Post
Topic
Board Service Announcements (Altcoins)
Re: Just-Dice.com : Invest in 1% House Edge Dice Game
by
GeoRW
on 14/01/2014, 05:23:10 UTC
Thanks for explaining maqifrnswa!

You haven't answered my question, you keep explaining that 1% Kelly is better than 0.5% Kelly. Let me rephrase it: Suppose my investment setting is 0.5% Kelly, and yours is 1% Kelly, and we have invested the equal amount of BTC. The bettor bets 1BTC and looses. Does that mean that you get 2X the profit from that bet than I get? Or are you proposing something much more complicated? Once again - please give us one good example, it's far from obvious what exactly is your idea.

For a house advantage of 1% it would mean that 0.5% of your complete investment is taken and 1% of my full investment is taken and added to the max profit value. Thats the maximum a gambler can play for then. In case he plays for full profit as target and he wins i lose 1% of my investment and you 0.5%. If he loses we win proportionally to the risk played. It all boils down to the amount of bitcoins put into the jar that contains the winable amount of bitcoins.

This would be disadvantageous for current investors who want to stay at 0.5% Kelly. For the same amount of variance (or slightly higher) they would get less profit. Max profit is hit very rarely these days and only there you would experience full Kelly variance. Moreover, daytrading at these high-variance days has hit investors who did not divest greatly, which is not good for Dooglus and the site.