I. Market Context
✍Market Context
Lucky(Rollbit Co-Founder) Tweet
R 0.00%↑ LB Price (23 July 2023)
June 2023, The speculative nature of the cryptocurrency market remained strong, but competent market participants are increasingly looking to invest in things that actually create value.
In DeFi, the term "fees," commonly referred to as protocol fees, can be assessed based on the protocol's revenue and earnings. This serves as a crucial metric that investors can utilize to make informed judgments.
Other metrics, such as Daily Active Addresses, Daily Transaction Volume, and Total Value Locked (TVL) can also be utilized. These metrics provide further insights into the level of activity and engagement within the DeFi protocol, helping investors gauge its overall performance and popularity.
On June 28th, Rollbit, a cryptocurrency-based casino founded in February 2020, underwent Ethereum migration and expanded its supported chains. Alongside these developments, Rollbit gained promotional attention from various cryptocurrency influencers.
It was widely believed that $RLB, Rollbit's native token, is undervalued, given the casino's user base, earnings, and revenue. As a result of this popular assessment, the token's price has risen quite rapidly. (Currently, $RLB is undergoing a price correction phase after the recent surge)
The prices of several casino platform coins are also rising in tandem. ($Winr,$Bcb)
II. Crypto Casino Market
Crypto Casino Market
Through on-chain analysis, several protocols for understanding the crypto casino market were discovered
<JustBet>
JustBet TVL
It has been approximately 3 months since the launch(May 23), Bulited on Arbitrum
Native Token : $Winr
The daily number of users is around 1,000
$WBTC, $ETH, and $USDC are available
Popular casino services such as dice, flip, baccarat, and poker are supported (※ sports betting is not supported)
<Zkasino>
Zkasino Overview 2
It has been approximately 7 months since the launch**(Feb 23)**
Supported multi-chain(Polygon, Arbitrum, Fantom)
No native token
The daily number of users is around 100
9 cryptocurrencies, including $ETH, $MATIC, $PEPE, $FTM, and $USDC are available
Approximately 90% of the bets are happening in dice (※ sports betting is not supported)
<Azuro>
The current on-chain source appearing on Dune is from a sports betting platform called Bookmaker (Launched in June 2022)
Supported multi-chain(Polygon, Gnosis, Arbitrum)
No native token
The daily number of users is around 100
$Usdt and $Xdai are available; only offer sports betting
<BetSwirl>
Launched in Feb 2022
Supported multi-chain(Avalanche, Polygon, BnB, Arbitrum)
Native token : $Bets
The daily number of users is around 50
$Usdt is available for Only sports betting, $Matic, $Avax, $BnB, $Bets are available for Only casino(Dice, Flip, Etc)
<Rollbit>
Rollbit Overview 1
A detailed overview of Rollbit will be covered below (= Rollbit Overview)
※ Rollbit has limited transparency, as it can only access on-chain data for Rollbit wallet total net deposits and the number of depositors on the supported chain
Detailed information, such as total wagered volume and daily active users, is not disclosed publicly
But, Based on the number of depositors and total deposits, Rollbit appears to have the highest deposit volume and likely the highest number of daily active users among the mentioned crypto casinos
In the last 3 months, the daily number of depositors has been maintained at around 3,000, which can be interpreted as the daily number of active users
= It is evident from the available data that there is substantial growth underway
Comments
The crypto casino market is currently attracting significant investor interest, ※ but user-based data indicates relatively low performance
※ Considering that several crypto casinos, including Rollbit, have been launched for quite some time and offer support for multiple chains, the crypto casino is interpreted as less appealing to cryptocurrency users
III. Rollbit Overview
❓Introduction
Rollbit - $RLB
Casino/Gambling, The Most Rewarding Innovative Cryptocurrency Casino
= One of the leaders of innovation within the crypto casino industry
Established in Feb 2020, Online casino platform (※ Not Full On-Chain)
Initially built on Solana, but then migrated to Ethereum in June 2023 and expanded its supported chains
Offers popular casino games such as slots, roulette, blackjack, and sports betting
※ Also supports gambling services that integrate cryptocurrency assets, including NFT betting games and crypto Futures, aligning with its goal to become the No.1 crypto casino
🔑 Solution&Our Mission
As a cryptocurrency-based casino, our mission is to provide customers with a unique experience that traditional casinos could not offer
We offer cryptocurrency-integrated gambling featuring NFT betting games and cryptocurrency Futures
Customers can participate in Lottery&Jackpot by staking our native token($RLB), enabling them to explore new experiences with cryptocurrency
Additionally, we have built various services and products, such as Reward Programs and Rollobot NFT, to provide customers with diverse rewards and maximize their benefits
Our ultimate goal is to present a cryptocurrency-based casino that offers the most rewarding and profitable experience to our valued customers
🕹️ Basic Features
<Deposit and Withdraw>
Rollbit Deposit and Withdraw
Users can use supported cryptocurrency assets deposited from Solana and Ethereum chains as betting funds at our Crypto Casino. The values of these assets are displayed in USD
Additionally, users can use supported NFTs as collateral by depositing them into their accounts for wagered plays
<Rewards Program>
Rollbit offers its users various reward systems, returning a portion of their betting funds as RakeBack
They explicitly state that they will distribute up to 60-70% of the House Edge to users
(Note: The House Edge represents the casino's expected profit, which typically increases as the betting time extends.)
