The online gambling industry isn’t exactly new, with the first internet gambling website launched in the mid-90s. However, only in the last years, has the sector registered rapid growth. According to a report, it reached $72.02 billion at the end of 2021 having a compound annual growth rate (CAGR) of 12.3%.
What supports online gambling growth?
The industry’s willingness to integrate new technological advancements and adopt new trends to meet the ever-changing demands of the market has a crucial role in its ability to expand. The online gambling industry recently adopted the trend of integration of blockchain technology. Bitcoin opened the door for development as the first blockchain-based digital currency casinos accepted to use, in May 2012. Its introduction was shortly followed by that of other reputable crypto coins such as Ethereum and XRP Ripple. We’ve recently noticed the emergence of virtual currency online casinos like Bitcasino that allow users to deposit and withdraw with virtual currency when they want to play casino games with cryptocurrencies.
Even if gambling with virtual currencies is a new trend, it won’t stop anytime soon due to the blockchain, a game-changing technology several industries used to boost their success. Thanks to blockchain technology, the internet is taking online casinos to another level.
What is blockchain?
The simplest definition we can offer for blockchain is a digital and decentralized record of all online transactions using digital assets. Blockchain is often described as a database where blocks of encrypted data are stored and chained together to create a single chronological ledger of transactions. The record stores each transaction as a block. All individuals using the blockchain verify and time-stamp transactions. Each blocks sequence is unique and blockchain is usually compared to a fingerprint. The blockchain aims to enable people who don’t trust each other to share valuable data in a secure way that protects their information and finances.
Why does Bitcasino find the integration of cryptocurrencies a turning point in the market’s evolution?
Blockchain technology makes online gambling more transparent
Traditional gambling providers rely on random number generator tools to offer fair odds to gamblers. But not all gambling providers are trustworthy, and sometimes gamblers want to check if casinos are fair. It’s usually quite easy to find out how reliable an online gambling platform is by checking review websites to get objective opinions.
Blockchain facilitates transparency in the online gambling sector. As a public ledger, the network maintains records of all gambling transactions, wins, payouts, and losses, in a clear-cut and immutable way. It aims to eliminate the risk of fraud and provide casinos with legitimacy by displaying transitional history and records of all users. Bitcasino and other blockchain casinos and betting platforms are developed using crypto-empowered open-source programming algorithms that eliminate risks and fraud.
Blockchain boosts the level of security in the online gambling sector
Many players using online gambling platforms to access casino games fear that they’re at risk of their banking or personal data being stolen by cybercriminals. Experian revealed that the surge in popularity of online gambling during the pandemic increased online fraudulent activity. Bitcasino integrated cryptocurrencies into its payment systems in 2014 because it’s aware that blockchain technology boosts the level of security it provides to its clients. As stated before, blockchain is a database of information that records the provenance of all digital assets using methods that make it impossible to change data. It works as a digital ledger of asset transactions and offers an open database for all transactions.
The technology is secure and digital currencies are easy to track because all transactions involving them have unique identifier codes. No one can manipulate cryptocurrencies transactions because all digital coins are encrypted ensuring that all payments made via blockchain technology are safer than traditional ones.
Blockchain guarantees anonymity
Blockchain technology provides gamblers complete anonymity when they gamble online. Cryptocurrencies wallets require no identification, so gamblers feel secure knowing that no third party can obtain or use their personal data. Instead of worrying use might get a hold of their personal or financial information they focus on their gambling strategies and casino games. Online gambling doesn’t have a negative effect on gamblers’ credit-scored so if they want to loan money to finance their projects, their gambling activities won’t influence their chances. Cryptocurrency transactions aren’t visible on bank statements so banks cannot look through them. When applying for a loan, often people have to provide the bank with a statement to help it understand their spending habits. But because cryptocurrency transactions are anonymous the banks cannot see it and therefore, they’re less likely to refuse the loan.
Cryptocurrency transactions are fast
Often gamblers are frustrated because they have to wait hours or even days to receive money. This is especially the case when they play casino games using international platforms. SWIFT payments can take from one to five working days to receive money. Many players prefer to play casino games in land-based casinos because they hate to wait to cash out their winnings.
But if they use digital coins like Bitcoin, Ethereum or Litecoin to gamble they no longer have to wait because cryptocurrency winnings are transferred into their digital wallets instantly. The blockchain has no middleman so it doesn’t charge extortionate fees for making transactions.
Cryptocurrency transactions are cost-efficient
Digital coins are decentralized so there is no governing body to examine the transaction’s validity. When gamblers use traditional currency, they experience additional fees and costs required by intermediaries like banks. Usually, both the casino and bank pay these fees. Gambling with virtual currencies means that the fees are removed.
According to the experts, it’s expected cryptocurrencies to become the main source of funding for online casinos, mostly because they offer countless advantages. It is also believed that more gambling platforms will accept digital coins like Bitcasino to provide their clients an improved customer experience. So there is no reason for this not to become a bigger trend in the following years.