If there are two things that have had an abundance of popularity lately, it’s cryptocurrency and online gambling. Cryptocurrency has been making headlines for years while online casinos have been seeing more visitors each month. Although these seem like quite distinct fields, their futures are destined to be intertwined. As blockchain technology has seen further utility, and online casinos have grown in numbers, it’s no surprise the crossover has already occurred and that it will grow in popularity.
Cryptocurrency is Already Utilized Online Gambling
Although the future looks bright for online gambling with crypto, we already have the option to gamble with such currencies today. As Bitcoin was the first blockchain-based currency and is the most well-known cryptocurrency in circulation, most—if not all—casinos that accept crypto will accept Bitcoin as payment. In such casinos, people can deposit money and withdraw their earnings with Bitcoin. In fact, there are quite a few popular Bitcoin casinos in Japan where this cryptocurrency is the primary source of funds.
Beyond the acceptance of various cryptocurrencies, people have even gone so far as to make cryptocurrencies specifically for online gaming. For example, CasinoCoin is a relatively new coin that’s powered by the XRP Ledger. The coin allows for low transaction costs, instantaneous transfers, and the utmost security.
With the addition of coins specifically designed for gambling, we can only dream about what other advances will come in the future. Regardless of what exactly happens, we know that online gamblers will choose to use cryptocurrency for several reasons.
The Key Reasons Why Casinos and Players Will Want to Use Crypto
Security and Privacy
Cryptocurrency is based on blockchain technology which means that cryptocurrencies have a certain level of security inherent to them. Each transaction—a trade or purchase— that occurs within a specific currency will join the distributed ledger that defines that coin. This ledger is decentralized, meaning that every system involved in the coin’s blockchain will validate and agree upon what transactions have occurred. Essentially, this means that it’s extremely difficult to falsify transactions.
When it comes to bringing blockchain technology to the online casino industry, the inherent security features lend perfectly to the gambling industry—they protect the casinos and gamblers. Online gamblers do not need to register themselves on the platform. They don’t need to prove their identity, submit credit card information, or anything else that risks their personal information. They can gamble online without the need to protect their account information and their funds. Rather, they can simply deposit their cryptocurrency, which will instantly be validated, and begin playing. The online casino will know nothing about the player except the wallet address from where the crypto came.
Freedom of Gambling
The privacy of cryptocurrency means that people all over the world are free to gamble as they please. Even citizens of countries where gambling is completely outlawed can gamble online without any restrictions. And, since their identity is kept secret, they will not have any trouble staying anonymous.
Cryptocurrency transfers are nearly instantaneous. When online gamblers deposit crypto into the gambling platform, they do not need to wait for a bank or third-party company to verify the transaction. Rather, the player is in full control of their currency. They make the deposit, the blockchain verifies the transaction in real-time, and the online casino will know in a split second whether the transaction was successful or not.
As cryptocurrencies are decentralized, there is no governing body to check the validity of a transaction. While it’s already been mentioned that this increases the speed of transactions, it also reduces the cost of transferring crypto. This is a benefit to both the online gambler and the online casino. Neither one of the two parties will have to pay a significant transaction fee.
For this reason, many online casinos have been offering the acceptance of bitcoin and other major coins. They know the value of such coins, and they know it’s cheaper for them to accept the coins.
What’s to Come
In the future, cryptocurrency may become the primary source of funding for online casinos. Thanks to the myriad of benefits this currency source offers, more casinos will begin to adopt crypto. As there are already countless websites hosted around the world that accept crypto, the only likely future is that casinos expand the types of cryptocurrencies they accept.
The Bottom Line
Blockchain technology has changed the world, and it will continue to prove one of the greatest innovations of the twenty-first century for decades to come. As of today, we likely don’t know what the greatest benefits of such technology will be. However, we do know that investing in bitcoin and other cryptos has become increasingly popular and that this popularity will only grow. As a result, the future of the gambling industry will be sure to be at the forefront of the adoption of such currencies as a regular practice.