Blockchain Technology is Revolutionizing Online Gambling
By Space Coast Daily // February 24, 2021
The coronavirus pandemic has triggered an increase in the number of online gambling sites. With most sites embracing digital payments, there has been a reduction in fraudulent activities and cases. Among these digital payments is blockchain.
Blockchain has decentralized databases that contain transaction records on the ledger. Blockchain validates and saves ownership of crypto-assets since they are verified and saved by network participants and their nodes.
Each node contains data on the transaction time, past operations, and details of the parties involved. Since the online gambling industry is based on transactions, blockchain technology has a lot to offer.
Benefits of blockchain technology
Unlike centralized data storage, blockchain transactions are not validated by one authority. All members of the network have to validate the transactions before they can occur.
Private keys are designed for security reasons. All keys are protected using a digital signature and serve as a link to personal funds and wallets. Both public and private keys are randomly generated. They are also uncorrelated – making it impossible to guess and differentiate public and private keys.
Private keys serve as additional security measures. When users make a transaction, they need to sign an agreement for the final confirmation. Only legitimate owners can do this. Private keys protect users against scams.
Back in the day, banks used to control all their resources, deciding who will receive a loan and the type of loans to give. Users had very little influence over the terms and conditions of the transactions.
Unlike the banking system, blockchain allows users to choose their preferred currency and how to get it. Users can fully access their financial history and manage their investments, purchases, and online gambling activities. Further, the value of the coins is not dependent on economic situations. Cryptocurrency values are assigned according to the forces of demand.
Making transfers to other countries requires a lot of intermediaries to convert the currency in a typical system. On the other hand, blockchain eliminates these intermediaries by connecting owners and senders directly using a decentralized network.
Blockchain is not limited to a geographical location. All you need is internet access. By adopting blockchain technology when playing in online casinos in Netherlands, you’ll have the ability to perform several different transactions and reach international markets without having to pay expensive commissions.
The key features of the blockchain are also interesting for gambling companies. What does this technology provide and what problems can it solve?
Guarantees of safety and fair play. The technology allows you to anonymously record user actions and game results, while the data can not be forged or altered.
Providing anonymous access to gaming resources. A crypto casino on a blockchain guarantees players that personal information about them will not be disseminated.
Transaction speed. Clients of resources on the blockchain can withdraw and deposit funds into the account without waiting for several days.
Low commissions. Much of the blockchain casino has the lowest fees in the industry for depositing and withdrawing money.
Such advantages make the casino more attractive to customers, and the operation of the platform – fast and secure from possible fraud. Blockchain can solve gambling problems such as lack of transparency, payout speed, and a high entry barrier for new players.
Peer to peer network
Blockchain technology was launched back in 2008 when developers released a paper blockchain and peer-to-peer network transactions. User networks play a critical role in enhancing data safety and executing transactions.
Unlike centralized models that approve transfers from one device, blockchain technology relies on getting approval from all network nodes. For the transaction to be valid, at least 50 percent of the members have to approve it.
A criminal would only need to get access to one server to hack the entire network. To access a blockchain network, a hacker needs to access 50 percent of the network devices. And they could be thousands. It’s also impossible to hack or launch an attack because it will be easily spotted.
No knowledge proofs
In a casino blockchain network, all transactions have to be verified by a zero-knowledge proof. Zero-knowledge proof is a consensus protocol where each party verifies and validates the information.
Zero-knowledge proofs are powered by complex cryptographic algorithms that have been automated. This means that users don’t have to spend a lot of time trying to figure out how the system works. The protocol does not show personal or financial information about the sender apart from proving that the transaction is valid. Blockchain is an ideal choice for players who prioritize their privacy.
Blockchain technology is a great tool that will continue revolutionizing the online gambling industry. Go for online casinos that have adopted this technology today!