Decentralized betting is taking over the world. Powered by blockchain and smart contract technologies, this new breed of online betting platforms vastly improves the quality of services provided to users. Although the online betting industry continues to expand 9% annually, if we take blockchain out of the equation, not much is being done in terms of innovation. Also, users don’t place much trust in online betting platforms, and with good reasons. There are countless stories of users receiving big prizes only to get their accounts frozen or be unable to withdraw the funds. Blockchain can help solve this issue and bring increased trust and transparency to online betting. Let’s see how exactly. Advantages of decentralized betting One of the earliest innovations in blockchain betting was the creation of the provably fair games. Probably fair is a method through which users can verify the random number generator, the algorithm responsible for creating the randomness of every bet. This algorithm is hidden in traditional online betting platforms, and users have no way to verify that the house is being fair. Later on, with the advent of Ethereum and smart contracts, further transparency was added. Any bet made is now written into a smart contract, making it so all transactions can be seen and verified on the blockchain. The whole betting system is made trustless, effectively eliminating the need for middlemen and cutting down on cost...
