Topic: New Bitcoin Gambling Website Investors Needed - page 2. (Read 3223 times)

Personally I am not willing to invest at all for the reasons outlined in my previous comments. Another problem that has been mentioned but not really addressed is the counterparty risk you pose. Plainly speaking, counterparty risk is the risk that you run away with the money or otherwise don't honor the contract. It is unlikely that anything you say or present–even a fleshed out business plan–will convince me otherwise.


That is my point: It's a bad deal. You have little to offer investors and consequently investors have no reason to give you any equity.

Okay I understand and I will take some time and write up a business plan and once I finish writing it I will post it on here. But please give me some time to write this up because it may take me a while. Thank you.

For most of us, it would be an actual, legitimate, fleshed out business plan. Not one-liners, and not a paragraph. A real one will be a somewhat significant length (I think the shortest one I've seen so far that actually covered all the bases was around 25-30 pages). Not only does that help the potential investor get a better understanding of your business, but it helps YOU show that you know your business.

MartinL refers to your lack of experience in this sector, and that is exactly what the business plan is designed to help prevent: in writing it, you do research, you show your prowess in determining your pros and cons, your potential issues, risks, growth potential, etc. "X site on average earn $y" is irrelevant -- there are well over 100 casinos that failed for every 1 that was successful. Making a claim like that is like saying "Holiday Inn is a multi-billion dollar company, as is Hilton, so I should be able to make at least a billion," while ignoring the literally millions of failed hotels.

The problem I'm having is that you are wanting 100% equity in this which I understand because you would be putting up most of the money but if I were to give 100% equity to the investors then what would be in it for me at that point? Because then I would be working to promote and manage a business that I have no part in.

Okay first off I do want to state that I do have business experience since I do run a coin business in my local area where I buy and sell coins. But of course that's not a popular thing that makes lots of money so I cant really use my money from that business to go into a casino so that's why I am asking for investors but for the record I do have experience running a business and so do a lot of my family members. But with that said I would like to ask what exactly would the potential investors in this situation like to see? What exactly would you guys want or need from me in order to invest like how much equity and such would you guys want to make it worth your investment?

I feel like I should preface my comment by stating that I do not wish to dissuade or discourage you from your implementing your idea. Taking initiative is more than most people ever do and your enthusiasm is admirable as well. But your expectations are unrealistic. Consider it tough love.


If I had to invest in your venture I would indeed want close to 100 % of the equity. Startups that receive external funding bring more to the table than merely a poorly thought out idea. Frankly I do not see you offering anything of particular value:

• You cannot program the game.
• Ostensibly you do not know how to market the game.
• You have no experience in the gambling sector aside from being a gambler yourself.
• You have no experience running a business in general.

Yet you want half of the equity, which is worth roughly $30,000. What exactly do you offer that warrants so much money? Why should an investor give you money when he could hire a developer himself and keep all of the equity? Since you do not seem to have any relevant qualifications, virtually any other person would be equally qualified or better.


I believe you do not have much relevant experience at all (see above).

You have some misconceptions about failure: In my experience, the majority of successful entrepreneurs have at least some history of failure behind them. Perhaps it is required to gain the necessary experience, perhaps it is just a matter of luck. In any case there is no shame in failing provided one learns from it.

That being said, you are not competing only with inexperienced or failed entrepreneurs. Successful entrepreneurs often do not stop after one venture. They move on to other projects that may also require external funding. All other things equal, a reasonable investor will prefer someone experienced.

Investors are not altruists–at least not in the context of investing. They are not responsible for giving you the chance to gain experience and they do not care about you unless you offer them something of value.

You were given lots of valuable advice in this thread. Whether you act on it or continue to dream of an investor just handing you $60,000 to play with is up to you.

