Tuesday, August 18, 2009

Random Number Generators, Are They Really Random?

TheGamblingGuru is excited to introduce our visitors and readers to a very good friend of mine this week who has now become a contributing author here at TheGamblingGurus.com. This guy is one smart peep folks. Please join me in the comments section here in welcoming my very close friend and contributing author ~aka~ "Rusty" to the site with his first article here!!

Gambling Gurus
RNG, what does it do and how does it do it?
RNG is an abbreviation for "Random Number Generator" and without them there would be no Online Casinos. The following is a simple explanation of how Casino software uses a RNG to make the outcome of their games random and thus unpredictable and hopefully exciting. It is in no way a technical explanation of RNG’s.

Casinos need random numbers to be able to simulate games with a random element and naturally since this is gambling all of the Casino games have a random element! Imagine a virtual game of Heads or Tails where (0) may represent Tails and (1) represents Heads. A slot with (10) symbols on a reel may need a random number from (1) to (10) to determine the stop position of that reel. A deck of cards may require a number from (1) to (52) to determine the next card dealt. It would be no use to the Casino if one was able to predict the next number on a virtual roulette wheel or next card dealt from a virtual deck of cards so the RNG a Casino uses needs to be thoroughly tested for randomness as patterns would be easily exploited by seasoned and observant players.

The RNG though does not simply pluck a number out of thin air. It must have a method of some kind that it can use to generate a stream of random numbers and there are many methods. However some of these methods are more secure and suitable for a Casinos needs than others. For example, a pseudo RNG which uses computational algorithms is not suitable even though it can produce a long sequence of apparently random numbers. Because this type of RNG requires a seed, which is the initial source, the sequence is intrinsically predictable. Know the algorithm and seed and predict the numbers – game over for the Casino.

Far more suitable for gaming and what is actually used is a hardware RNG. There are many different types of hardware RNG but generally they generate random numbers from natural physical processes. Obviously these processes themselves need to be random but they could be based on atmospheric noise for example. See Random.org for some interesting reading. There are many other affordable hardware solutions but truly random systems appear at the subatomic level such as thermal noise or the unpredictable decay of a radioactive atom. The point is, there is no seed (set value) from which random numbers are generated with such a method and as long as the hardware is secure and the physical process random this should be a close enough to truly random system to serve a Casinos needs.

You may have seen a TST Certificate, Technical Systems Testing, on the website of your chosen Casino – usually under the fair gaming tab. This is a Canadian company that carry out tests on RNG’s amongst other things to evaluate that they distribute raw numbers with sufficient non-predictability, fair distribution and lack of bias toward particular outcomes. Or in plain English, that it works and produces random outcomes. Here is a list of services that TST offer to Online Casinos with the one I have just explained in bold;
  • Base Website Evaluations & Compliance Testing
  • Consultation & Compliance Support
  • Games Evaluations & Compliance Testing
  • Random Number Generator (RNG) Evaluations & Compliance Testing
  • Technical Standards Document (TSD) Development
The reason I list these services is because it is important to note that just because the RNG a Casino uses has been passed by TST it does not mean that the games are guaranteed fair. This is because although the test is genuine and the RNG may produce completely random results it does not test the implementation of the RNG within the games. So if you are of a suspicious nature you may like to ask a Casino carrying the TST Certificate if they have also had TST games evaluation and compliance testing.

They should be able to provide a link to the appropriate certificate. Of course, even then, there is no guarantee because this certificate would still be granted for a slot with a theoretical return of 50% as far as I am aware. They only test that the system is implemented correctly and the games work within their parameters and it is not TST's remit to dictate to a Casino what return to a player is reasonable. Of course a Casino that sets its slots to 50% payout would have a pretty short shelf life but you get the idea. You should however be reasonably confident that table games will give a close approximation of their real life counterparts.

AKA "Rusty"

The Gambling Guru



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4 comments:

The Gambling Guru said...

Welcome to TheGamblingGurus.com my dear friend "Rusty". It's an honor to have you here!

chuchu59 said...

Rusty,

I do agree with 99% of your article. I tend to play a lot of table games notably paigow poker and Baccarat and it does seem that in the past few months the expected payout for these 2 games at RTG and Rival gone way down especially the latter where you are able to get a reasonable return when playing with a bonus and a ton of wagering requirements still to be met. Pure deposits (without bonuses) meet with certain destruction. I am trying to collect data on these but it will definitely take time. Nevertheless, this is an excellent article.

Anonymous said...

Great article Rusty! I'm very much in agreement with everything that you've said. I'd just like to add, that the payouts can be manipulated, so by the end of the month/year, everything is about where it should be. There's a very famous MG casino that I used to go to, and I lost something like 16 deposits in a row; without EVER getting over 20% from my original balance.


Then one day, I cashed in some loyalty points for $10, and everything went off at that point. Every bet was at .09 cents, and it took me up to $100 (after that it did the usual dive back down to zero once I increased the bet a little). While most would be VERY happy about this, I wanted to throw up. I knew that it'll make the overall payouts seem more balanced than they really were/are.


JohnSteed

Anonymous said...

Great post Rusty! Thumbs up to the guru for inviting you.

BB

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