My holdings for 2018 (part 1) : why I'm putting my money in FunFair (FUN)?

in #cryptocurrency7 years ago (edited)

I've decided to start making a series out of the projects I'm investing in and hopefully start a conversation with those who agree and those who disagree with me.

I've gotten involved in cryptocurrencies about a year ago. Having a computer science background (I'm finishing my PhD), I thought I might have an edge when digging through the whitepapers.
Since I started I have done pretty well so far, my biggest gains come from getting into XRP at the beginning of 2017 and LTC in March 2017.
There are a few things that I look for before putting my money into a project and I will go through the reason why I think FUN fits into my criteria.

Market Cap: The first thing I got through is marketcap. To be on the safe side, I look for projects with a marketcap over 300M and below 800M that have been climbing in the ranking in the past few weeks. This gives me confidence that the project has good support with room to grow (large marketcap but not too large) and people are paying attention. Currently, the marketcap for FUN is approximately 700M, when I took my position it was about 400, so I have roughly doubled my money already.

Clear Plan:I like to go through the white papers and understand what they are trying to do. Is it technologically feasible? Are they being specific in their plans? I hate seeing whitepapers where they claim they'll be using "the latest encryption technology", that doesn't tell me what you are doing! What is it? Are you using RSA, Blowfish, AES?
They wrote two separate whitepaper, a commercial and a technical one, where they are very explicit in what their plan is. They even went beyond and transalated them into three different languages, Korean, Portuguese and English.

Solves a Real Problem: Another thing I look for is whether it solves a real problem or not. XRP provides an alternative to SWIFT, an outdated way of processing payments, LTC improved on transaction cost and settling times over bitcoin. What is FUN's purpose? Ther are two main points that makes it attractive in my opinion. First, it gives a easy access to online games without having to make deposits through a bank account or debit card. If you have FUN tokens, you can play. Second, and most importantly, they can guaratee fairness in the game. Right now, if you play an electronic game at a casino, chances are that the odds are programmed to be in favor of the casino, even in games where the odds should not be that large. Imagine playing a game of blackjack online, what guarantee do you have that the deck is actually shuffled and the hands are not pre-determined according to their algorithm? None! FUN could solve that problem and that would be huge for the entire industry.

Team: No project, no matter how good the idea, would succeed without a good team developing it. One of the strong points in this aspect is their founder Jez San Obe. He's been a successful developer since the 80s, an early investor in Kraken and Bitpay, and founded PKR. Another check mark to know that a project is legit. Another person joining the project in an advisory capacity is Stefan Kovach, who was head of marketing of PokerStars. So we know that not only they have a capable team, they have the experience required to make this project succeed.

These are my main arguments why I think FUN is a long-term hold and I will be keeping a position throughout 2018.

**Do you agree, disagree or have something to add? Leave a comment, I'd love to hear other opinions. **

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Those are good criteria, in my opinion. I've never heard of this token, but you make a good case for it.

I'm curious about two things: 1. Is this an Ethereum token, or a NEO token, or something else? and 2. What is their solution for, for instance, insuring the fairness of a blackjack game?

(Yeah, I could do the research myself, but maybe you can answer these questions off the top of your head. )

Thanks. Looking forward to more of your posts.

1 - It is an Ethereum based token
2 - In a nutshell, their solution relies on how random numbers are generated. In a computer, random numbers are not truly random, they are pseudo random. If you given a seed (an initial value that the random number generator based the computation on) it becomes deterministic. If I give a seed 1234 and based on that the random number generator gives me the number 4212 on the first call, 8429 on the second call,... if we give the seed 1234 to the generator again, then it will create the same sequence (4212, 8429). What they are doing is taking a partial seed from the player and a partial seed from the operator (casino), so no one truly has control of the seed, but instead it is created by two opposing players.
It's a very simple (conceptually), yet elegant solution.

Thanks for the information. That kind of math is way out of my league (you made it very clear, though), but yeah it sounds like an elegant solution.

I also put my money in funfair. It will take sometime for the adoption but as soon as the first real project come to life the others will arrive faster :)

Let's HODL!

I'll be in it for at least a year....there's a lot of potential here.