Due to the significant rise of the cryptocurrencies such as bitcoin, attention has turned to its underlying technology; the blockchain, and it’s expected to have a great effect on the industry. This comes as a result of increased gambling globally which has moved from the lowly `brick and mortar’ casino onto the internet.
This has given the increase in the Blockchain-related apps over the last year plus the smart contracts and peer-to-peer exchange of bitcoins. Evidently, the pervasive blockchain application seems to be the next reasonable development step for the $35-$45-blillion gambling industry.
How it Works
The Blockchain technology working mechanism resembles that of a global, accounting ledger, open to view by the payer and payee. The participants’ identities in a transaction are protected by some real powerful encryption for participating individuals to remain anonymous. But then again, the transactions on the Blockchain remain visible for the world to see.
After the transaction’s verification, its sealed in a block which is then added to another block before it’s connected to all the blocks of existence before that; hence the name Blockchain. All transactions that have ever taken place are registered in this Blockchain chronology.
This register exists on a peer-to-peer computer network that is, simultaneously around the world on millions of networked computers. This proves the Blockchain protocol is exceptionally decentralized, with no control from any individual or constitution. Furthermore, everyone can see the information existing throughout the network.
Difference Between Blockchain Casinos and Regular Online Casinos
There might be no big difference between how these two sites operate, but there are things they handle differently that can have a notable impact on your experience. Some of the differences that can help you make a more informed decision on where to play include;
Provable advantage using the Blockchain
the use of the cryptocurrency technology to prove the fairness of the game is one big advantage of playing games in bitcoin, running on Blockchain. You’re able to use the Blockchain that helps track all Bitcoin transactions together with processes for verification of fairness and legitimacy of games played.
During the earlier bitcoin days, volatility was an issue with the digital currency value since there was a daily tremendous fluctuation of prices. It was a problem related to the use of bitcoin for online gambling. It was more of a gamble to own bitcoin and have it sit where its value could move all over the place than it was to first play the casino games. However, most online casinos still wanted to offer the cyber currency, making someone come up with a solution where players could make deposits in bitcoin and have that immediately turned to fiat currency.
They would play in the more standard currency then the player could cash out when it was time for a withdrawal. This solved the volatility issue allowing the cryptocurrency to function exactly as a banking method since no value could be lost by having your bitcoin sitting in your account due to the daily fluctuations
Why the Blockchain Technology Matters in Online Casinos
Being a foundational technology, we’re sure the Blockchain will evolve but not exactly how, just as the internet has also grown. This will require cautious handling recognizing the difference between the platform itself and the applications running on it.
The same way TCP/IP (which enables the internet) inspires a number of financial applications that are adjusted though not regulated as a financial instrument, is the same consideration that should be received by the Blockchain. While the widespread use case for the Blockchain is bitcoin currency that may require maintenance, this will change with time.
Had the internet been over-adjusted early on, we would have missed out on great innovations that currently we can’t imagine living without. And the same applies to Blockchain, we can never risk slowing it down!
Some of the merits of the Blockchain technology include;
- Faster Transfers: The reconciliation and transaction payment take place in a few minutes, unlike other third-party systems that take days.
- Clear source of truth: If any network member attempts making a change to any block, everyone in the chain is able to see where the change took place and making a decision whether it’s authorized or not.
- Information can’t be interfered with: Let’s say a distributed ledger is shared across 10,000 computers and some hacker had an intention of changing some of the recorded information in a block, they’ll be forced to simultaneously hack all the 10,000 computers. This is a recklessly daring process.
The future of Blockchain Casinos
Of course not, change is inevitable and you can never be sure what the future holds. Sometimes back, it was coins or dollar bills before that, gold and silver. Longtime ago buying of goods and services was even done with seashells, but here comes a time whereby clicking a ‘’Buy Now’’ button a transaction is completed. This is a proof of more advanced casinos better than the Blockchain’s yet to come.
Certainly, the Blockchain is a programmable ledger of monetary transactions that cannot be corrupted. It can as well be programmed specifically for purposes of record keeping of not only monetary transactions but practically all commodities that hold some kind of value. It is interesting to watch how things are progressing and from the look of things, it is getting better and more mainstream as gamblers are trusting it more with every passing day.