The House Edge is generally set at 5%
Let's talk about the rewards
ⓐ Daily, Weekly, and Monthly Rewards: Users are rewarded, especially for a portion of their total loss incurred during these specific time frames
ⓑ Rakeback: Rollbit offers a guaranteed reward of 5% of the House Edge to users
ⓒ RLB Rakeback: Users are rewarded based on the USD value of their held $RLB tokens, receiving up to a maximum of 10% of the House Edge as a bonus
ⓓ Rollback: Rollbot NFT holders receive rewards ranging from 2.5% to 10% of the House Edge based on the rarity of their Rollbots ⓔ Ranks: As users' total wagered amount increase, they climb through higher ranks and receive better rewards
※ Most rewards cannot be claimed all at once, so users need to claim them regularly. This makes it challenging for users to leave the Rollbit casino, as they are incentivized to stay and continue claiming their rewards
⚡Service & Product
Rollbit offers four main services
Casino(= General Casino)
Sports(Sports, Esports)
NFT
Crypto Futures
1. Casino(= General Casino)
Rollbit - Bonus Battles(Casino)
Rollbit offers a variety of popular casino games, including Slots, Blackjack, Flip, Live Casino, and Side Bets
※ Side Bets involve placing bets on the outcomes of games like Slots without directly participating in them
Bonus Battle is a feature where anyone can create a battle by setting an entry cost, and the winner takes it all
At least 2 participants are required, ※ Entry Cost = Bonus Buy
Players select one of the supported casino games under the casino tab and compete to be the last one standing, winning the prize pool
2. Sports(Sports, Esports)
In the Sports Tab, users can place bets on popular sports events such as soccer, hockey, basketball, MMA, and more. Additionally, Rollbit supports Esports betting, including games like League of Legends (LoL), Dota 2, Etc
3. NFT (NFT Loan, NFT Lootbox, NFT Jackpot)
In the NFT Tab, Rollbit offers various services and a casino
NFT Loan : Users can use NFTs as collateral to borrow betting funds
NFT Lootbox : Inside the boxes, there are various prizes, and as the maximum prize value increases, the cost to open the boxes also increases
NFT Jackpot : Users can deposit cash or NFTs and participate in the jackpot for a chance to win big prizes
※ Rollbit features its own NFT marketplace, where users can trade and utilize a diverse range of NFTs, Rollbots and Sports Rollbots NFT collection(Rollbit’s NFT Collection)
<NFT Loan>
NFT Loan : Users can borrow USD based on the value of the NFTs they hold, which are recognized as collateral
※ To be repaid within 7 days; the borrowed USD can only be used within the Rollbit casino
<NFT Lootbox>
NFT Tab - NFT Lootbox 2 (Lootbox Components)
NFT Lootbox : There are numerous NFT Lootbox, each containing various NFT(= Prizes)
As the maximum prize value increases, the cost to open the boxes also increases (= Spin)
※ Rollbot Stakers can create NFT Lootboxes using NFTs listed in the Rollbit NFT marketplace, configuring the prizes inside the box based on probability. The opening cost (= Wagered) is determined by Rollbit.
<NFT Jackpot>
NFT Jackpot : Users can participate in the jackpot by depositing USD or NFTs(= Wagered), with only one winner.
The probability of winning increases as the Wagered amount rises.
