Changelly Interview with FunFair: Blockchain Gambling Evolution
The gambling industry has always been the one that needs the highest security level. Otherwise, it would become absolutely distrustful, thus losing all gamblers. Because if a gambler fails the game while playing online casino, he/she needs to remain confident that this loss was due to reasons which are beyond people’s control. Eventually, the way to avoid third parties interference in the igaming process was found, and its name was Blockchain. The decentralized nature of this unique technology allows establishing the game process in such a way that neither the casino nor the player can interfere in it.
So, how do crypto technologies bring online gambling to the next evolution step? Eric Benz decided to look into the matter personally and invited Stefan Kovach, CCO at FunFair casino as a new guest at “Crypto Talks on Changelly.”
Needless to say, the casino internal token FUN is now listed on Changelly. Hence, it is now convertible for 150+ altcoins and tokens and can be purchased for USD/EUR/GBD directly in Changelly service.
Eric: The FunFair website says that apps built on your platform exclude any chance of fraud, censorship, or third-party interference, which is quite a critical aspect, especially for the igaming industry. What mechanics help you to achieve a high-security level?
Stefan: Our entire gaming ecosystem has been built on the premise of fairness and transparency, and this is integrated into every layer of our proprietary protocol and platform.
The igaming industry has a long-held issue of lack of trust, with casino operators being known to pay out late, alter random number generators and change game rules and payouts as they wish. We’ve put the power back in the players’ hands with smart contract-based games and our unique Fate Channel technology.
Fate Channels, our live version of state channel scaling technology, guarantees random numbers are generated by both the player and the house at the start of a game session. These are then hashed together ensuring neither party can tamper with the other or the whole, giving the peace of mind that all future game events will be fair, rather than having to check back afterward.
Our games also feature Dispute Resolution, a tool hosted on the blockchain and not by any individual party, which detects for bad actor behavior, such as signs of cheating or deliberate timeouts, for example. It then punishes the party in the wrong, whether it be player or house, and pays out the right party correctly and immediately.
Eric: Are you planning to move FUN token from ERC-20 to mainnet? Does Ethereum Blockchain meet all your needs?
Stefan: FUN has been live as a utility token on Mainnet since mid-2018 and has proven its worth as a functional gambling chip alongside our gaming protocol. At the founding, Ethereum was the obvious choice of blockchain to use with its fairness, decentralization and security measures far and beyond what was available at the time.
It has had scaling issues, but we’ve bypassed this issue with our Fate Channel tech which takes game sessions off-chain, to be played in real-time, cutting gas costs and vastly improving the gaming experience. We’re also encouraged by Ethereum’s strong liquidity and its copious development work and community across a number of industries and functions.
With further improvements to scale the Ethereum network to come, we’re confident in its future success as the best blockchain to use for our gaming platform.
Eric: Can you explain in simple terms the process of creating a FunFair-powered casino?
Stefan: It’s very simple, particularly for white label casino partners. We partner with those who have access to significant potential player bases or that have inherent marketing expertise, ideally in the crypto or blockchain space. After this, all our partners need to do is decide on their branding, provide us with assets, choose how they want to manage affiliate programs and the like, and then we do the product heavy lifting and casino build our end.
We manage the entire running of the casino, with design input from partners, and their job is to send players to it and earn their well-earnt revenue share from our growing portfolio of quality blockchain casino games.
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Eric: Tell us more about your affiliate program? What benefits does it include? Are there any special conditions that have to be followed to become an affiliate of FunFair casino?
Stefan: Our affiliate technology will revolutionize what’s expected by affiliate partners with numerous new benefits that solve many of the issues in the current industry. By using the blockchain, we can offer transparent, real-time payments to anyone that refers players to one of our casinos.
Partners will receive lifetime commission for each player referred, with players tagged on the blockchain; earn guaranteed revenue, with commission on every bet whether players win or lose; and avoid hidden fees with a flat payment rate and no deductions.
Currently, casino affiliates have to hope players they refer lose so they get paid and we don’t think this is fair considering the effort to send them the casino’s way. Likewise, payments are usually monthly, but we can offer instant payments which can all be inspected on the blockchain.
So, with just a quick, easy process of signing terms and conditions, individuals, affiliate partners and pretty much anyone else, can start earning immediately from the significant audience of blockchain casino players.
Eric: In most cases, crypto entrepreneurs are not much satisfied with the government’s one-sided policy when building a regulatory framework of the crypto industry. What’s your attitude towards blockchain industry regulations, and igaming regulations in particular?
Stefan: Blockchain gambling is a heavily regulated space as you suggested, crossing into both igaming and blockchain legislation but we’re seeing signs of progress that we’re confident will drive strong, mainstream adoption sooner rather than later.
From our personal experience, we’ve generally seen regulators in igaming take a more ‘wait-and-see’ approach, hoping for others to take the first step. This has led to a lack of clarity in certain areas and meant that many blockchain casinos operate in grey areas. Instead, we have been actively engaging with regulatory bodies, running towards any legislation that will bring transparency and assist our growth.
The market is there and the turnover of blockchain gaming is vast globally. As this continues, we’re sure sensible regulation will become a priority and that companies in the space will have a clear avenue to work responsibly, protecting players and building trust in the process.
Eric: Can you share some insights about your projects further development?
Stefan: The second half of 2019 is set to be a busy one for FunFair. We’ve got a strong roadmap of new game titles to launch, many of which are first-of-their-kind and others which bridge across to more traditional gaming environments. We will launch our new wallet, built specifically for use by FunFair-powered casino players, which will be pivotal in driving adoption through a seamless onboarding process.
New white labels are set to come onboard, and we’ll announce further details as and when we’re able to. We have a new website interface which will be mobile optimized in the offing and various other tweaks to ensure we continue to provide the best, fairest casino experiences on the market.
Our first fully external white label is now also live as of June in CryptoCasino. This is a major landmark for us, and we’ll be working hard bringing this to our existing community and new gaming audiences.
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