John may Writer
How Mevu Will Disrupt the Gambling Industry Using Blockchain Technology - John may Writer
How Mevu Will Disrupt the Gambling Industry Using Blockchain Technology
In 2017, it was estimated that $10.1 billion in illegal wagers were made in the United States alone. This represents a 13% uptick from the year before. Globally, the online gambling industry was over $50 billion in 2017.
Taking college sports as an example, this activity comes in the form of bracket challenges, casino wagers, and more commonly common wagers between friends and collogues. The issue with this black market of gambling is that it is completely unregulated and offers no protection to gamblers. This can lead to spin-off crimes, such as money laundering, theft, and a host of other problems not found in a traditional casino.
Despite a casino’s security, most gamblers do not find casinos attractive due to the fees and processes in place. Intermediaries in gaming can be costly and inefficient. For the casual gambler living far away from a casino, there is not a safe and casual way to place a bet, especially if the activity is not a traditional game. Operating a casino is also not easy. Casinos require a heavy capital influx to get off the ground, including navigating complicated regulatory procedures. This is largely why the black market still exists.
The good news is that there are innovative startups looking to change how we bet and help remove the stigma around gambling.
MEVU, an innovative Ontario-based blockchain startup is looking to solve all of these problems with their new peer-to-peer decentralized betting platform. In essence, MEVU will give gamblers a safe and secure way of betting on anything, from who can run faster to a sporting event. Beyond that, all odds are determined by the two parties betting and then safely collected and paid out directly on the platform. For players with a more adventurous and competitive appetite, the platform can also match players that may not have a bet in place.
Wagers are facilitated by smart contracts built on the Ethereum blockchain, allowing for an immutable ledger to store all critical information and create a trustless process. MEVU’s open-source smart contract will create a secured escrow that will be publically viewable. While not completely free, each wager is subject to a small 2% fee (maximum), which is roughly 3% lower than the standard 5% fee taken by casino sportsbooks.
The key difference being, rather than betting against a faceless and often bureaucratic casino, players will be real people that help create a social element that is real and transparent. Pool bets are also available in case groups would like to wager on something.
At the core of the MEVU process is a utility token, named MVU, which will ensure bets are resolved automatically and allow players to stake their balance and become oracles to report the outcomes of events. After a consensus is made, oracles receive service fees from the bets that are resolved.
To launch and expand globally, MEVU will be running an initial token offering in mid-2018. In recent months, MEVU has gained notoriety in the gambling world and was named one of the top blockchain startups to watch in 2018.
One thing is for sure, there is a huge global market that could benefit from a safe betting platform. If even a percentage of the crime that comes from illegal gaming is eliminated, the impact of MEVU could be significant around the world.