Problem statement

There are significant challenges, especially in the offline market, that drive the need to develop solutions that mimic the game in an online environment. During the period from 2010 to 2020, multiple sports platform rose to provide online substitution to traditional betting vendors. While the sports momentum successfully solved problems such as 24/7 availability, and location dependency, in return, it was associated with different set of problems such as security of user's data, lack of transparency, and possibility of exploitation through internal algorithms that control the game.

Problems in offline betting

  1. 1.
    No 24/7 availability
  2. 2.
    Location dependent
  3. 3.
    High fees
  4. 4.
    The limited scope of betting
  5. 5.
    Risk of violence escalation

Problems in online betting

Lack of transparency

Traditional sports betting platforms don't share their algorithms controlling the game and the prize pools. Hence, there will always be room for internal betting and a high probability of bias.

Limits and Caps

Traditional sports betting platforms only allow limited margins and sizes of bets for each user, only limited amounts of fixtures per day, and with a cap to the bet sizes.

High fees

Sports betting is a profit-based business model. The platforms design the game to be able to produce profits at any point of communication with users. There are fees for betting, and fees for withdrawal of prizes, and other hidden fees that pop up across the user experience.

Regional markets

Due to regulations, centralized, traditional sports betting usually serve limited regional markets. Which leaves users disappointed with no ability to participate in betting for their favorite teams and athletes. Copyrights can alter certain competitions from being available to bet on.

Centralized

Centralization affects the sports betting experience at each level of the game. Increased fees, lower betting margins for players, absence of transparency, and lower chances for players to win big.

Permissioned & Censorship

Centralized traditional sports betting platforms hold the right to ban players permanently with no ability to dispute and return to the game again. Bans can also extend to payouts freeze.

Betting scams and fraud

Betting platforms are target to organized scams and fraud. Scammers can steal users data due to lack of security and send phishing emails that steal users funds.