unless among trusted acquaintances - and even then, we all know someone who's flaked out of paying out a bet to their buddy. Blockchain and smart contracts empower individuals to make completely legitimate bets on a small-scale level - whether for fun or for profit. This aspect of gambling on the blockchain could even promise to eliminate the house advantage mentioned earlier - something many gamblers and potential gamblers would love to see.
BXTB - A Cutting Edge Blockchain for the Online Gambling Industry
While there are many blockchain projects attempting to bring these advantages to online gambling, many of them are built on a weak foundation - common problematic factors include ICOs and token sales (causing centralization), reliance on Proof of Work (unsustainable) or Proof of Stake (again centralized and lacking key elements of a true blockchain). Other systems fail to properly incentivize participants in the ecosystem. BXTB solves all these problems and more.
BXTB is based on Proof of Capacity, a simple yet efficient next generation mining algorithm, and has no token sale or ICO - meaning its tokens will be fairly distributed to miners. And once BXTB are staked to be part of its ChipsNet ecosystem, holders receive a 0.25% fee paid out whenever their staked coins are used in a transaction - incentivizing strong support for the network's transactions, as well as benefits for using those tokens within any online casino.
The future of online gambling is exciting once blockchain enters the picture, and BXTB is well worth keeping your eye on whether you're a gambler, an online casino, or an investor.