Blockchain Gambling Payout Architecture Using Off-Chain Oracles
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Solution Overview
Problem
Distributed ledger networks face computational expense, scalability limitations, and impaired user experience in gambling applications due to unverifiable algorithms and unresponsive interactions.
Innovation Solution
Implementing smart contracts on distributed ledger networks to determine return amounts off-network, using an off-network oracle to reduce computational load and enhance user experience by ensuring fluid interactions and scalability across multiple machines.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If calculations are performed on the distributed ledger network, then transparency and immutability are maintained, but computational expense increases and user experience deteriorates
Solution Approach 1:
The patent segments the computational workload by separating verifiable operations (performed on-chain by the distributed ledger network) from non-verifiable operations (performed off-chain). This allows critical transparency and immutability functions to remain on the blockchain while moving computationally expensive calculations to external systems, thereby reducing network computational expense while maintaining reliability.
Solution Approach 2:
The patent introduces an intermediary verification mechanism where the distributed ledger network verifies only essential outcomes (e.g., hash values, commitment data) rather than performing complete calculations. This intermediary approach maintains transparency and immutability for critical data while avoiding the computational expense of processing all game logic on-chain.
2Productivity
If more machines and operators are added to the network, then scalability improves, but network complexity and coordination difficulty increase
Solution Approach 1:
The patent extracts complex coordination and calculation logic from the distributed ledger network to external systems. This extraction reduces the operational burden on each network node, allowing more machines and operators to join the network without proportionally increasing network complexity. The external systems handle the heavy lifting while the blockchain maintains a simplified verification role.
3Reliability
If algorithms are made transparent and verifiable on-chain, then reliability improves, but transaction speed decreases and user experience impairs
Solution Approach 1:
The patent applies partial verification by having the distributed ledger network verify only critical aspects of transactions (e.g., hash commitments, outcome validity) rather than performing complete algorithmic verification. This partial action approach maintains sufficient verifiability for reliability while dramatically improving transaction speed by avoiding exhaustive on-chain verification of all game logic.
4Measurement precision
If computational operations are performed on the distributed ledger network, then result accuracy is ensured, but response time increases and interactivity decreases
Solution Approach 1:
The patent implements preliminary computation by performing calculations off-chain before submitting results to the distributed ledger network. External systems pre-compute game outcomes and prepare verification data in advance, then submit only the essential results for on-chain verification. This preliminary action ensures result accuracy through blockchain verification while minimizing response time by avoiding on-chain computation delays.
Data Source
AI summary
Techniques of the disclosure herein relate to a gambling architecture that may occur at least in part on a distributed ledger network (i.e., blockchain). In some instances, a gambling system or method may receive from a user (e.g., a bettor) a wager placed on a game. A smart contract stored on a node of a distributed ledger network may determine a return amount by sending a request to an off-network application (e.g., an oracle), which may return a value that is used to determine a multiplier (e.g., by mapping the value to a function/set of possible return multipliers). Based on the multiplier and the wager, the return amount may be determined. At or before the terms of the smart contract execute, game characteristics of the first game may display the return amount to the user, and a currency balance associated with the user may be updated.