DAO Casino – Blockchain Gambling

dao casinoIn on-line gaming the biggest issue that all parties involved have to deal with is trust, the DAO Casino platform directly addresses this issue and removes the need for any trust from the parties involved.

Built on the Ethereum Blockchain and powered by the Ethereum ERC20 token protocol, DAO Casino, through its decentralized, open-code platform is transparent and there is no way for any of the parties to take advantage of each other.  This produces the first truly “fair” on-line gaming platform.

DAO Casino Platform and Trust

The DAO Casino platform addresses the trust needed by all parties interacting within the on-line gaming experience, namely two.  The first is the relationship between the player and the casino and the second is the casino and the game provider.

This is how DAO explains it in their whitepaper:

“Trusted third party that is needed in a traditional online gambling industry to function is replaced with smart contracts that act as autonomous agents that automatically reward all the key contributors: game developers, referrers and operators of independent platforms necessary for the game discovery, and those that take part in PRNG. The fact that reward system is fully automated and transparent allows to introduce a crowdfunding element into a bankroll of every game (see section 2.1.5) and incentivise community-driven security audit.”

DAO Casino Addresses Player – Casino Trust

If you have ever played on an online casino you know that there are many things that can go wrong when interacting with the casino itself.  Deposits may not be reflected, withdrawals are not returned, bonuses are not credited, restricted withdrawal terms and other issues like hidden fees.

The solution provided by the platform that DAO brings is a system built on smart contracts that are transparent and autonomous.  The system runs itself and there is no place for operators to take advantage of the players.  There are no humans involved in the interactions, just executable smart contracts that are predefined.

DAO Casino Addresses Game Provider – Casino Trust

As a game provider, you have to rely on the information provided to you by the casino to ensure that you receive the royalties that are negotiated with the casino.  This again requires trust, ensuring that no workarounds are made by the casino to minimize payment to game providers. Again, through Ethereum-based blockchain smart contracts, all information and contractual obligations are pre-determined and no trust is needed.  All parties get rewarded with what is rightfully theirs.

DAO Casino Fees and Distribution

As with any online casino, fees need to be generated so that there can be profitability. This exists in the DAO model but it is hard coded in the smart contract and there are no hidden fees.

“Suggested Dao.Casino reward distribution distributes tokens accumulated by game contracts as follows, rewarding all participants equally, however independent platform operators can choose their own reward distribution scheme (i.e. if the platform needs to incentivise more referrals but build their own games)

  • Game Developer – 25%
  • Casino Operator * – 25%
  • Referrer – 25%
  • Bankroll backers – 25%

*Casino operator/platform and a Referrer can be one entity” (From the Whitepaper linked in the resource section below)

DAO Protocol Goals

The DAO Protocol aims to reduce operational costs of online gambling, reduce the risk of fraud, remove the need and responsibility from online casino operators to maintain player’s account balances, enable game developers to monetize their work while maintaining their IP, enable game developers to access bankroll for their game without extra responsibility for managing it and enable an open ecosystem of provably fair interoperable online casinos.  Through its smart contract based system, all of this should be achievable.

DAO Casino Token (BET) System

In order to facilitate the use of the DAO platform, the company is releasing its Ethereum, ERC20 protocol tokens, BET.  The tokens will be used dually as the in-game currency for players and casinos and the means of rewards as described above.

BET token initial Coin Offering (ICO)

As per Appendix A of the whitepaper, the ICO will be structured as follows:

  • Start: June 29th, 2017 at 1:00 pm GMT
  • Ending: in 28 days or when the Maximum cap is reached
  • Only ETH accepted
  • No minimum cap: The MVP for the protocol will be launched under any conditions before the distribution of tokens starts
  • Maximum cap: $25,000,000 in Ether
  • Token name: BET

The tokens will be sold with staged pricing, starting at 2,000 BET per ETH contributed on day 1 to 1,300 BET in the final days of the sale.

The whitepaper goes on to define the use of the proceeds of the ICO with a 70/10/10/10 distribution where 70% will go to the campaign participants, 10% to the legal entity, 10% bounties, and 10% to the founders and early contributors who have worked on the project.  The use of funds is detailed as follows:

  • 60% – Research & Development
  • 20% – Operation
  • 15% – Marketing
  • 5% – Legal

All-in-all, the platform looks interesting and can solve the mission of DAO Casino, to remove the need of trust amongst all parties involved in the Online Casino industry.




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