Each round takes place every 50 blocks on the Ethereum network
A fee of up to 5% may be imposed, depending on the size of the Jackpot prize pool
4. Crypto Futures (leverage trading with up to 1000x leverage)
Launched in May 2021, the service supports trading for over 20 cryptocurrencies and allows trading with a maximum leverage of up to 1,000x for assets like BTC, ETH, DOGE, LTC, Etc
However, each supported asset has its own maximum position size limit (Ex. $1,000,000 for $BTC and $500,000 for $DOGE)
Users are required to pay the trading fees(= PnL Fee, Fiat Fee). ※ When paying with $RLB, they can enjoy up to a maximum of 60% discount on the fees (Payable USD or $RLB)
💬 Comments
After being launched for over 3 years, Rollbit offers a variety of services, including casino games, and boasts a highly intricate structure
When casino users are introduced to Rollbit through referrals, they can explore a service and structure that is worth trying out
※ However, It is important to be cautious when using Rollbit's casino services as they operate with information opacity, making it difficult to determine the fairness of games like Lottery and Jackpot
IV. $RLB Tokendomics
💰$RLB Tokenomics
$RLB Tokenomics - Distribution (Source : $RLB Token Whitepaper)
$RLB launched at the end of March 2022, and it was built on the Solana network, considering Low-cost and fast transaction speeds
Max Supply : 5B, $RLB
22.865% (around 1.15 billion tokens) will be allocated for airdrops and giveaways for Rollbit users.
77.135% (around 3.85 billion tokens) will be differentially allocated based on the rarity of the 'Eyes' trait of Rollbot (NFT) Stakers
※ There is no ICO, and there are no allocations for investors or the team
⚡$RLB Utility
※ Staking $RLB to Participate in a Lottery
By holding $RLB tokens, Increase $RLB Rakeback Rewards (Maximum 10%)
Pay With $RLB (Pnl Fee, Fiat Fee)
$RLB Utility - Reduce Fees, Pay With $RLB
🎁Rollbit Lottery&Jackpot (By Staking $RLB)
How The Lottery Rounds Work
Rollbit Lottery Winners
launched on Nov 2021. By staking $RLB, users can participate in the Lottery&Jackpot
To generate demand for $RLB
Each round occurs every 100th BTC block (approximately every 15-20 hours), with 100 winners in total participants
※ Lottery&Jackpot prize come from 20% of the casino's Profit (70% of the Profit are allocated to the Lottery Pool, and 30% to the Jackpot Pool)
※ Jackpot is an additional prize that can be awarded to only one winner among the Lottery winners
The chance of winning the Jackpot is 10% (there may be no winners at times)
The prize received when winning the Jackpot can range from 2% to 100% of the total Jackpot pool
2% to 100% is determined randomly
There are three Multipliers that increase the chances of winning the Lottery
Rank Multiplier - Applied based on the Rank, which increases as the Total Wagered in Rollbit (Ex. Bronze, Silver, Platinum, Diamond)
Wager Multiplier - Applied based on the quantity of $RLB tokens staked by the participant
Rollbot Multiplier - Applied based on the Rarity of the staked Rollbot NFT
$RLB Supply Schedule
Total Wagered
The current situation shows that approximately 35% of the Total supply (= 1.78b tokens) has been burned
The actual token supply simulation closely follows what was outlined in the whitepaper
From a tokenomics perspective, the Lottery & Jackpot service can be considered a system that has the potential to positively impact the price movement of the $RLB token
V. Rollbots, Sports Rollbots (Rollbit NFT)
🤖Rollbit NFT Collection
Rollbit Casino has two NFT collections of its own
Rollbots (Linked by Rollbit NFT)
Sports Rollbots (Linked by Rollbit NFT)
1. Rollbots
Rollbots
Rollbit's first NFT collection(Oct 2021), Minted on Ethereum Network(Erc-721)
Total 10,000 NFTs, Pre-Sale Mint Price : $500 / Public Sale Mint Price : $1,000 (Pre-sale = 2,000 NFTs / Public Sale = 7,000 NFTs)
The remaining 1,000 NFTs were utilized for casino activation and marketing purposes (※ Among these, 900 NFTs could be obtained through NFT Lootbox)
Rollbots collection consists of a total of over 180 traits that are used and combined to create the Rollbot NFTs
The purchase of Rollbot NFTs was exclusively limited to the Rollbit website
Rollbots NFT Utility (Source : Rollbots Whitepaper)
ⓐ Rollback : holders can receive rewards of 2.5% to 10% of the house edge based on NFT
Rarityⓑ Earn $RLB : Rollbit distributes a portion of the $RLB from the Lottery prize to NFT Stakers
