What Is Provably Fair Technology?
“Provably fair” is a term that refers to a blockchain-based algorithm, which helps players verify the fairness of a game. Because blockchain networks are open-source, and everyone can view the code behind them, the process of randomization can be virtually tracked by anybody. Thus, untrustworthy gaming providers are no longer able to manipulate the results of online slot machines and other casino games.
Provably fair games are mostly offered by bitcoin casinos, but you can find some of them at regular casinos as well. With the rising popularity of cryptocurrencies, we see more innovative technologies, especially in the iGaming sector. Let us explain how provably fair technology works and how it generates the game outcome.
How it works?
Result is generated from 4 idependent participants of the fround. When the round starts, game merges server seed with the 3 client seeds and a merged hash is generated. From this hash the game outcome is derived.
Image credit: Aviator game
Provably Fair Casinos vs. Regular Casinos
As you have probably fathomed by our article so far, provably fair casinos have plenty of advantages compared to their regular counterparts. Let us see how the two types of operators measure up against one another.
Provably Fair Casinos
- Allow you to verify the fairness of the games yourself under the provably fair algorithm.
- The blockchain, being a public ledger, eliminates the need for third-party companies to provide independent audits, thus reducing the costs for casinos and providers alike.
- The open-source nature of the blockchain network solves a lot of licensing issues, thus making regulation hassle-free and effortless.
- Rely on RNGs to determine the games’ outcomes.
- Do not allow you to track the results’ authenticity.
- Rely on third-party, independent authorities to certify the RNGs for fair play, thus making the process costly and complicated.
Provably Fair Algorithm Mechanics Explained
The provably fair algorithm is quite complex, but we will do our best to explain in simple terms how it works. The goal is to have as many players as possible understand the process and its nature and make use of its numerous advantages.
We should start by saying that the provably fair algorithm generates an encrypted, unique key (the hashed serverseed), which contains the outcome of a game before you have even started playing it. It is sent to you along with another key (the clientseed provided by your browser or downloadable gaming app) that allows you to verify the fairness of the outcome once you have finished.
The most important thing you need to know about these two keys is that – being stored on the blockchain – they cannot be altered or manipulated in any way. Once you are done playing, you will get the unencrypted (unhashed) version of the clientseed, which you can then use to confirm the randomness of your outcomes. The algorithm will calculate the end result again, each time a game is played anew.
For more clarity, here is a short explanation of the three variables:
- Serverseed: The encrypted key provided by the casino itself. This key is immutable thanks to blockchain technology. You cannot view the information it contains because that would mean you would get to know the outcome of the game beforehand.
- Clientseed: The unique key provided by the browser you’re playing on. This variable is customizable. Essentially, this means you can take action to change the result of the game without knowing the actual outcome beforehand. Such actions could be, for instance, reshuffling a deck of cards or accepting a bonus game when playing a slot machine. This means that the clientseed is unique. In other words, no one, not even the online casino is allowed to know the result.
- Nonce: the variable which allows you to keep track of your hands. It starts with 0 and increases by 1 with each consecutive hand you play. The provably fair algorithm uses the seeds and the nonce to randomize any actions pertaining to the game. These may be spins of reels, dice rolls, coin tosses, and so on.
Complete Guide to Verifying Your Results
To begin with, let us once again remind you that before you start your play, you only get the unhashed serverseed. Otherwise, you would know the results in advance, which would give you an unfair advantage.
Here is a quick guide on how to check your results:
Image Credit: Spribe
You will receive the hashed serverseed once you are done playing, and you will be able to use it to disclose the information contained in the unhashed serverseed. To establish the fairness of the outcome, you have to take the following two steps:
Step 1: Make sure the hashed serverseed the online casino has sent you is genuine. In other words, it should be the actual hash of the unhashed serverseed you received before you started your play. Verifying the authenticity of the hash may be hard to do by yourself, but – thankfully – there are a few online tools you can use to this end.
Step 2: Once you have ensured you have received the right hash, you can proceed to check the game’s fairness. One way to do that would be to generate the results manually and compare them to the ones you made during the actual play. However, that would be quite time-consuming. Instead, you can automate this process by using an online tool. For example: https://www.miniwebtool.com/sha512-hash-generator/
The Future of Provably Fair Technology in the Casino Industry
It will not be exaggerated to say that provably fair technology is possibly one of the best things that have happened to the online casino industry. The algorithm creates more transparency when it comes to the games and increases the levels of trust and security at online casinos in general. Also, the open-source nature of blockchain technology allows shattering the monopoly of third-part testing agencies, which can save software companies and online casinos loads of money that can be invested in improving the overall quality of the products and services instead.