Crypto-Betting and Anonymity

The evolution of **Crypto-Betting** marks a transition from the "Provably Fair" algorithms of early Bitcoin casinos to complex **DeFi Prediction Markets**. This sector emerged to bypass banking censorship and reduce settlement times, evolving through three distinct phases: 1. **On-Chain RNG (2012):** Simple games like SatoshiDice proving fairness via cryptography. 2. **Crypto-Native Centralized Books (2016):** Platforms like Stake.com using crypto rails for global accessibility but retaining the traditional "House" model. 3. **Decentralized Protocols (2020+):** Platforms like Polymarket utilizing **Automated Market Makers (AMMs)** and **Smart Contracts** to replace the bookmaker entirely. While often associated with anonymity, blockchain betting is actually **Pseudonymous**. The public ledger provides transparency of transactions but hides user identities. This creates a unique dynamic where match-fixing capital is harder to block in real-time (due to lack of KYC) but easier to trace forensically post-mortem compared to cash-based agent systems.