Creativity and forward-thinking innovation are two of the biggest reasons why the gambling industry rubs shoulders with some of the biggest industries in the world. Instead of turning away from technology and ignoring the substantial, inevitable societal changes that the internet, cryptocurrencies and AI promote, many innovators within the sector are looking at ways to implement these advances into their casino designs. However, we appreciate there can be some initial scepticism when you first explore subjects such as Bitcoin and blockchain technology and how they impact traditional casino gaming.
Things You Need to Know About Crypto Casinos
When a new technology emerges onto the scene and gains traction in the way cryptocurrency casinos have, gamblers quickly recognize the associated convenience. Cryptocurrency casinos allow you to play all the games you would usually play at a traditional casino – but with the added innovation of using your digital assets such as Bitcoin. We’ll list the pros and cons so you can see for yourself which elements might benefit you and enhance your gaming experience.
New crypto casinos are the most pioneering development in casino gaming since the advent of traditional online casinos over two decades ago. Although the initial adoption of this casino gaming method has been relatively slow, this is often the case with new technologies.
Ultimately, it may take years for people to come around to the advances and benefits of the technology, and cryptocurrency casino operators are quietly optimistic that once people experience the positives of playing poker, blackjack, roulette and slot machine games via this convenient new method, they will see a considerable exodus of people moving from traditional casinos to cryptocurrency-based sites.
Pros:
Fast Payments
The primary purpose of Bitcoin is to remove the need for a traditional bank to handle your payment. If you send money to somebody you know via crypto, you just connect your wallet directly. Instead of using a bank to handle it, you cut out the middleman and do it yourself, and the whole transaction is verified and authorised on the blockchain.
While traditional banking systems rarely cause issues, we know how frustrating it can be when they do. If you’re looking to have a game of blackjack or poker, and the bank freezes your transaction, it can sometimes take days or weeks of contacting them to get them to allow it through. However, with cryptocurrency, this isn’t a problem. You send your money and the blockchain records proof of your payment; nobody can amend it and the transaction goes instantly from wallet to wallet.
Increased Online Anonymity
Increased online anonymity is crucial because it protects your information from a security perspective. While it’s more or less unheard of that a traditional casino has been subject to a hack and that thousands of credit card and personal details have been accessed, if it did happen, this would be a serious issue for both you and the casino.
However, you don’t need to send copies of your driving license or credit card information to a cryptocurrency casino, nor do you need to provide other confidential information such as your address, date of birth or further identifying details.
So, in the event of a security breach, there’s no information that a cybercriminal could access that would compromise your funds. Your wallet address is public anyway, as are all the transactions you have performed, but nothing connects you personally to give away your identity.
Increased Bonuses With Deposits
Promotional codes and welcome bonuses are the most effective way casino companies attract new clientele. This is the same regardless of whether it’s a traditional online casino or a cryptocurrency site. However, to incentivise and get more people on board with Bitcoin casino gaming, more providers are pushing the boundaries and offering better bonuses for those who explore the range that Bitcoin casinos provide.
These bonuses stretch from no-deposit bonuses to allowing you a number of free spins when you deposit a specific amount of Bitcoin. As crypto casinos grow in stature and visibility, you can also use other cryptocurrencies to gamble, so it’s a good idea to check out the casino you select to ensure you can use your chosen crypto to play your preferred games.
Cons:
Lack of Regulation
The idea of Bitcoin emerged as a competitor to traditional banking systems. Despite some harsh regulatory conditions in America, some institutional investment companies remain optimistic that the floodgates for mass adoption will occur once the SEC approves several Bitcoin ETFs, which should bring vast sums of institutional liquidity into the market.
America lags behind a number of other countries when it comes to regulation, though. Countries such as the United Kingdom, the United Arab Emirates and El Salvador have a clear set of rules and regulations that allow cryptocurrency companies to flourish. The issue with regulation is that crypto casinos are also subject to gambling laws, so the situation can get messy. Some countries are more than happy to have cryptocurrency in the country, but no gambling, which also works in the opposite direction.
However, there appears to be enough momentum at the moment within the gambling industry as a whole to make cryptocurrency casinos a viable alternative. We tend to focus on America because it is the world’s most prominent economy and has recently changed many gambling laws, bringing millions of new players to the market. If these changes and cryptocurrency regulations become favourable, it will benefit casino players and cryptocurrency investors in general; this could be the catalyst that propels crypto casinos to a new level.
Limited Availability
As it stands, traditional online casinos are still the dominant force in the industry. This is to be expected – they have established themselves in the market over the last 25 years and have used their reach to expand into all areas of casino gaming. The previous two decades have created immeasurable success in the industry for those casino providers and companies that got involved and spotted the trend earlier than their competition.
Adoption has been slow but the overall progress is steady, which is the most important factor. The uptake is growing every year, helping the number of available cryptocurrency casinos reach new heights. However, the fact is that their numbers are nothing compared to traditional casinos, and limited availability and lack of choice can be factors that cause new casino players to opt for conventional casinos instead.
Volatility
It’s no secret that the price of cryptocurrencies like Bitcoin is subject to colossal volatility. Bitcoin can double in price within a year – and then drop by 70%. Nobody knows how the market will move. Although the action in the first half of 2023 has been relatively steady compared to previous years, the market is nowhere near as regulated as stocks and forex, creating wild price action.
Some people see volatility as an opportunity, and if you deposit your Bitcoin, win a bet and the price of Bitcoin doubles while you’re holding it, this is a multi-win. However, Bitcoin can also drop so rapidly that even if your bet wins, the actual value you’re holding can depreciate, so while there are a lot of positives to consider, you must also weigh up the drawbacks.