CoinDirect Looks to Decentralize Online Gambling Industry
CoinDirect.io, an open source platform disintermediating the gambling industry, will use the blockchain technologies of Bitcoin, Ethereum, and Bitshares to offer transparent and decentralized solution for a heavily regulated market.
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CoinDirect aims to help existing casino networks save millions, as their solution offers complete transparency, reducing compliance costs and the need for regular auditing. Other main advantages of the platform include instant transactions, direct money transfers from player to player, no risk of frozen funds by the casino and very low gambling fees.
Taking an example of Texas Hold ‘em Poker, CoinDirect illustrates how the efficiency of their platform compared to traditional gambling. First of all, there is no need for deposits for any of the players, as long as they have some bitcoins in their wallet. Thanks to the blockchain network, player balances are visible for all to see and cannot be altered. Bets are monitored on the open source platform to ensure that players can bet with funds they have. After the game has ended, the player with the winning hand will receive bitcoin from other players and once nodes in the network confirm a successful transaction, a new game can begin.
A problem with fiat currencies is that they are sluggish compared to cryptocurrencies. While it takes mere minutes to send cryptocurrency half way across the world, the same cannot be said for currencies like the US Dollar or the euro.
Nico Ami Lee, the co-founder of the CoinDirect.io, explains the potential of the upcoming project:
With such application platform customers can conveniently develop, run, and manage blockchain layer applications without the complexity of building and maintaining the infrastructure typically associated with developing or launching an app. The code execution platform enables developers to build and deploy a decentralized, automatic management of funds into almost any casino application without incurring any startup costs. Therefore we create a truly transparent and decentralized solution to heavily regulated and relatively conservative market.
The project is currently raising money through an ICO, which will end on August 31 and the company will issue 6,500 tokens on the Bitcoin network, with each token priced at $100. Investors who purchase the CoinDirect tokens will have the opportunity to realized returns, and are compensated for supporting the development of the platform with dividends and the right to vote on the CoinDirect platform when it goes live in early 2018.
The crowdfund campaign will help develop the platform and interested readers can get an overview of CoinDirect once the beta platform is live, which is anticipated October 15, 2017.
Coindirect is an interesting opportunity for investors as they claim that there is a great chance to secure a stable monthly income when the platform goes public with profit sharing of the platform’s fee payments. Here’s how the profit sharing works; every bitcoin transaction between players include a 0.5 percent fee that will automatically transferred to the Coindirect account. These bitcoins will be divided into two parts (65 percent and 35 percent), with 60 percent used for further development, maintenance and marketing, 5 percent used as management fees, and 35 percent shared every month between all shareholders.
By building on the advantages that Bitcoin has brought to the gambling industry, CoinDirect aims to decentralize gambling and make the process more efficient. With their open source platform, investors can generate passive income by holding CoinDirect tokens; in return for contributing funds to the platform’s development, token holders will have rights to dividends and voting.
