Hello BEToooors 👋🏽
As part of our ongoing education explaining the benefits of decentralized betting, today we will be priming you on how our Bankroll works 💸
What is a Bankroll?
As most of you know, for a Betting Platform to function properly there needs to be an entity to bet against. This entity is in most cases The House. The House uses a Bankroll to fund Bets — in essence, it is a pool of money that funds payouts to players (shrinking the pool) and accumulates winnings for the House (growing the pool).
Given what everyone knows about the profitability of casinos, it should be obvious why you would want to have access to the Bankroll. After all, the house always wins in the long run, right?
This is just one of the many ways ChainBet is changing the game: ChainBet will have an Open Bankroll. This allows anyone to deposit funds into the pool and get a share of the House profits! Furthermore, any protocol will be able to have a Bankroll pool for their specific token. Thanks to the composability of DeFi assets, these pools will offer a nice base yield to token holders on-top of their exposure to the Protocol.
But Isn’t There a Risk In Exposure to the House?
Like anything in life, betting always carries some inherent risk. However, the combination of the base yield, the house edge, and the profits from other ChainBet products will significantly offset any risk in favor of Bankroll Providers. ChainBet bankroll has safety measures built-in to ensure that the house cannot end up insolvent.
Base Yield? What Is That?
Thanks to the power of DeFi, idle assets which are available to the House can be utilized productively to earn a base yield. This base yield is achieved by running Pool strategies as soon as users deposit into a Pool.
The best examples of base yield can be found at the DeFi Powerhouse Aave. There are numerous potential strategies that can be run with composable assets, ranging from simple lending on a Money-Market, to providing 3CRV on Curve — the sky really is the limit.
What Other Products Will Be Available?
Betting against the House is only just the beginning, we have so much more in the pipeline 🤑. We will start with the classic Player vs. House games such as Dice Games and Roulette. We are working hard behind the scenes to extend these offerings much further and develop Player vs. Player games (such as jackpot & coinflip) and of course Matchbetting (betting on e-sports, football, political events, you name it!)
As you can hopefully understand now, a betting platform operating with an open bankroll is truly a game-changer for everyone. If you’re a person who loves the thrill of gambling, why stop there? Why not profit when The House wins too? At ChainBet we deeply believe in the ethos of decentralized ownership, and we want to be the first Betting Platform to offer these benefits to its community by sharing in the profits. An open bankroll is a key to realizing this vision, and just one of the many innovations and products we have in store.
Stay tuned for more 👀
