What you're saying makes a lot of sense and explains why I couldn't locate an easy answer. So, how do places like BitLotto operate? From what I can tell, a person sends Bitlotto a BitLotto-generated address for a particular draw. If the person wins, how would BitLotto know who to pay? BitLotto (and other online transaction sites) must have some way of knowing the source of funds.
Its not hard, its just not easy.
Some devs loathe Satoshidice and wrongly call it blockchain spam (as if increased use is a bad thing).
So there is a fair bit of misinformation and obfuscation of how to achieve this.
Writing a gambling site hey ?
We are seeing more and more of these instant payout games.
Satoshidice being the most popular currently (uses ABE i suspect).
SatoshiRoulette did a clean room implementation (apparently) of satoshidices payment system.
FlipBitcoin - Same system.
BitcoinLotto Same system (may still use ABE).
BTCDice is another but I cannot endorse them currently.
Im not sure if they would help the competition but it would not hurt dropping them an email
I believe SD and Bitcoinlotto previously used a local copy of ABE, but as you can now achieve the same using api calls Id expect they would drop the heavy ABE in favor of much lighter API calls.
I am obviously biased on this topic, but here is my stance regardless:- If increased commerce is a bad thing, bitcoin has already failed.
- If bitcoin cannot scale, it has already failed.
- Any team that releases a code base to the public domain then starts making demands of the public on how it is used will be universally ignored.
- The very nature of bitcoin means there is no central control, so dont listen to some negative people who dont like your service - they would never use it anyway. This is the greatest feature of bitcoin, outspoken individuals have very little power. Whats best for the network is decided by the network