It is random as long miners/pools don't care about the site.
If the bets become bigger than subsidy (25BTC), it gets interesting.
Miners/pools can participate on site, rig future block digit to be zero, and sweep all unsuspecting user's funds who bet on 1.
OH and by the way, I know about system how truly fair betting can be constructed, but it's a secret

Lol there is no such thing has truly fair betting. You could use random.org, but their numbers are based on results of a physical anomaly, which is not totally fair.
The best thing atm is probably fair, which has been documented many times.