How to choose a blockchain-based casino?
Casinos accept deposits in digital currency. It is fast and the bank will not reject the payment. However, this does not mean it is a blockchain casino.
There are 970 gambling applications running on blockchain. They provide ordinary games like dice and do not interest players. Meanwhile, the official website Fairspin is introducing blockchain to protect players.
Using Fairspin as an example, we tell you how to choose a blockchain-based casino.
How blockchain casinos work
Blockchain casinos use smart tokens to record transactions in blockchain and token as a counterpart to the chip.
The player makes a deposit and the smartcontract changes the deposit to a token and accepts it into his wallet. The casino can create blockchain, tokens and use off-the-shelf blockchains.
Online business regulators check the casino and issue a licence. Without a licence, a casino cannot open a bank account, buy games, or operate legally. Regulators check the casino a second time on a complaint from players, and the casino's license is revoked in cases of fraud.
Some regulators cooperate with blockchain developers. With blockchain, verification becomes easier because the regulator sees all casino transactions in real time on the blockchain.
How blockchain protects players
Blockchain makes the gaming process transparent. The deeds of the players and the blockchain casino are recorded in a public registry. This information can be verified and the blockchain casino cannot change it.
Shows the balance of the casino
The blockchain casino pays out bonuses to the player's wallets via a smart contract. The smart contract has a blockchain address. The player can view the balance and payout history of the blockchain casino using the blockchain correspondent.
The code for the smart contracts is open. To verify this code, the user can contact an auditor such as Hacken, for example.
Justifies the fairness of the game
Casinos purchase games from game providers. The regulator inspects the fairness of the games: it makes millions of bets and counts the payout percentage of each game, but players cannot verify this information themselves.
The payout percentage indicates the amount of probable winnings. At ninety-seven percent return, the casino will distribute ninety-seven percent of the bets between players, while earning three percent.
Blockchain casinos record the bet and the total amount in a blockchain, so you can check the payout percentage at the slot machine.
No cheating partners
Casino agents are partners (Affiliates). Attract players by means of referral links and receive a percentage for deposits made by the attracted players. Online casinos can cheat with the percentage: set a high withdrawal limit and delete the data of players attracted to the game.
In blockchain-based casinos, statistics about referred players are recorded in a public list, and affiliates may verify this information.
Memo: How to Choose a Blockchain Casino
Online casinos may accept deposits in digital currency and insist that they operate on blockchain. They are tricky. We tell you how to choose a blockchain casino.
How blockchain casinos post links to smart contracts
Blockchain casinos post the addresses of smart contracts for games on an online resource. If you can't find the address, ask for technical support.
What to check?
- The balance and the history of the blockchain casino's deductions. Fairspin's balance is 3,590 ETH in TPLAY tokens. In January, blockchain casino Fairspin paid out 49.6 ETH to a user.
- The balance and smart contract code of the game.
Licence
The casino obtains a gambling license from the regulator. This license costs $20 thousand or more and takes several months to obtain. Without a licence, the casino cannot open a bank account, launch a website or receive games from game providers.
Casinos indicate the licence at the bottom of the website or on the legal documentation page. Gambling sites without a license can disappear: the regulator will shut down the domain, close the bank account, or tell law enforcement officers.
Security of personal information
The casino will lose its licence if teenagers or citizens of countries where gambling is illegal are allowed to play. Because of this, casino sites ask for personal information of the player.
Make sure that the blockchain casino website opens via HTTP and has an SSL certificate.
Terms and Conditions of Play
When registering, the player must accept the terms and conditions of the user agreement. The agreement may be waived by the casino for the payment of winnings. Read this document.
Jurisprudence
14 countries have banned online casinos and 17 countries have strict bans. Blockchain casinos may refuse withdrawals to residents of these countries. Therefore, it is worth checking whether online gambling is allowed in your region.
Reviews
The casino is responsible to its reputation: order reviews and positive reviews on online resources. Therefore, a piece of advice to you: read reviews by independent reviewers.
Results
Blockchain provides transparency to casinos: players can check the validity of the service, their ability to win, and conduct/order an audit of the smart contract code. This makes them more attractive than classic online casinos.