Can TokenRoll (TKR) Solve the Problems Associated with Centralized Online Casinos?
Now that the cryptocurrency market appears to be picking up steam, it’s time to start taking a closer look at projects that are attempting to use blockchain technology to solve real world problems. One of the biggest frustrations that crypto traders and enthusiasts have expressed during the prolonged bear market has been the large number of projects that don’t appear to add any value to the modern business world. It’s important to remember that cryptocurrency, and blockchain technology, is still in its infancy. There is no doubt that the market will mature over time and traders will become much more sophisticated. And although many projects won’t survive the altcoin apocalypse, there are still a few worthwhile projects left that are attempting to solve real world problems. One of those projects appears to be TokenRoll (TKR), which is attempting to solve the main problems associated with both centralized and decentralized online casinos.
The Gambling Market
Just like with any investment, it’s critically important to look at the related industry of the company. The global gambling market appears to be one of the fastest growing industries in the world.
As shown above, in 2016, the global gambling market was estimated at approximately $44.2 billion. By 2024, the market is expected to surge above $90 billion, which would more than double the 2016 size.
Online gambling has been legalized in more than 80 countries. The following chart shows how the market is segmented by geographic region.
Europe currently accounts for the largest revenue source of online gambling. And while the U.S. is currently lagging behind Europe, Asia, and the Middle East, that may soon change thanks to the Supreme Court’s 2018 decision that paved the way for legalized online gambling.
Online Casinos Need to be Decentralized
Now that the demand has been established, let’s look at why TokenRoll is the right platform to take online gambling to the next level.
Two of the biggest issues with centralized casinos are transparency and trust. As someone who has gambled at various online platforms, I can attest to these concerns, especially at various times of my life when I’ve lost 20+ Blackjack games in a row. That was always hard to comprehend and made me question whether I was playing against a stacked deck.
Another issue with centralized casinos involves the financial complexities of maintaining an online gambling ecosystem. These ecosystems need to maintain low fees and high transaction speed to account for the low amount/high frequency type betters. Some online casinos allow bets as low as .0001 BTC which, based on today’s price, are approximately a $0.53 bet. If someone is betting on games like Roulette and/or Blackjack, that is going to result in a lot of games for low amounts. In order for that to make sense, the casino needs to maintain high transaction speed and low fees, or else it wouldn’t be able to maintain profitability.
The main purpose for the decentralization of online gambling is to maximize transparency while establishing the fairest of fair environments. With the assistance of smart contracts, players will be able to see what is occurring behind the scenes with the servers.
Decentralization will also help obtain the fastest possible transaction speed. This will improve the user experience for consumers by increasing the amount of games played, allowing for faster deposits and withdrawals, and decreasing the amount of down time suffered by casinos.
It’s apparent that there is a need for the decentralization of online casinos. It’s needed to help grow the industry by improving the technology and assuring the integrity of the games. But why is TokenRoll the right platform to advance the cause?
The TokenRoll protocol will be a decentralized protocol that runs on Ethereum. Gamblers will be able to bet on smart contracts using USDC. The platform will interact with the protocol through the backend which will eliminate the need for gamblers having to deal with blockchain. This is extremely beneficial as a lot of gamblers simply wouldn’t have the expertise or the patience necessary to deal with that.
A few of the advantages that the TokenRoll platform will offer are:
- Transparent history and reward storage.
- No security vulnerabilities due to the traditional sharing of personal information.
- Instant payment option.
- Users will be able to bet directly with FIAT through the USDC stable token. This eliminates the risk of currency fluctuations due to crypto market volatility.
It’s clear that both the growth and the need for decentralization are present in the online gambling industry. The TokenRoll platform, backed by the TokenRoll protocol, is a big step in the right direction for the advancement of online gambling. It will be very interesting to see how this develops over time.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.