Interesting, but I'm not sure I really understand, how do we proof it's a person and not still the company itself or a bot or someone else, and why does this matter? Sorry in advance for stupid question but I read it through and still don't get how this is proof of person and why important.
Also, how is all games settled? Which mechanism, is that also on chain verifiable? You say it asks all members of the network for the result, why? What if same members also make bets?
Well, the basic principle is that all network members who has the vote rights suppose to pass a special test at the end of each epoch which prove that those people are Humans. The network is way bigger than quantity of bettors. So, to cheat the system you would need to manipulate with a huge amount of people which is almost impossible or the expenses would be way bigger than the potential profit. That's why it's called Proof-of-Personhood. The blockchain paying you coins after each of the epoch to motivate you to prove that you are a Human. The unique point of Idena that you don't need to show any ID, or any other information about yourself, the only thing which make sense in the network is to pass the validation ceremony/create flips/report others flips in case if they are against of main rules. Also, rewards are depends on your stake, the more stake you have the more rewards the blockchain paying you after each validation.