It really hasn’t taken long (all things considered) for cryptocurrencies to have a radical effect on online gambling activities. Cryptocurrency casinos are seemingly everywhere right now, and that’s because this integration has generated a lucrative and globally popular new market – who wouldn’t want to be part of this space? And what’s more, unlike traditional casino platforms, crypto gaming platforms are making use of blockchain tech and digital assets to deliver some pretty unique advantages that benefit both players and operators – so it’s no surprise they’re taking off in a big way!
But let’s slow down a moment. Before we start exploring, why don’t we take a look at what the stats say? According to research compiled by Next.io, in 2023, this market was worth a pretty staggering $250 million — and to put that into a bit more context, that’s a reasonably hefty share of the overall iGaming industry (which, in case you didn’t know, is estimated to be worth $93 billion). Of course, it’s the cryptocurrency-based casino projects that attract the biggest audiences, and no wonder!
And since it’s quickly showing itself as one of the defining trends of the online gambling industry in the 21st century, we’ve decided to dive into the cryptocurrency gambling sector in this article, and that includes checking out why decentralized technology has made such a strong impact on digital casinos in particular.
What Are Crypto Casinos Anyway?
Curious? Okay, we admit that the name is rather a giveaway, but in case you’re still wondering – this is an online casino platform where you can use cryptocurrencies to pay for your games and (if you get lucky) take your winnings.
The most popular payment methods at platforms in the space include BTC, as well as the popular “altcoins” Ethereum and Litecoin. A more recent addition to the range of digital tokens now commonly accepted are the so-called “stablecoins,” like Tether and USDC.
While they may differ in terms of technology and accepted payment methods, crypto casinos nevertheless provide all the games you might expect. Currently, this ranges from traditional games like blackjack and roulette right the way through to brand-new titles like the Crash gambling game playable at Thunderpick. That means that whether you’re betting on baccarat or trying your hand at the slots, you’re free to play as normal.
We’ll cover the distinct advantages of crypto and blockchain below. For the time being, here are several features of crypto gaming platforms that differentiate them from fiat currency platforms:
- Anonymity: transactions that are conducted with coins like Bitcoin offer greater levels of privacy than debit and credit cards, etc.
- Transaction speeds: transactions conducted with cryptocurrencies are processed faster than those based on traditional banking methods.
- Low fees: similarly, the decentralized nature of cryptocurrencies results in lower processing fees than the average VISA card spend or bank wire transfer.
- Accessibility: one of the biggest draws, a decentralized currency isn’t based on where you are in the world! Alaska, Poland, Hawaii, Tahiti – anywhere – you can access your currency without having to deal with regional banking restrictions.
The Role of Blockchain in Online Casino Gaming
The iGaming industry itself isn’t exactly a stranger to tech innovation, so what then is so unique about the integration of blockchain and crypto? Well, a blockchain acts as the backbone of any cryptocurrency, but the most famous is arguably the Bitcoin project, so we’ll use that as an example.
Bitcoin’s blockchain is a decentralized ledger system that makes and keeps a record of any occurrence that takes place, whether that’s a value transaction or the creation of a new Bitcoin, across a public network. Each record is placed into a block and linked to previous transactions, therefore forming a chain of blocks, or the blockchain. Structuring transactions and occurrences in this way ensures that they remain secure, transparent and, crucially, immutable.
The Benefits of Crypto Casino Gaming
Whether it’s used to underpin a gaming platform or accepted as a transfer of value at existing casino sites, decentralized technology is more than just a fad and can provide real utility for both operators and players. Crypto can deliver lower operating costs for gaming brands, while its security as a payment method can minimize disputes and save both human and financial resources.
Moreover, established platforms moving into the blockchain and crypto space also stand to benefit from its current trending profile. Die-hard enthusiasts are more likely to gamble at crypto-friendly platforms, while even the average consumer is curious enough about the sector to engage with crypto casino games.
For players such as yourself, the improved processes associated with decentralized transactions means that you can enjoy quicker and more reliable transfers, as well as lower fees. While a standard casino will process your withdrawal or the deposit required via a third-party intermediary, potentially causing delays and extra charges, the nature of cryptocurrency being decentralized removes the need for such procedures.
Additionally, the combination of encryption at a gaming platform with blockchain functionalities means that you won’t have to share your personal or financial information with third parties, increasing not just anonymity but also cybersecurity.
What Should You Know About Cryptocurrency Casinos?
Before you start, though, there are a few pretty important things you should know!
First up, yes, these casinos are popular! They’ve got the same novel appeal that online gambling enjoyed when it first came into being. Current statistics, for instance, show that crypto-based online wagering activities account for 4% of the total global gambling yield (including iGaming and offline activities), which, given just how young the market is, indicates a positive reception.
And crypto casinos sound pretty exciting, right? Well, they are, but if you are planning to start playing at one, there are a few things you’d better understand before you click that shiny “sign up” button:
- Volatility: first up, remember that all crypto tokens are inherently volatile, which could mean that the actual value of any deposits you make or winnings earned can fluctuate in the short term.
- Legality: this can be a touch messy; the laws will vary depending on where you are, so make sure you read up on the regulations in your country (yes, it’s boring, but it does matter)!
- Licensing: crypto or not, any online casino you plan to play at should be fully licensed and regulated by a reputable authority. This applies to non-fiat-based platforms too – don’t be wowed by the shiny attraction of crypto and forget the regulations.
