The reason we are so excited about Etheroll and Ethereum based online gambling and casinos in general?
We solve the majority of the problems brought up in articles such as this (emphasis added):
…The infographic mention another important point: transparency. Since all transactions are visible in the blockchain for verification, Bitcoin offers greater financial transparency. This is true to a degree, but it doesn’t mean that Bitcoin gambling is always “provably fair” (as the infographic claims). For example, random number generators used by a Bitcoin casino might be skewed. This problem can be solved by using open random number sequences provided by trusted third parties.
Of course, the disturbing prospect is that the operator might just take the money and run, anytime. I started several discussions related to Bitcoin gambling and betting on bitcointalk, and this point was frequently mentioned. It appears that security-conscious, scam-wary, avid gamblers will only trust fully transparent systems that live on the blockchain itself, where all transactions are person-to-person (P2P) and the operator is never able to access the money.
How do we do it?
Our Ethereum blockchain based gambling Dapp (decentralized app), Etheroll.com uses no 3rd party in creating the random numbers it generates for players. The random number is in its entirety created on the blockchain, salted with user input, and a few other fancy tricks, which is all viewable as open-source code.
There is no 3rd party to trust. There is not even a 2nd party to trust.
We don’t have user registration, which means we don’t take deposits, which means there are no player funds at risk from being exploited either by external or even internal misfits and/or hackers (it has been known to happen before!).
This on top of an open-source, relatively easy to understand code base that anyone could decipher (after a reasonable amount of research), to prove beyond any doubt that Etheroll.com is a provably fair game.
This is the beauty of casinos and online gambling in general on the Ethereum blockchain. These are just some of the advantages of Ethereum casinos like Etheroll.com over Bitcoin casinos. I am sure we will discover more soon.