I agree that crypto is not the most user-friendly option, but more traditional options would almost certainly increase the regulatory and administrative burden on arbiters.
On the regulatory side: the use of crypto allows arbiters to never have full custody over funds. The law obviously hasn’t caught up with crypto yet, but we don’t think anyone will argue arbiters passively appointed by bettors are hosting games of chance. If arbiters actually agree beforehand to receive funds from both parties, and they even have the option to run away with the funds, we expect regulators to give them a lot more scrutiny (and rightfully so).
On the administrative side: arbiters have no risk of assets being frozen because their payment processor mistakes them for an online casino, there’s no risk of arbiters’ personal finances and stakes commingling, etc.
We tried to keep the crypto aspect as simple as possible. We use a stablecoin (1 xDAI = 1 USD) that can also be used for the (negligible) transaction fees, and there is no need to set up allowances or other weird stuff. Still, we won’t deny it’s a hurdle.
I agree that crypto is not the most user-friendly option, but more traditional options would almost certainly increase the regulatory and administrative burden on arbiters.
On the regulatory side: the use of crypto allows arbiters to never have full custody over funds. The law obviously hasn’t caught up with crypto yet, but we don’t think anyone will argue arbiters passively appointed by bettors are hosting games of chance. If arbiters actually agree beforehand to receive funds from both parties, and they even have the option to run away with the funds, we expect regulators to give them a lot more scrutiny (and rightfully so).
On the administrative side: arbiters have no risk of assets being frozen because their payment processor mistakes them for an online casino, there’s no risk of arbiters’ personal finances and stakes commingling, etc.
We tried to keep the crypto aspect as simple as possible. We use a stablecoin (1 xDAI = 1 USD) that can also be used for the (negligible) transaction fees, and there is no need to set up allowances or other weird stuff. Still, we won’t deny it’s a hurdle.