When it comes to DAO (Decentralized Autonomous Organization) there’s seems to be a misunderstanding especially when it comes to its involvement in the online gambling industry.
The past few years the online casino sector has been disrupted by blockchain technology, as a result it opened up new streams of iGaming investment opportunities. Bitcoin not only revolutionized the industry but it created a transparent environment that players trust.
What is a Decentralized Autonomous Organization (DAO)?
What exactly is a DAO? A decentralized Autonomous Organization is operated through rules encoded into a computer called ‘Smart Contracts’. The blockchain keeps track of the program rules and the DAO financial transactions.
In June 2016 a DAO started by Venture Fund raised $150 million, the company’s account was hacked and $50 million in bitcoins were stolen. Due to a bug in the system it gave the industry a bad name and the price of Bitcoin dropped. Despite this little mishap the software of the DAO varies; it’s sustainable in the long run and no third party is involved.
To ensure that it’s not exploited in future, the Ethereum community decided to do a hard fork. Based on cryptocurrency principles there are numerous ways of setting up a DAO where the various stake holders can all be participants.
Are DAO’s Getting Unnecessary Negative Press?
To a degree yes, any new technology that is innovative and based on evolutionary experiments will always cop a fair amount of bad press and Bitcoin’s blockchain technology is no different. Bitcoin has been set up to run as a self-governing body that gives the community back the power without any form of government intervention.
With no delegates making decisions, it’s sole purpose is absolute autonomy, however, to a degree human involvement is still required. The interesting bit is that the creator of the DAO concept is Ethereum and experts are of the opinion that it’s setting the ‘Gold Standard’ for crypto-assets.
Did DAO Usher In a New Era of Online Casino Gaming?
Certain DAO ICO’s are busy creating a coin that can be used as a Token which gives the investor benefits and rights. Although it’s more akin to that of a Token launch, DAOCasino provides incentives to auditors and game developers to actively participate in the Bitcoin ecosystem.
How does the DAOCasino fit into all of this? To begin with it aims to build a gaming backbone that will enable developers to design and promote their games, more like an App Store. The Ethereum core development team is also working on ‘SWARM’-a decentralized file sharing and storage solution. In turn this will lead to a more reliable and stronger DAO.
DAO Gaming Community
To ensure fair play and trust, the future is autonomous gaming markets that’s not owned by large online betting companies and casinos.
The DAOCasino is setting up a community that’s made up of community members, referrers, auditors which will guarantee a trusted and transparent market place. As such it defines the parameters of the community, how the code will be checked which will give the DAO absolute autonomy.
Online Gambling’s Future Will Look Like a DAO
“The DAO is not bound by terms of law and jurisdiction. It is bound by code”. Stephan Tual, Slock.it
Initially the concept of the DAO has not been received well by the community. Reason being the temptation is always there to make a prodigious sum of cash from folk not familiar with how the system works.
Upon closer inspection the DAO is a Decentralized Anonymous Organization, a new human organization if you will which created a constitution that’s devoid of legal, governmental and management hierarchy.
In summary. Those in the know believe that the DAOCasino is going to usher in a new era in online gambling. It will spoil players for choice starting with slot machines, lottery, card games, betting terminals, table games and sports betting that’s trusted and vetted by the DAOCasino community. If it’s to succeed it must be trusted by the players and one that won’t fail them.