Craig Wright: Previous Work with Gambling Industry Overlaps with Concept of Bitcoin

Craig Wright: Previous Work with Gambling Industry Overlaps with Concept of Bitcoin

Bitcoin News
June 14, 2021 by Editor's Desk
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Craig Wright: Previous Work with Gambling Industry Overlaps with Concept of Bitcoin

During the second episode of new CoinGeek series Hashing it out with Becky Liggero that focuses discussions on online gambling on blockchain, nChain Chief Scientist Dr. Craig Wright explains how his past work experience with the gambling industry influenced the way he created Bitcoin. Dr. Wright has deep ties with the gambling industry. He has previously worked with Lasseters, Playboy Gaming, MGM and Bodog. As an auditor with BDO, one of his clients is Centrebet, the first bookmaker to be licensed in Australia and also the first one to establish an online betting website in the southern hemisphere; and he admitted that “part of what I was doing with BDO overlaps with the concept of Bitcoin.”

With Bitcoin SV (BSV) being the rebirth of the original Bitcoin that is committed to realizing Dr. Wright’s vision, it is now the perfect technology for online gambling. Online casino developers and operators can take advantage of the power of the BSV blockchain. With the original Bitcoin protocol being restored and the network unlocking its capacity for unlimited scaling, coupled with a public blockchain that provides a traceable and immutable history of all transactions, common problems like cheating and double spending can be avoided.

“Bitcoin is the first digital currency with tracing. With the ability to have a ledger that allows people to find out where the money came from. That’s the real distinction that no one’s talking about. It is the first traceable electronic money system… What you can do is incorporate information both on and off chain, but link data in a provable manner. So you can have fully auditable records that will satisfy all of the operator requirements, the player requirements, everything. And that’s an important aspect,” Dr. Wright said.

Furthermore, what an infinitely scalable blockchain like BSV means is that it continuously upgrades its data blocks to be able to handle bigger data. This translates to being able to record more transactions in a single block and having the capacity to process more transactions per second (tps), which then allows for each transaction to be priced at the lowest possible rate. Recently, the BSV test network broke records by completing more than 9,000 tps, while the current average cost per transaction is at 0.0032 USD. And this will even be greatly lowered as the network continues to scale and makes possible nanotransactions.

“Think of how many times people pull a lever a second in somewhere like Caesars. Now extend that out to a global system where there could be people doing virtual slot machines globally for a tenth of a cent slots. How are you going to actually do this in a way that can be managed and secure if you’re getting a million potential transactions a second,” Dr. Wright asked.

And the answer should be obvious. It does not take a genius to know that blockchains like what BTC and ETH have would not be able to sustain an online casino, what with their unscalable networks, small data blocks and limited transactions per second that amount to high transaction fees. What’s more, the fact that BTC and other digital currencies openly promote being anonymous only goes to show how they condone suspicious activities like money laundering and underaged gambling. BSV is the opposite.

“Bitcoin is pseudonymous. The section on privacy in the whitepaper, if you look it says that identity is firewalled. That doesn’t mean that its removed…. So what we can do with identity is create pseudonymous linkages so that people on the public blockchain don’t see who you are, but you can prove your identity and AML and full ‘know your customer’ requirements can all be satisfied every time you use any payment, instantly,” Dr. Wright explained.