Cryptocurrency and blockchain technology is already having a significant impact on industries and sectors across the commercial spectrum. Online gambling is no different, with plenty of companies already engaged in developing blockchain technologies and applications with a view to changing the online gambling market. One of the most notable early movers is FunFair, a company which claims to have revolutionised online casinos – or at least, to be in the process of doing so.
The concept is an intriguing one: FunFair offers anyone globally the opportunity to pop up a new casino in a matter of seconds, built on blockchain technology to ensure fairness, simpler transactions and secure, token-powered gaming. As part of their development, FunFair are making tokens available to early adopters, and an ICO back in 2017 got off to a strong start.
So what is FunFair and how does it all work? And perhaps more pressingly for the casino industry, is FunFair a likely contender to take over the online gambling niche?
Unlike conventional online casinos, FunFair is essentially a blockchain casino platform, allowing for an entire blockchain ecosystem of gambling companies to work seamlessly to create content, accept deposits and payout winnings and commissions. The model has been developed on the Ethereum blockchain, and deploys complete transparent code in creating a casino product that is fair and secure, as well as having all of the benefits of decentralisation.
It differs from current cryptocurrency casinos, in that it offers a rich gaming experience, similar to what you’d find at any online casino today. The graphics are impressive, the user experience is impressive, and the technological side is all powered by blockchain – the same technology responsible for cryptocurrencies like bitcoin and ether.
The platform blocks any external hacks or fraud, thanks to the security and immutability of the blockchain. There can be no third-party interference, and games take place in almost real time, with negligible network costs, thanks to the efficient scaling model of the development. Furthermore, whether you’re an established casino operator, a new operator, or a private individual hoping to setup a casino, the FunFair platform infrastructure makes this possible in a way that is cheaper and quicker than ever before.
Effectively, it’s a fast, secure, cheap way to start or run an online casino, with all of the advantages of the blockchain, versus a traditional online solution, and it has quickly become a hotly discussed topic in the online gambling world.
A crucial part of the puzzle is FUN tokens, the currency that powers the network. Players will bet using these tokens, as well as receiving their winnings in these tokens, which are then converted into real money, or retained in FUN tokens for onward play. This allows for transactions to be recorded in the blockchain ledger, so there is a record of every single token paid out from origin.
The tokens were also offered to early investors, in the form of the FunFair ICO. Over 17 million tokens were created during the ICO, which raised a total of $26 million, according to the FunFair website. The funding round is now closed, and these tokens can now only be purchased for their market value through the FunFair system, or from these early investors.
Those that invested in FUN tokens now hope that their future value will be more than that which they paid for the tokens, with players flocking to FunFair-powered casinos in order to carry out the bulk of their gambling. If the platform does catch on and becomes the next big thing in online gambling, it’s not too difficult to see where the majority of these investment gains could come.
There’s no doubt FunFair is impressive, and when you consider some of the other exciting blockchain projects going on in other markets, it’s very possible that FunFair will prove to be the breakout name in the casino space. They have a platform that looks good, and in demo mode, the games are particularly slick for a blockchain casino. It’s almost indistinguishable from the online experience, and the company are quick to stress they are still in development – the best is yet to come.
There are still some question marks of course, and FunFair still has a lot to prove if it is to go on to become a major player in the way it hopes. But there is no doubt that for both players and casino operators, the model could prove effective, leveraging the benefits of the ethereum blockchain to create a truly innovative alternative to the online casinos we know today.