Updated on : October 17, 2023
The modern era has brought tremendous benefits for gamblers, primarily due to many reasons. First is the accessibility of casino games through mobile devices and another is the creativity showcased by many software providers. Another major reason for their popularity is their tandem with cryptocurrencies. Both gained significant popularity in the past five years.
The origins of crypto gambling started with Bitcoin (BTC) but this service has spread to other digital assets as well. That includes other well-known cryptocurrencies like Ethereum (ETH) and Tether (USDT), as well as less traded assets like the Dogecoin (DOGE). The effectiveness of this tandem for participants in both industries is a subject worth exploring.
How crypto and online gambling work together is simple at its core. Digital assets are currencies to be used as modes of payment while gambling is both an outlet for spending as well as a source of income. Thus, crypto gambling games are great mediums for the consistent liquidation of cryptocurrencies quickly and efficiently.
To better understand how beneficial this tandem is for both industries, here are a few factors to explore:
Accessibility is a major component that makes any type of service popular. Online casino games are no different because being playable on mobile is an advantage that lets them grow past the brick-and-mortar casino industry. However, the gamblers’ enjoyment of their services is also affected by their payment plans but older online casinos rely on fiat payment providers.
Fiat deposits pose some downsides since banks are often unreliable with transactions often resulting in cancellations or technical glitches. Crypto transactions operate seamlessly thanks to the structure of a distributed ledger technology (DTL). Payments will go through as long as there’s a miner supporting the platform.
Crypto transactions incur smaller fees than credit cards and bank transfers. This cost-effectiveness is largely thanks to how blockchain hosts direct peer-to-peer (P2P) transactions. With no geographical restrictions or the need to convert from one currency to another, the rate is cheaper per transaction.
Crypto traders are often left in limbo whenever their assets’ market trends are bearish. The best decision is to either buy the dip or increase their existing holdings. That’s where crypto games come into play because they allow users to stake their digital assets for a chance to double, triple, or quintuple one’s savings which can be advantageous for expensive assets like BTC.
DID YOU KNOW?
Crypto payments account for 25% of all online gambling payments. While 48.6% of crypto holders use it exclusively for gambling, crypto is a natural partner for many online gamblers.
Cryptocurrency statistics benefit greatly from big transfers between wallets. However, the industry isn’t big enough to maintain a consistent circulation. Not to mention that digital assets are generally unregulated so they aren’t widely accepted as a mode of payment. Casinos provide an outlet for crypto users through staking and winning, thereby keeping crypto circulation high.
Casinos entered the crypto market in droves so every brand needed to promote their platforms. One of the ways they do so is to offer advantageous deals for crypto users. Some target specific assets like BTC, ETH, or USDT. This is a great incentive for gamblers who use crypto, thereby bringing casino customers into the digital asset industry as well.
Personal information is typically confidential between banks and customers. Some people are not confident in this arrangement so they turn to using crypto which is often anonymous. Blockchains only need to identify you by your wallet address to give you full access to your assets.
Gamblers still need to provide personal and contact information in accordance with the know-your-customers (KYC) protocol to register at an online casino. However, their financial sources will be kept anonymous because they don’t have to report to a bank.
Thus, you can deposit and withdraw crypto but nobody can tell when, how much, or where the money goes. People can track this information because the blockchain is transparent and viewable to the public. However, every recipient and sender are identified only by wallet address. Nobody can tell which one is yours unless you announce it.
Crypto gambling games are a compelling fusion of digital assets and casino industries. It offers a new layer of convenience for gamblers because digital assets offer a variety of advantages compared to fiat currencies. On the other hand, traders are offered a new outlet to use their hold assets for a chance to win more of it that they can sell later.
All in all, crypto and gaming can be considered a good match. That is the beauty of both worlds and members from both sides benefit from this combination.