2025-02-21

Published on Friday, February 21, 2025

By PermaDAO

In Aolotto

Tags Aolotto

Aolotto: Why Choose AO to Build Web3 Las Vegas?

Author: AolottoFoundation

Source: Content Guild Translation

Originally published at: @aolotto_dao

Original link:

In the traditional world, the lottery industry has long been monopolized by centralized institutions, where users face issues such as opaque rules and unfair revenue distribution. Blockchain technology, with its inherent trustworthiness, appears to provide a solution to these problems. However, public chains face performance bottlenecks and high Gas fees, making them unsuitable for high-frequency, low-value, and high-concurrency on-chain lottery scenarios. As the first decentralized lottery protocol in the AO ecosystem, Aolotto has successfully made $1 on-chain bets feasible through innovative technology choices and architectural designs. In this article, we will delve into the core technological reasoning behind Aolotto’s choice of AO and introduce the future vision of the LottoFi ecosystem.

Technical Features and Advantages of AO

1. No Gas Fees

Traditional public chains have rigid Gas fee mechanisms. For example, the Ethereum mainnet charges about $10 per transaction, while Layer 2 networks also require 0.1–1 USD. This means that a $1 bet is economically unfeasible, as the user’s transaction fee might exceed the bet itself.

AO restructured the cost structure through a storage consensus paradigm, the smart contract's state and computational processes are decoupled, combined with Arweave’s permanent storage features, effectively enabling zero Gas transactions. Even if a micro-fee mechanism is introduced in the future to prevent Sybil attacks on the AO mainnet, the cost would still be negligible—this makes $1 bets commercially viable, allowing users to participate without compromising on technical costs.

2. No Network Congestion

Traditional blockchains (such as Ethereum EVM) adopt a monolithic architecture. When a specific application experiences a surge in traffic, the network’s Gas price spikes, causing the entire ecosystem to collapse.

AO’s Actor model allows each smart contract to operate as an independent process, with inter-process communication enabled. This enables true horizontal scalability. During peak lottery times in Aolotto, tens of thousands of bets can be processed in parallel, ensuring that users are not prevented from participating due to network congestion. This architecture provides the underlying support for high-frequency scenarios.

3. Supports Cron Messages

The core challenge of on-chain lotteries is the fair and verifiable generation of random numbers. Traditional solutions rely on oracles or VRFs (Verifiable Random Functions), which suffer from centralization risks or delays.

AO’s Cron Messages provide an elegant solution to this problem. Aolotto can set up the lottery draw logic to be triggered at a specific block in the future, during which all betting data is permanently recorded. When the lottery is drawn, a random seed is generated by combining the target block’s hash with the betting data, ensuring the entire process is transparent and verifiable, eliminating the possibility of human manipulation.

4. Permanent Accessibility

Currently, most Web3 applications suffer from a “semi-decentralized” flaw: the smart contract may be on-chain, but the frontend is still hosted on centralized servers. If the server is shut down, users can no longer access the application.

Aolotto has achieved full-stack decentralization:

Smart contracts run on AO, with state changes permanently stored on Arweave;
The frontend is deployed on the Arweave network via ar://aolotto, allowing global users to access it via any compatible gateway (such as ar.io);
Data is fragmented and stored across hundreds of global nodes, so even if some nodes fail, the protocol continues to operate.

This makes Aolotto a truly censorship-resistant protocol—unless the entire Arweave network disappears (its storage design guarantees a lifespan of over 200 years), the protocol will continue to operate indefinitely.

5. Extending the Value of NFTs

Each calculation on AO generates a holographic log, which is permanently stored on Arweave. This transforms every lottery ticket into a "blockchain historical coordinate." Users can check the betting details, draw process, and fund flows of any lottery draw, elevating the ticket from a "consumption voucher" to a traceable cultural symbol.

Furthermore, Aolotto’s introduction of the AolottoLuckyClover NFT is creating a new gameplay. This four-leaf clover badge is not only a symbol of luck but also allows holders to unlock useful benefits within the ecosystem, evolving the lottery from a single gamble into a sustainable value interaction.

The Future of the LottoFi Ecosystem: Web3 Las Vegas

Our goal extends far beyond creating an on-chain lottery protocol; we aim to build a decentralized entertainment ecosystem—LottoFi. Its mission is to leverage blockchain technology to break the monopoly of the traditional gambling industry, promote transparency in rules, and democratize profits, allowing the community to regain control over value.

LottoFi starts with $1 on-chain bets but will evolve into a Web3 entertainment complex. Imagine a "digital Las Vegas" built by code: decentralized casinos, gaming halls, and virtual entertainment facilities, all governed by open-source rules running on AO, with earnings automatically distributed to ecosystem participants via smart contracts. Here, there are no centralized entities you need to trust; simply hold $ALT tokens to join—the total supply is fixed at 210 million, minted through betting (Bet2Mint), with no pre-mining and no airdrops.

Within LottoFi, the AolottoLuckyClover NFT serves as the key to unlocking luck. This four-leaf clover-inspired digital badge symbolizes "first-class" privileges and community identity. Holders will receive priority access to new games and additional perks.

In the future, the LottoFi ecosystem will gradually open up more entertainment scenarios, including but not limited to slot machines, virtual horse racing, and prediction markets. All games will be seamlessly connected through AO's ultra-parallel architecture, with tokens and NFTs flowing freely within the ecosystem, forming a cross-scenario value network. More importantly, holding $ALT is akin to owning a share of the casino, allowing participants to share in the ecosystem's generated profits.

The core of LottoFi lies in changing the production relationship of entertainment. In the traditional world, users are passive consumers; in LottoFi, you are the master of the value network. Betting to mint $ALT, playing ecosystem games with $ALT, and unlocking NFT privileges create a flywheel effect, driving a self-sustained, community-driven entertainment ecosystem, forming a closed-loop of value. Here, the line between players and the house is blurred, and entertainment becomes not a competition, but a celebration of joy and win-win outcomes.

We are not merely painting a distant dream. With AO's technical support, LottoFi is steadily transforming the large-scale decentralized entertainment economy into reality—a "Las Vegas" for the community. In this space, everyone has a chance to be a winner.

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Disclaimer: This article does not represent the views of PermaDAO. PermaDAO does not provide investment advice or endorse any projects. Readers should comply with their country's laws when engaging in Web3 activities.