Before we talk about what a decentralized casino is, we must first understand a little about the technology behind it.
A decentralized casino is built from DApps (Decentralized Applications), which are different from usual APPS (Centralized Applications). The difference between the two is that data the transfer and storage of DApps is done on the blockchain, whereas data transfer and storage of APPS takes place on a centralized server.
Several features of decentralized applications (DApp) include:
- The application data is distributed and stored on all the nodes (computers) in the blockchain.
- Thanks to the characteristics of the blockchain, the application data is open and transparent and cannot be tampered with.
- The logic of the application is implemented using smart contracts and deployed on the blockchain.
Next, we take casinos as an example, assuming that APP stands for a traditional casino and DApp stands for a decentralized casino. The core differences are:
- The rules and logic of traditional casinos are formulated by game providers and run on a centralized server. The game provider can modify a game’s rules at any time. On the contrary, the rules of games on a decentralized casino are defined and deployed on the blockchain through smart contracts. The rules are open and transparent and cannot be tampered with.
- The props and game tokens of traditional casinos are controlled and issued by the game provider – with absolute control – and as a result, a player can have their in-game assets frozen or taken away at any time. In a decentralized casino the rules and regulations for the props and tokens are completely transparent (through smart contracts) and the in-game assets are mapped to the TOKEN on the blockchain. Therefore, the ownership of in-game assets is completely controlled by the player and the game provider has no possibility or right to control these assets.
A decentralized casino provides a more secure, fair and transparent gambling experience for everyone.