Ethereum is a new and innovative computing platform designed to build off of the groundbreaking changes in cryptocurrency and decentralization that was brought about by the success of Bitcoin. Bitcoin aimed to deliver its users with the ability to hold and exchange value in an anonymous and decentralized manner, free from large banking and financial institutions. This allows users to connect directly, or peer to peer, and exchange value for a multitude of reasons without fear of being charged by what are essentially middlemen or being spied upon by big brother. Ethereum has adopted many of these aspects of Bitcoin, as well as expanded on other areas, which will be discussed later. As Ethereum continues to grow, more and more online gambling websites are accepting Ether (Ethereum’s cryptocurrency).
What is important and innovative about Ethereum is its focus upon blockchain technology. Blockchain technology, pioneered by Bitcoin founder Satoshi Nakamoto, allows for a distributed database of information that all users can access, essentially creating a decentralized consensus among users. This system of tracking transactions creates more openness as all people are able to access a public ledger to ensure that no foul play is occurring. The security and openness ensured by blockchain technology is a major influence on why cryptocurrencies are becoming increasingly popular around the world.
Ethereum builds upon Bitcoin’s original innovations by adding new capabilities to blockchain technology absent in Bitcoin. With Ethereum, users are able to implement programs upon the Ethereum blockchain, opening more possibilities to developers and normal users alike. Essentially, code is kept within the blockchain, rather than having to take up space on a server somewhere. The world of online gambling has keyed in on the possibilities and websites are beginning to run their programs on the Ethereum blockchain.
The world of cryptocurrencies is relatively new and very innovative, and thus can be complex and difficult to explain. The intricacies of the industry are not fully explained in this article. However, Ethereum was explained relatively simply by the New York Times as “a single shared computer that is run by the network of users and on which resources are parceled out and paid for by Ether.”
Much like with other cryptocurrencies, Ether allows users to gamble online from the comfort of their home. This introduction of online gambling has fundamentally changed the nature of gambling and casinos, as people are no longer required to travel to their local or most favorite casino in order to play their favorite games and win money.
Currently, only a couple websites use Ethereum for online gambling purposes or ETH sports betting. This is understandable, as Etheruem is a very new platform. However, those that have invested in the Ethereum platform are certain that it is poised to grow very large due to their added features to blockchain technology. Specifically, blockchain technology’s decentralized and open nature allows for gambling through such technology to be “provably fair”. In other words, the database contained in the blockchain will show that games provided are in fact fair and not slated towards the house.
Currently, Ethereum can be used to play a handful of games through a handful of websites. Among these websites are crypto-games.net and vDice.io. Crypto-games.net allows for Ether to be used for dice games as well as slots whereas vDice.io is specifically focused on dice games. In addition to slots and dice games, Ether can be used for lotteries, blackjack, sportbooks, and even rock, paper, scissors, through a handful of other websites. There have been reports of some games being scams that can take advantage of unsuspecting users. However, the nature of blockchain technology creates a community which can quickly identify such scams and notify other users quickly to avoid them at all cost.
vDice, which has only recently been developed, is among the groups of people that believe Ethereum can have massive impacts on the online gambling world. vDIce believes that they are creating a platform which allows more developers to start their own gambling blockchains through vDice. Essentially, vDice believes that individuals can be making their own games as easy as they can make YouTube videos or music. This vision introduces a high level of personal creativity into the realm of online gambling.
Since Ethereum allows users to gamble from anywhere in the world, they must also make it possible for users to cash out and access their winnings from anywhere in the world. Ethereum, much like other cryptocurrencies, enables extremely quick and hassle free payouts, as the transaction is done digitally and virtually immediately.
Ethereum is a program that is pushing the limits of how we understand transactions and contracts. With its use of blockchain technology, it creates a distributed database encompassing all actions made in the Ethereum system. This is extremely transparent and does not allow for any censorship. Because of this, it is incredibly secure platform to make peer to peer transactions without risk of middleman charges or fears of risking their right to privacy. The ability to implement code and programs on top of the Ethereum blockchain is innovative and continues to push the growth of cryptocurrencies overall. Ethereum is so innovative that it has garnered the interest of financial institutions as well as huge multinational corporations like Samsung, Deloitte, and IBM. In the near future, large institutions can be adopting distributed database systems due to the success of pioneering organizations like Ethereum. All in all, Ethereum is pushing the world towards a less centralized, more distributed consensus. This, in turn, will create more transparency and create a desire in those for more facets of society to adopt more honest and open practices.
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