How to check online game services for honesty?
Looking into the risks of the use of cryptocurrency we should highlight the legal issues. Of course, there are no laws to regulate the use of cryptocurrency. And that means, that there is no 100 % security. Your business can’t be protected fully.
Attitude toward cryptocurrency differs from country to country. For example, the Russian government is preparing a legislative base for taxing cryptocurrency, the European Parliament has gone further and is developing rules aimed to identify users of cryptocurrency wallets and cryptocurrency exchanges in order to prevent money laundering. In Germany, bitcoin can be legally used as a unit of account, and in Switzerland, cryptocurrencies are equal to foreign currency and can be exchanged at a certain rate. But in China, banks are not allowed to work with virtual money, despite the fact that this country is one of the main centers of mining. Another major player, South Korea, has not yet finally decided on the legal status of cryptocurrency, but the government agencies pay special attention to organizations working with them.
So, if you are planning a new business model, a startup or a new project it could be hard to predict the legal response of the particular country.
In South Korea, for example, the law prohibits any form of gambling, auctions and roulette where real money or cryptocurrency can be involved. Fans of gambling on the Internet often pay attention to the protection of PI (Personal information) information, but in some countries that’s prohibited.
By the way, you can’t get around the human factor. A lot of players didn’t get used to cryptocurrencies and it’s hard to predict how they can behave in such a new gambling economy, which includes virtual property.
So how can we believe, that blockchain technology is honest?
The blockchain technology has certainly a lot of characteristic, that can solve a wide range of problems.
Due to its decentralized nature, the blockchain is not controlled by a single user, which makes it 99,9% impossible to break the baseline data. Verification of transactions or transactions over the network ensures that no player has an advantage at any stage of the game process. This prevents fraud cases and makes it impossible to manipulate entries in the blockchain chain.
Accordingly, this technology offers the concept of “provable justice”, which allows you to view and check all lottery entries, all bets and all payments ever made on the blockchain network. Just like in a real casino, when the prize is drawn according to the “black box” scheme, the game play algorithms can be combined into a smart contract based on the blockchain that all participants can access.
It is important to note that smart contracts also provide the ability to generate random numbers (RNG) in a completely decentralized and verifiable way. In addition, even in cases where the RNG process is not completely decentralized, the blockchain technology can allow players to control the RNG process with which a particular card was drawn or thrown (including associated data — hashes and one-time numbers) to ensure that the game play is fair.
Well, there are not so many players who use blockchain, But it is developing so fast, that you can count on the massive introduction of decentralized technologies in this area in the future.