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What is Bankroll and how it works?
What is Bankroll and how it works?
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Written by COCO.
Updated over a week ago

In the world of online gaming, bankroll plays a critical role in determining players' winnings and investment opportunities. This article will explore the concept of bankroll, how the pool of funds operates, the leverage investment system, and the bankroller dilution fee. Understanding these aspects will help you make informed decisions when participating in bankroll-based games.

What is Bankroll?

Bankroll refers to the pool of money used by a bankroller to pay out winners of a game. The maximum profit that players can win from a round is determined by the size of the bankroll. A larger bankroll allows players to win more. There are specific limits to how much players can win:

  • Each player can only win 0.75% of the bankroll per round.

  • All players combined can only win 1.125% of the funds per round.

Players can also bet on the bankroll (i.e., become bankrollers), where their bet is added to the bankroll, allowing them to win when the house wins and lose when the house loses.

How the Pool of Funds Operates

The bankroll implements a shareholding system, enabling everyone to participate and obtain corresponding shares. With a house edge of 1%, 99% of each bet will go to the bankroll, while the remaining 1% is reserved for platform operating costs. Payouts made to winning players are deducted from the bankroll.

Leverage Investment Explained

Leverage investment allows you to add a selected multiplier to your initial investment, minus the dilution fee. If the bankroll goes down and your initial investment reaches zero, you will be liquidated and lose your investment.

Consider this example: You have 1 Bitcoin (BTC) and decide to invest it all. By depositing 0.1 BTC and investing it, you can inform the site that you have an additional 0.9 BTC you want to invest. This amount stays in your wallet, but it's counted as part of the game's bankroll. Your share of the bankroll, profits, and losses will be the same as if you had invested the entire 1 BTC. If your 0.1 BTC investment goes to zero, you'll be liquidated, and your leverage will be set to zero. However, you can still deposit and maintain your share of the bankroll without going into debt.

Understanding the Bankroller Dilution Fee

Every time you bet on the house, 2% of your bet is paid out to other bankrollers according to their stake in the bankroll. Conversely, when someone else bets on the house, you receive a portion of their 2% dilution fee.

For instance, if you bet 1 Ethereum (ETH) on the house, 2% (0.02 ETH) of your bet is distributed among other bankrollers, while the remaining 0.98 ETH is added to your stake. To capitalize on the dilution fee system, bet as much as you can on the house as early as possible. By maximizing your stake, you also maximize your claim on future dilution fees, which rewards long-term bankrollers.

Conclusion

Understanding the bankroll concept and its related aspects, such as the pool of funds, leverage investment, and the bankroller dilution fee, is essential for making informed decisions in the world of online gaming. By participating as a bankroller or leveraging your investment, you can take advantage of various opportunities to maximize your earnings and share in the bankroll's profits and losses.

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