The gambling world is rapidly evolving – from online casinos to crypto casinos, this industry has come a long way. Technological advancements are changing the players’ expectations and cryptocurrencies are emerging as the latest winning strategy in the iGaming world. Operators who want to venture into this industry must know about crypto in iGaming industry. In this guide, we will delve into the role of cryptocurrencies in iGaming platform and how it has become a lucrative opportunity for the operators. Let’s talk about it in detail below.
The Growing Popularity Of Cryptocurrency in iGaming
Introduced back in 2009, cryptocurrency has disrupted traditional industries by offering decentralised, digital currency solutions. Since then it has grown in popularity and is now considered to be a legitimate financial asset. In the iGaming industry, cryptocurrencies offer a unique way of handling deposits, withdrawals, and in-game transactions without the need for traditional banking systems.
Today, online casino operators are taking advantage of cryptocurrencies to offer more flexible and secure payment options to their players. Cryptocurrencies enable fast, borderless transactions, which allow players around the world to participate in online games without worrying about currency conversions.
Benefits of Crypto in iGaming Industry
Cryptocurrencies are becoming a game changer for online casinos. Let’s talk about the major benefits of cryptocurrencies in iGaming industry.
Instant Transactions
One of the primary benefits of cryptocurrency is that it makes deposits and withdrawals instantly. Traditional banking systems such as credit, debit cards, and e-wallets typically involve lengthy processing times, especially when it comes to international payments. Thanks to cryptocurrencies where transactions are completed within minutes. This instant process facilitates transactions and enhances players’ experience.
Enhanced Security And Reduced Fraud
Security is paramount in the iGaming world for both players and operators. When players bet on any sports or popular casino games, they want to ensure that their funds are safe and personal information is protected. Since cryptocurrency offers the highest level of security, it ensures all transactions are secure, transparent, and immutable. In fact, once the transaction is done, it can not be changed later, this ultimately prevents fraud and chargebacks.
Low Transaction Fees
Yes, you read it right. Transaction fees in crypto casinos are much lower than in traditional casinos. For instance, traditional payment methods like debit/ credit cards charge high fees for processing payments, especially for international transactions. When it comes to cryptocurrency in iGaming platform, it reduces transaction fees because it doesn’t require the need for banks and payment processors.
Provably Fair Gaming
Did you know what are the most amazing innovations of cryptocurrency? It’s provably fair gaming. Traditional online casinos depend upon random number generators (RNG) to ensure that the games are fair. However, these systems are often witnessed as ‘black boxes’ leaving players unsure whether the game is truly fair or not.
Ever since crypto casinos were introduced, blockchain technology has been excessively used to check the fairness of every game. That’s where a provably fair gaming model is introduced which ensures the level of accountability that is generally impossible with traditional gaming.
Challenges of Cryptocurrency in iGaming Platforms
The adoption of cryptocurrency in the iGaming is making a splash in the industry. However, some challenges need to be addressed. Let’s discuss these challenges below.
Regulatory Uncertainty
The primary challenge of crypto casinos is regulatory changes or lack of clear regulatory frameworks. Since the legal status of cryptocurrencies differs from country to country, many countries are still working to establish rules to introduce for their use in the online casino industry. This regulatory uncertainty can create difficulty for online casino operators who want to offer cryptocurrency payments.
Volatility
The iGaming market is dynamic because digital currencies such as Bitcoin and Ethereum fluctuate a lot. The frequent price changes pose a challenge for both players and operators.
Let’s understand how – for players, the value or amount of their winnings could differ significantly based on the market conditions at the time of withdrawals.
For online casino operators, the value of cryptocurrency payments can majorly affect their revenue and profitability.
To reduce this risk, many online casino operators provide players with the option to convert their cryptocurrency winning amount into traditional fiat currencies like USD or EUR, at the time of withdrawal.
Conclusion
The introduction of cryptocurrencies into iGaming has revolutionised the industry to a great extent. Not only has it enhanced the players’ gaming experience but also helped protect players’ funds and data from fraud. However, it’s important to stay abreast of the industry trends to strive in this competitive market. So, whether you’re already an established business or want to start an online casino, it’s time to bet on cryptocurrencies to be the cock of the walk.
