The limits are dynamically adjusted based on house funds, so at the time the limit was 50 but now it is 5
I think this is dangerous for the house, because the limit dynamically reduces immediately after any large payout.
Therefore, most of the largest bets are going to be ones that the house loses.
The tradeoff ribuck is that there is supposed to be guaranteed funds to payout any win, granted there have been problems with unconfirmed funds being used to payout wins, but they come through eventually.
If there was no dynamic limit and two big payoffs hit in close proximity then SatoshiDICE may be put in the position of having to say "Umm... we will have your money tomorrow" which would kill it's rep.
Oh I'm not advocating that they should accept bets that they may not be able to pay off. Just that if they were better capitalized, they could set a limit that is conservative (will probably never need to be dynamically reduced) yet high enough to engage the big players.
Unless I'm missing something in the maths of the dynamic limit, it's going to harm the business if the way it works isn't changed.