Online gambling is one of the leading tech industries in the world. While many assume that it is purely a games industry, it actually depends on the latest IT technologies in order to remain progressive and on the cutting edge, ensuring that it maintains its multi-billion dollar revenues.
In the same way that gambling has evolved from the land-based casino model to the digital model, so money and payments have traversed the great divide from ordinary fiat currency to digital currency. Today, online casinos accept a wide variety of payment methods, including cryptocurrency, which is the latest innovation in digital payment solutions.
This is good news for Bitcoin holders and crypto investors, who are given the opportunity to make their digital currency work for them in the entertainment market. The acceptance of crypto by certain casinos has increased the reach of the gambling market worldwide.
Cryptocurrencies, like Bitcoin, Litecoin, Etherium, Dogecoin, Torrent and others have become prominent tokens at some of the best crypto casinos out there, such as Bitstarz, Bitcasino, Casoo and King Billy Casino. It has paved a way for the blockchain to test itself in a highly competitive service market. All of the above-mentioned casinos have managed to use the crypto protocols to their and their player’s advantage while maintaining a secure and trusted environment focused on responsible gambling practices.
We highly recommend placing your Bitcoin deposit at one of these sites.
What are Blockchain and Cryptocurrency?
A cryptocurrency is a form of digital currency that is mined on the internet by specialised computers that hash out algorithms online. These algorithms have been made extremely valuable by investors and have gained monetary value as a result – hence the ability to gamble with it.
Bitcoin and other altcoins are stored on a register called a blockchain, which is a decentralised server spread over many nodes across the world. This means that they are not under the control of any one party. As a Bitcoin owner, you transfer your digital cash to the casino directly via the peer to peer service without it being handled by any third parties.
The innovative genius of this monetary product has made it a viable currency for the gambling sector, causing many operators to accept payment via your bitcoin wallet. Some online casinos have even gone so far as to trade exclusively in cryptocurrency.
There is a range of reasons why digital currency, like cryptocurrency, is better suited to digital gambling platforms. There are several advantages that simply cannot be overlooked. These include:
Security: Blockchain currency is far safer than regular centralised currency because there is no single server that can be hacked. The nature of the blockchain makes it virtually impossible for transactions to be reversed or defrauded in any way. Only the key holder can transfer funds. Once the funds have been moved, a detailed record of the transaction will be registered on the blockchain for all to see. This is the perfect proof of payment.
Speed: There is no faster way of transferring currency than with crypto. Because KYC protocols need not be carried out for cryptocurrency, the process for payouts at the casino is streamlined, oftentimes concluded in mere minutes after your withdrawal request is made. Once the funds are released, they will reflect on the blockchain within minutes, as there are no trusted third parties involved in handling the money and holding up the process.
Cost: Bitcoin transactions are far cheaper than normal money payments for two reasons. Firstly, no middle man (bank or broker) means no added costs. Secondly, cryptocurrency is universal. The Bitcoin in the USA has the same value as the Bitcoin in England. It’s all controlled over the same blockchain network, which means that there are never any associate foreign exchange costs involved.
Privacy: Cryptocurrency is not linked to a personal bank account in any way, hence it is not tied to any one private individual. Whoever has the public and private keys in their possession is in sole control of the money. Because most bitcoin casinos are unregulated, they will allow players to gamble under a username, rather than their true identities. This gives players a degree of privacy and anonymity.
Provably Fair: When playing slots designed for the Bitcoin casino industry, you may stumble across provably fair versions, where each spin and result can be scrutinised for fairness. Some casinos will allow players access to the open-source code to watch how random the algorithms are in the software. It proves that the casino is not rigging any of the results.
The future is bright with blockchain technology on the rise in the gambling market. Even regulators, such as the Malta Gaming Authority have seen the merit of upholding such gambling initiatives and are one of the world leaders in the race for regulated Bitcoin gambling.
It only seems right that a digital platform (online casino) be paired with another (blockchain) to render the most advanced online entertainment experience. For more on the Cryptocurrency Gambling topic, we advise that you read our WOW guide on Bitcoin.