Re: If I wanted to start a Bitcoin casino... [will pay for help]
Quote from: https://en.wikipedia.org/wiki/Martingale_%28betting_system%29#An_alternative_mathematical_analysis
The conclusion is that players using Martingale strategy pose no threat to a casino. The odds are high that the player will go bust before he is able even to double his money.
Say minimum 0.01BTC max 1000BTC wallet ~1300BTC
0.01
0.02
0.04
0.08
0.16
0.32
0.64
1.28
2.56
5.12
10.24
20.48
40.96
81.92
163.84
327.68
655.36
BUST
Thats 17misses in a row, absolutely possible, however fairly unlikely.
The casino can limit the betting range, but the bot could just jump tables.
And since its a bot, even 0.01BTC per win will be fine, if it can just do 1 win per 5minutes thats 2.88BTC per day per bot/played table, they can even share money pool if the deposit system accepts a low amount of verifications, or you could have bots continuously sitting at different tables, so when the 0.01bot looses a 0.64bet, the next bot takes over at a higher stake table and the first bot starts over on a new round, that way you dont need to move the big cash around.
Ofcause this is not practical, since the risk is alot higher than the gain, a 1000BTC risk for maybe 10BTC/day, you might as well play it all on red and wall away
I wrote a computer program to run through a game of roulette over and over using the doubling method starting with a million bucks on a $5 minimum. It would go up for a while then BAM...hit a huge losing streak and lose it all.
I think of it like an opposite lottery. Take $175 million and bet on a number. If the number does not hit, then you win a dollar. If it hits, you lose it all. Sure, odds are that you will probably win that dollar, and win it many times. But there is always that chance that the number hits and you lose it all. And at the casino, the odds are in favor in the house.