Dragon Coin DRG Initial Coin Offering One Of The Biggest 2018 Launches

Dragon Coin is a cryptocurrency that wishes to alter the gaming industry from Macau and across the globe. Gambling is an industry that is known for attracting suspicious characters, and one that is only likely to grow.

The creator of Dragon Coin was recently photographed with a well-known Triad gang member who was put in jail for fraud. Before he was arrested, it’s claimed that the gangster earned $6 million dollars each month from his criminal enterprise.

Dragon Coin is the project created by Chris Ahmad who is CEO and founder of Dragon Corporation. Already this venture has attracted half a million dollars in startup funding.

Dragon Coin’s Business Case

Dragon Coin’s function will be to provide what are called junkets for casinos in Asia (especially Macau). Junkets help organize gambling excursions for high rollers at gambling tables, who will often spend upwards of $1 million dollars or more on a single night of gaming. In China, Macau is the only region where gambling is a legalized business, making it a prime location for junkets to acquire and host new clients.

The issue that Dragon Coin claims to solve is by reducing their high roller’s dependence on fiat currencies. Betting a million bucks at a table means that there is a lot of cash to take around, which can be a serious problem when it comes to transporting it to and from the casino.

Instead of taking Chinese Yuan or USD across the border to Macau, Dragon Coin could help these wealthy gamblers store, deposit and withdraw their earnings. All in an entirely decentralized manner.

Enter The Blockchain

The development of Distributed Ledger technologies could help lower the costs of gambling in Asia and beyond. In return, Dragon would like to bill just 1 percent of the gambler’s earning and withdrawal fees for providing this service. And since there is no middle man thanks to this system, the platform will be entirely transparent for both the vendor and its customers.

Already, Dragon Coin appears to have spiked the interest of gambling institutions. Outside Macau, 4 casinos have already signed up. Without naming names, Ahmad states he's negotiating with some of the largest Casino operations in the Macau gaming arena.

Legal Basis Of The Dragon Coin Token Sale

There has been some questions raised regarding the legality of the Dragon Coin ICO, and if the tokens issued would be considered securities. Securities in Hong Kong are pursuant to much stricter regulations, and would need to go through a stringent vetting process if Dragon wished to proceed with their plans.

Ahmed responded to this concern by potential investors in the following blog post:

“In regards to the legal position of Dragon Coin, together with lawful advice we sought, we think the DRG tokens might not contain the crucial capabilities and features associated with “securities”. As such, they are not comparable to stocks or bonds that fall under the current legislation.”

However, Ahmed also stated that the DRG tokens would not be open for purchase by US investors.

And What About This Institution Using Former Gangster Broken Tooth?

The saga started when Broken Tooth showed up in a launch event for Dragon Coin last September, which raised some concerns.

Ahmed assured the public that the former gangster is not a partner of the company, nor is he associated with Dragon Coin in any way. The pair were simply associates who knew each other by being in the same industry.

Only time will tell if the presence of Broken Tooth will affect the performance of Dragon Coin in any meaningful way. It could be said that there’s no such thing as bad publicity, although it’s unclear if this will put the founder’s reputation into question.

However, what does appear to be certain is that Ahmed’s proposed used of the blockchain for gambling could disrupt the entire industry. For this reason, Dragon Coin could be one of the most important ICOs that we could witness in 2018 and beyond.