Decentralized Casinos & Gambling DApps
The modern world is powered by innovative technologies that are changing the landscape of how we live, work, and interact. One of those is the blockchain. While cryptocurrencies may be the most popular use case of the blockchain, this technology has the potential to revolutionize multiple sectors through its decentralization protocol. And tapping into the blockchain potential, the gambling sector has emerged with what is known as gambling dApps.
These gambling dApps offer many benefits, including instant payouts, anonymity, provably fair games and dividends. All this is thanks to their inherent protocol and the use of smart contracts.
In this article, we explain the concept of dApps and the best dApp casinos . We’ll also look at what it entails playing at these casinos, the advantages, drawbacks, and how they compare to regular online casino sites.
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Dapp Casino List – Best Gambling Dapps
What are Gambling DApps?
Decentralized applications, also referred to as dApps, are open-source applications developed on the blockchain network. Like any regular app, they are software programs designed for end-users. However, they aren’t controlled by a central authority. Instead, information is stored on the blockchain, and they are programmed using smart contracts, which allow the mediation of agreements and transactions through code.
What are decentralized casinos?
By now it’s easy to understand that dApp casinos are simply casino software characterized by this decentralized functionality. They are not just online casinos accepting cryptocurrencies. Instead, they run entirely on the blockchain and feature the added advantages enabled through the technology and associated cryptocurrency tokens.
These casinos offer a wide variety of traditional games like Blackjack, Roulette, Slots, Craps, Baccarat, and Poker. Unique game options include Dice, Plinko, and Crash. Sports betting fans can also enjoy plenty of sports and horse racing products.
Currently, the leading blockchain gambling platforms for dApps are TRON, Ethereum, and EOS. These platforms host thousands of gambling dApps, which shows the sheer number of developers tapping into the market. Considering that the global gambling market was valued at nearly $450 billion in 2018, 10% of which was contributed by the online sector, it’s easy to see why the interest.
How Gambling DApps Work – The Concept of Smart Contracts
The interactions within a dApp are automated through smart contracts. A smart contract is a technological innovation in the blockchain and decentralized application ecosystem. These contracts are written in the form of codes and are automatically executed whenever a pre-defined condition is triggered.
In a normal casino app or website, a central provider controls game results and player’s funds. This means, the operator could very well make away with players’ money if they were fraudulent. In a dApp casino, however, no central authority or third party controls players’ funds. Instead, all the transactions are processed through a smart contract code that runs on the decentralized application. Any exchange of money between the game and the player is directly through the dApp.
Ethereum, EOS, and TRON Casino dApps
As mentioned earlier, developers leverage the open-source network of a blockchain gambling platform to build dApps and smart contracts. Ethereum is the most popular platform for decentralized applications within all sectors. In 2019 alone, almost half of the dApps built on the Ethereum blockchain were for gaming applications.
Over the years, EOS and TRON have been the most used networks for building gambling dApps, with the latter experiencing the most growth. Also in 2019, daily gambling activity on TRON rose 121% to 14,133 daily active unique wallets. It continued rising up 14% month-on-month during January 2020.
Ethereum remains the leading decentralized gambling platform for live casino dApps.
Advantages of Decentralized Casinos
Here are the advantages of playing at dApp casinos:
Accepts Most Cryptocurrencies
In many countries to date, online gaming is yet to be legalized. In some cases, even banks do not support transactions that are to and from gambling sites. A blockchain-based casino provides an alternative to all these cases. Cryptocurrency tokens like Bitcoin facilitate transactions. As transactions made from bitcoin are anonymous, players can freely gamble with bitcoin on a decentralized casino without the fear of the government overlooking or waiting for bank approvals.
Unlike traditional online gambling platforms, there are no KYC requirements for verifying your identity. Many of these sites will allow you to play anonymously, so you generally enjoy a high level of privacy at these gambling websites.
Another significant advantage of online gambling with dApp casinos is that fees on transactions are negligible. Fortunately, at the dApp online casino, there is no middle man, and all transactions are peer-to-peer. Hence, costs are reduced and so is traffic, which leads us to the next advantage of dApps.