Also about the experience thing, What exactly are you saying I don't have experience in? If you mean Bitcoin Gambling then no I do not have experience in it besides just playing them but how do you believe people get experience? they have to do it in order to get the experience. in fact I would be personally more worried about investing in someone starting a new bitcoin casino that already does have experience owning a bitcoin casino because that means they already had one and they failed so why would you invest in someone that's already failed than invest in someone that hasn't? I'm just saying that the only way people can get true experience is by actually doing it and they cant do it unless people (like the investors) give them the chance to do it.

What terms are not good? I already said that I decided to give 50% equity instead of 25% and they don't have to sell it back in time. I mean how much equity do you want? And please don't say that you should get 100% of something because your putting up most of the money because there are a lot of companies that startup based off of investors money but the investors only get roughly 50% so its not like just because your putting up the money you should get it all because I have a lot of work I must do as well just like the other companies founders have a lot of work to do in order to build up the business and make it successful.

Again, this time more frank: Nobody is going to give this kind of money to an unknown and inexperienced person like yourself, let alone on those terms.

That does not mean you cannot realize your idea. If you are serious about it, your best course of action is probably to learn how to write the game yourself using MoneyPot. Even if you currently have no coding experience you could easily learn how to write a basic game within a year.

Hi, I just wanted to let everyone know that I will still need investors since I have talked to the developer that I am looking into hiring and he stated that it would take him roughly 100 hours to make each game at $40 an hour so that would end up being $4,000 per game (and that is with using moneypot.com) and I am wanting to have several games, and I will still need to pay for advertisements and promotions, and also a graphic designer so I will still need investors if you guys are interested at all please let me know. And my offer still stands for 50% equity in the business with a total of 100 Bitcoin Investment but of course that wouldn't have to be all from one person it can be from multiple people which then the 50% equity would be divided out between each investor according to how much they invested into the business. So please like I said let me know if you guys are wanting to invest or not. Thank you.

Also is there anyone on here that knows how to make the casino games and integrate them onto the moneypot platform? Because if so I may be interested in hiring you if you can do the job better and/or cheaper than the developer I have in mind right now. So just comment on here if you can do the job and also how much you would charge per game and integrating the games onto the moneypot network. And the games I have in mind are a couple of slots, roulette, blackjack, poker, and possibly sport betting. But I do not know if all of those games will be needed I just would like a quote for each one so I can decide which ones would be best to go with.

Okay, thank you very much for this information and I will definitely look into this more and I have already contacted the developer that may be working for me if I decide to hire him and I told him about moneypot and if he could do it using moneypot and if so would the price of the development work on the casino go down but I have not heard back from him yet but he is like six hours ahead of me which it was 8PM when I contacted him so he is more than likely sleeping right now and will probably respond back to me tomorrow. But if I can get this done for cheaper by using moneypot and I wouldnt need any startup funds for bankroll or server hosting then I may be able to do this without needing investors because i do have a little savings just not enough to do what I thought would be needed. But because of moneypot that might have changed and hopefully I won't have to advertise as much either since moneypot posts the casino on their website for users to see.

You'd still need a developer. Getting hooked into the API would be a lot easier than doing it yourself, though, and you wouldn't need to worry about the security of your funds (since MP handles it). Along with this, you'd instantly have 900 BTC players can win from, rather than a much smaller pool. And guaranteed profit on every bet has its merit.

I just looked at it but I am guessing that I would still need to hire the dev to make the games and stuff or would moneypot be able to do this for me?

May be worth considering a launch on the MoneyPot platform. You'd have instant access/backing by around 900 BTC, and you'd be earning half the house edge of each bet whether players win or lose. Would also be easier to get a site up, I think, being that the API is already set up and ready for integration.

My business plan is not necessarily written out professionally but it still states all of my plans and such for the business.