ⓒ Airdrop : $RLB airdrops are given to NFT holders with qualifying traits
ⓓ Lottery Multiplier : NFT holders can increase their Multiplier when participating in the Lottery
ⓔ Profit Sharing : 50% of all transaction profits generated on the NFT Marketplace are distributed in USD to the NFT Stakers
ⓕ NFT Lootbox : NFT Stakers have the ability to create NFT Lootbox themselves
※ Rollbot NFTs offer different benefits and rewards from Rollbit based on their specific traits and are distributed differentially, which can indeed be a significant factor in driving up the demand for Rollbots NFT
2. Sports Rollbots
Rollbit's second NFT collection(Mar 2022), Minted on Ethereum Network(Erc-721)
Total 10,000 NFTs, Whitelist Mint Price : $900 / Public Sale Mint Price : $1,000 (Whitelist = 2,000 NFTs / Public = 7,750 NFTs)
Sports Rollbots collection consists of a total of over 600 traits that are used and combined to create the Sports Rollbot NFTs
The purchase of Rollbot NFTs was exclusively limited to the Rollbit website
ⓐ Profit Sharing : 10% to 40% of the profit generated from sports betting(= Sports Book) is distributed to the holders over a 30-day period (※ unclaimed Reward will Expire)
ⓑ Airdrop : $RLB airdrops are given to NFT holders with qualifying traits
ⓒ Free Bets : Depending on rarity, users can make free sports betting ranging from $240 to $12,000 (※ One free sports betting opportunity provided every 24 hours)
ⓓ Parlay Multipliers : Holders can further increase their multipliers when combining various bets in sports betting (= Multiplier Boost)
Vl. $RLB Valuation
✏️$RLB Valuation
※ Before evaluating the value of $RLB, it's important to note that all information used for the evaluation is sourced from Rollbit documents, which may be unclear and difficult to verify, leading to potential uncertainty and reduced reliability
Despite being a crypto casino, on-chain data related to Rollbit was limited to deposit and withdrawal information, and no other data was publicly disclosed
It is difficult to find other crypto casinos that have received significant attention or achieved notable success beyond Rollbit
= There is a lack of comparison data for crypto-based casinos due to a limited number of similar platforms
※ However, based on the collected data, it is possible to estimate several metrics that can be used to evaluate the value of $RLB Token
Sales
P/S Ratio
Mcap/Tvl
1. Sales
https://twitter.com/rollbitcom/status/1616834883577323520
Rollbit disclosed on Twitter in January 2023 that the total prize pool for the 2022 Lottery was approximately $10m
※ Lottery = 20% of Rollbit's Casino Profit (Blog)
= 2022 Rollbit’s Total Casino Profit was approximately $50m(= $10m*5)
※ The term "Profit" used here can be linked to "Sales," which amounts to $50m
2. P/S Ratio
With an estimated total sales of $50m in 2022, it is possible to estimate the P/S Ratio for Rollbit
$RLB Current Price : $0.095 (23 Jul 2023)
Max Supply = 3.3B (Approximately 1.7b tokens were burned)
P/S Ratio = 0.095*3.3B/50m = 6.26x
3. Mcap/Tvl
Rollbit Deposits and Withdrawals
Rollbit Total Net Deposits
The total deposited cryptocurrency value in the Rollbit deposit-supported wallet address is approximately $50m
※ TVL (Total Value Locked) can be interpreted as the total value of deposited cryptocurrencies in Rollbit, representing assets staked or deposited in a specific protocol
$RLB Current Mcap : $313m(= $0.095*3.3b)
※ Mcap/Tvl = 313/50 = 6.26
💬 Comments
※ Considering the various DeFi features supported by Rollbit, such as NFT Loan, NFT Marketplace, and Crypto Futures, P/S Ratio and Mcap/Tvl may be valuable metrics for assessing the $RLB valuation in the future
P/S Ratio is now being explored and utilized not only in the DeFi but also in all protocols where Fees/revenue is generated as a metric for token valuation
However, at the current stage, it is deemed impractical to directly compare Rollbit with DeFi or Web3 protocols, leading to the conclusion that $RLB valuation is not feasible
Disclaimer
This article is for informational purposes only and should not be considered financial advice. While the author has made a significant effort to ensure the accuracy of the information provided, the author does not explicitly or implicitly guarantee the accuracy or completeness of the information and is not legally responsible for it. The author is also not liable for any losses from using this article for investment or other decision-making purposes.