Withdrawals in online gambling can be frustrating as it may take days or even weeks to clear. However, cryptocurrencies allow instant payment confirmation as well as instant payouts into coin wallets.
One smart engagement technique at dApp casinos is rewarding players with dividends via staking mechanics. For instance, casinos running on TRON offer dividend income to players to own the native TRONIX tokens. Bets are rewarded with token dividends, and the more coins you own, the more you earn. While welcome bonuses are the incentives to look forward to at regular casinos, dApp casinos offer massive cashback, as well as a chance to earn passive income.
Provably Fair Games
The current fiat-based online gambling is highly complex and opaque. Players need to trust the service providers to practice fair play. However, with the onset of Provably Fair, you don’t have to trust the operator’s good faith anymore.
Provably fair games work with blockchain-enabled cryptographic hash functions and seeds. Using these keys, players can verify the result of every round on their own. Essentially, the technology makes it impossible for anyone to manipulate game outcomes.
Information about the bet, results, and outcomes are stored on the blockchain’s transparent public ledger. As such, the provably fair method is unique to decentralized casinos.
Security & Transparency with Decentralized Gambling
Security is a huge aspect of online gambling, and fortunately, cryptocurrencies raise this bar. Normally, a hack targeted at the main server of a centralized system leads to total breakdown. But due to the decentralized nature of the blockchain, stored data is not vulnerable to a single point of failure.
Cryptocurrency transactions are much more secure compared to fiat paymnet methods. Also, players do not have to fill in any credit or debit card information on the platform, so the inherent risk is greatly limited.
DApps also utilize cryptographic protocols to offer optimum transaction security. So, transactions that have been stored cannot be forged or imitated. Given that the blockchain ledger is open source information, anyone connected to the network can access the ledger and validate it. This guarantees full transparency between players and the dApp casinos.
Return to Player Values at DApp Casinos
Land-based casinos or online casinos have one thing in common- the house always has the upper hand. Even the player has to give a percentage of his profits as a house-edge to the casino. In most standard casinos, the house-edge is vague and unfair.
Lower operating costs at dApp casinos lead to lower house edge rates implemented by the casino. In turn, the payout percentages offered to players are some of the highest on the market. Some game RTPs can go as high as 99.9%. Not only are payout rates high, the percentage for each game is also clearly specified.
Normal Online Casinos vs DApp Casinos
A dApp casino is similar to an online casino in that they provide gambling products. That aside, they are largely different. The benefits listed above make up the primary distinctions between dApp casinos and traditional models. These benefits seem to close all the loopholes and tie up the loose ends that plague standard online casinos.
It’s common knowledge that cryptocurrencies are incredibly volatile. Sustainability is one reason why traditional online casinos can maintain a loyal audience for an extended period, but dApps can’t. However, dApps are still only a growing niche, and there is potential for steady growth. The decentralized landscape offers significant advantages that are hard to ignore. Once more investors capitalize on their efficiency, dApps may very well take over the online gambling industry.
Begin Playing at the Best DApp Casinos
In this article, we have covered the meaning of gambling dApps, the significant advantages of dApp gaming casinos compared to the traditional gambling infrastructure, and everything in between. We’ve also listed the best and most viable dApp casinos out right now, so you don’t have to go searching from the thousands available.
The best dApp casinos don’t only have a large player base, but they offer an impressive selection of games and provably fair titles. They’re also easy to navigate and guarantee a smooth experience from sign-up to payouts. Taking into account the series of advantages associated with the decentralized gaming ecosystem, it’s everything casino players want all in one place.
Dapp Casino FAQ
Decentralized applications, also referred to as dApps, are open-source applications developed on the blockchain network
Gambling dapps are online casinos offering instant payouts, anonymity, provably fair games, dividends, and much more.
No central authority or third-party controls players’ funds. Instead, all the transactions are processed through a smart contract code that runs on the decentralized application.
Yes. These casinos are licensed online casinos.