I will need at least 100 Bitcoin to get the casino started and have bankroll. I got an estimate of roughly 20 Bitcoin for the building of the custom Bitcoin Casino website which includes all of the things needed to run an online Bitcoin Casino, five games or more depending on how complex the games will be, and technical support from the developer if needed. I estimate the cost of server hosting to be two Bitcoin a year based off of what the developer stated about server hosting packages. I also estimate the cost of promotions and advertising to be 10 to 15 Bitcoin or so. Which all of that comes out to be roughly 32 to 37 Bitcoin, plus the cost of bankroll, Miscellaneous costs, and to have some Bitcoin set aside in case something comes up and it is needed. I plan to advertise on Bitcoin forums, websites, Facebook, possibly Google Adsense if I can figure out how to do so which I haven't looked into that yet, and other miscellaneous places to advertise on. as far as revenue goes I have done some calculations on the number of online Bitcoin Casino and how big the online Bitcoin gambling industry is and I came to the conclusion that averaged out each Bitcoin Casino has done roughly 10,416.67 Bitcoin per year worth of gambling and with a 1% edge that would be roughly 104.67 Bitcoin per year in profit minus the operating costs. Which I except the casino to do around that much within a year or two. I can't think of what else to post about for expenses and revenue but if you guys have any specific questions to ask please do so.

Technically, 100 is on the low side of things. Assuming you go with the average Kelly risk ratio, you'd be looking at a 1 BTC max. win. This is fairly small, though it's not necessarily going to make or break the site as long as it grows. That said, you have to account for marketing expenses and everything else as well.

Your previous post was a step in the right direction. The next is... do you have a business plan mapped out already? If so, that's something you should be sharing with interested parties. Technically, a couple of us in the thread are already deeply involved in this sector so we already know most of what you'll be putting in there, but this helps us see that you understand what you're getting into as well (and for those who AREN'T knowledgeable about the sector, it ensures they understand it).

Also it has been brought to my attention from one of the comments that I should be asking for at least 100 Bitcoin to get this started because it will be needed for bankroll and stuff. I honestly didn't think I would need that much but if that's the case I will need to ask for 100 Bitcoin to get the casino started because I must have underestimated the amount needed for bankroll and everything. And I am glad that it was brought to my attention before I started getting investments because then I would have had to ask for more later on and I don't want to put my investors in that situation where they have to invest more than what they were told they had to invest. So I will edit my initial post about the amount of Bitcoin needed to 100 Bitcoin.

Edit: I also fixed the initial post where it stated only 25% of the profits would be given to the investors and they would have to sell their share back when I can buy it to it being 50% of the business equity and the investors not having to sell if they do not want to.

You know what your right, I dont know what i was thinking. i guess i was thinking of it more on the loan side of things but since the investors wouldnt be loaning but instead has equity in the business then i should not be asking to have the people who allowed me to get a successful business not be able to reap the rewards of it all the way through. So investors will have equity of 50% and i will even give 75% of the profits for the first few months to a year just to get the investors interested in this project. Because i know i can make this work and be very successful because i have personally have experience in business in a different sector but still business and i have lots of family who will give their support in knowledge of business which they have lots of but they just are to greedy to invest in anything else because they are already set for life almost from their businesses. And i will also i hope have the support in knowledge from the investors as well to help get ideas for the business. So if this new proposal of 50% equity and 75% of the profits for the first few months to a year and then back down to 50% for as long as they decide to hold on to their equity then please invest. And also i will NOT force the investors to sell their equity back to me but i will ask if they are willing to sell when i am able to buy it back but it will not be a requirement for them to sell. So if you have any more questions or concerns please comment below and thank you for your time and consideration in investing.

This. You're in a new business that you're not already deeply connected with and involved with. You're asking us to invest and limit our profit -- investing is a risk vs. reward situation. This is a high-risk situation no matter WHAT you offer -- even if you offered up 100% of the equity AND profit to investors. As a result, you have to offer up the high-reward side of it as well or nobody is going to bite. When you ask us to limit our reward when we take the ENTIRE risk, that's just asinine. The entire point of even considering an investment would be to watch the site grow and reap the rewards.