3. Invite-Only
As everything runs on a decentralized network, once invited it is not possible for us to freeze assets from users. So we have to take some measures to not let bad actors in in the first place. With Fairlay, some bad actors used to have several accounts and it was very hard to ban them. With Bitcoin Betting everyone can easily see who was when invited by whom.
A real decentralized system is that we do not have to login with a username and password and connect our wallets to the site and gamble / make a bet. Also by using the invite only access, how is it possible that you do not freeze accounts ? Lets suppose a good person have a account on your site and he invites his friend who is not a good actor, and he misuse or violate any terms and conditions (or make multiple accounts), so you will not ban his account ?