Just wanted to bring up an interesting topic that some of you who were around during the early days of crypto gambling might remember, double spending exploits, especially during the dice era.
Back then, some casinos didn’t require any confirmation for deposits. As long as the transaction appeared on the blockchain (even unconfirmed), the account would get credited instantly. sounds convenient, right? But that’s where some smart gamblers took advantage and pulled off double spends, sending the same transaction elsewhere before it confirmed, basically reversing the original deposit.
I wasn’t that deep into it during those times and didn’t fully understand what was going on, but I’ve heard that this exploit caused real losses for some platforms. That’s probably why most casinos today require at least 1 confirmation before crediting your wallet.
question...
(1) Were there any casinos that actually got hit badly because of this?
(2)Is there any known case with a reported loss figure?
I do remember those days about on having those casinos having some issues about double-spending because whenever someone do make out some transfer and it do reflects out on the blockchain then the funds that being deposited will reflect out on their casino balance and then a certain person could be able to changed up the fee for it not to push through.
(1) Were there any casinos that actually got hit badly because of this?
You can check out this
https://bitcointalk.org/index.php?topic=1434187.0(2)Is there any known case with a reported loss figure?
There's no figure but for sure there are those cheaters who do able to get out and exploit it out.
Solution? They are now that putting up at least 1 confirmation because once it do made out some confirmation then there's no way that it could be reversed back.
Same goes with other industries or businesses on which they are requiring that 1 confirmation for transaction before it do get credited into their accounts.