On first speaking to Maks Nikolaenko, COO at DAOWallet, understanding the purpose of their new wallet solution was simple: to clear away the complicated nature of existing cryptocurrency transactions, with a more up-to-date and user-friendly interface.
He first stated that cryptocurrency is the only solution to cutting friction and delivering better transaction speeds to users. Players no longer need bank accounts which can be prone to slow payouts and holiday shutdowns.
However, the complexity of converting cryptocurrencies or purchasing them for fiat has, for too long, been impeding the adoption of blockchain, and, in particular, gambling dapps. In fact, Nikolaenko went as far as saying:
“The main problem with crypto in the iGaming space is that it has been difficult to transfer funds, and at some point, you’ll want to throw your computer out the window.”
Usability and seamless integration
On first viewing of the DAOWallet interface, it’s apparent that usability by both wallet partners and end users is the priority. Focusing on the casino partner side, the design is simple and clean, allowing you to scour information and process transactions quickly and accurately. This will be music to the ears of crypto casino managers who have been dealing with painful workarounds with wallets not built for business purposes.
The DAOWallet makes life easy for the casino operator too. Requiring just a couple of lines of code to integrate the wallet, setup is pain free and can be done in a variety of coding languages, including Python, Java and C++.
Accepting bitcoin, Ether, Tether and TrueUSD at present, with many more to come, the wallet works by partners sending an API request with a customer ID to the wallet. No additional personal information is required; just a reference number and currency type required at this stage. An address is then assigned to the user, which is automatically pinged back to the casino.
When the end user deposits funds using their personal DAOWallet, the casino will be informed immediately, by API integration, how much has been received, with a similar process for withdrawals.
Partner casinos can then transact in three ways with the DAOWallet and their end users. ‘Floating’ rate transactions are best for taking crypto payments from end users, with the wallet sending them directly to partner casino accounts, while ‘fixed’ rate payments are best for those wanting to convert crypto payments directly to fiat, with the process happening almost instantaneously.
The third way is ‘invoices’. These reduce volatility issues and are “an opportunity to fix a rate before a transaction is sent by your client”. These use automated URLs which are sent to players which allow them to deposit in crypto, with the fixed fiat rate paid out to the casino at the other end. Using QR codes and time-out security procedures, this looks to us like a new and unique way for players to transact seamlessly with their operators.
The DAOWallet itself interacts with the ETH Gas Station to ensure efficient gas pricing, as well as with major exchange players including Binance, Kraken and Bitfinex, to ensure the best rates can be found at any one time, to the benefit of both partners and end users.
Another pioneering tool that Nikolaenko was eager to show us was the wallet’s ability to scour the history of incoming cryptocurrency transactions. Nikolaenko described this as “an integrated, bespoke service that can check whether crypto has been seen in dark markets.”
This could be a game-changer for the licensing of crypto casinos going forward, with many current regulators scared off by the threat of pseudo-anonymous crypto transactions and its implications for AML.
On receiving information that a user’s crypto holdings could be linked to unsavoury activity, the team can enact special rates and inform the managing casino by email within just a few hours.
This also works in reverse, with Nikolaenko highlighting how the wallet can identify whether a player’s crypto:
“has been seen elsewhere in the gaming industry at other casinos, enabling you to quickly upscale marketing activity to the particular client.”
The wallet also features recognisable tools that are commonplace in more traditional, fiat payment tools. These include the changing of daily deposit and withdrawal limits for both clients and their end users, different access accounts for administrators and managers, and a complete, legible transaction history.
DAOWallet have certainly been busy of late, and their wallet solution is one of the most pioneering we’ve seen, both technically and ergonomically. For operators and players alike, blockchain gaming is becoming more about the casino, as it should be, and less about the technology that lies behind it, and this is a fine example of the benefits of this way of thinking.
With the team informing us that DAOWallet is now live, and with many interested parties lined up to integrate, we’re looking forward to seeing it in action in the coming months. Players will find it a godsend compared to comparable wallets out there, while casinos will have the peace of mind that they’re in full control of their funds and not at the mercy of gas prices, or exchange volatility and commission.