Dragonchain, a blockchain firm, has announced that it will demonstrate its new blockchain-based contest system with a $50,000 prize, as part of the upcoming “Open Source Money” documentary series about Dragonchain, which airs on US cable TV channel Discovery Science on July 4.
On June 25, it has been reported that Joe Roets, the founder and CEO of Dragonchain, said that the firm has developed a blockchain-based contest system that allows participants to verify its fairness, as it can be used for lotteries, raffles, sweepstakes and contests of skill.
However, Rotes said that crypto exchange Beaxy has already adopted the system for its trading and promotional contests, and Dragonchain was already in talks with various parties who wish to use the system in casinos, for sporting event giveaways, and charity raffles.
Roets explained that every participant in a contest submits an entry, and an on-chain mechanism selects the entries.
“For selection, the system uses future hashes of a predefined block height of Bitcoin and Ethereum. The combined hashes are used to select the winner based on an algorithm. It is not possible to know the hash of a block height of any one blockchain, thus making it nearly impossible to profitably game the system.”
Likewise, Roets claims that the on-chain transparency of the process allows users to verify whether the contest was fair and that the results are accurate.
Thus, he explained that anyone can view the blocks associated with the entries and the selection process.