Cryptocurrency has seen a massive rise in popularity in recent years. Naturally, this trend has made its way to the iGaming industry. The two markets blend well to bring an even more straightforward experience to online gaming enthusiasts. Here, you can find out what cryptocurrency for gambling is, and how it benefits the iGaming industry and its customers.
What is Cryptocurrency?
Cryptocurrencies are a form of digital money. It only exists online and can be exchanged, sold, or transferred through online sites. It is created by the use of computer coding and doesn’t exist as a physical currency. As of March 2020, 1 Bitcoin is worth about 22,000 Polish Złotys. (That’s around $5,400 USD.)
The original cryptocurrency developed in 2009 was Bitcoin. This is still the most widely-used digital currency. There are thousands of other cryptocurrencies available, with more appearing all the time. At the current rate, more and more variations of digital currency will continue to appear.
Cryptocurrency Jargon Buster
- Exchange – This is anywhere that you can buy or sell cryptocurrencies. Exchanges for digital currencies operate through various websites.
- Altcoin (Alt) – This refers to any form of digital currency that isn’t Bitcoin.
- ICO – An abbreviation for Initial Coin Offering. This is when a new cryptocurrency enters the marketplace and becomes available to the public.
- Market Cap – This term represents the total value of an individual cryptocurrency.
- Blockchain – This is the technology used by significant cryptocurrencies to manage the currency. The blockchain will show all transactions of that particular currency. These ledgers are secured using cryptography and stored in copies on thousands of servers worldwide.
- Wallet – This is where you will store the various keys you need to access your cryptocurrency. You can have an online wallet or a hardware wallet in the form of a specialized USB.
How Does Cryptocurrency Benefit the iGaming Industry?
More and more online casinos are offering Bitcoin or altcoin currencies as a payment method. Some casinos exist for gambling cryptocurrency. There are several reasons why blockchain gambling is so popular, especially for online gaming.
The main benefit for players is the privacy and security provided by blockchain gambling. When using Bitcoin or altcoins, there is no need for the disclosure of any banking information. If players choose to use a fake name and burner email, they can avoid entering any personal data.
Transactions directly from cryptocurrency wallets are generally quicker. There is no need for banks to review or authorize the payment. Also, transactions are more secure from hackers. And fraudulent activity can be monitored easily, as well.
Offering blockchain betting also has a few benefits for online casino operators. The significant difference is the time it takes for a site to go live. It can be as short as two weeks for a crypto-gaming website to launch. Traditional casinos may take up to three months to get approval for various payment methods.
Sites also have to pay third-party providers when processing online payments. For crypto-gaming sites, the extra expense of third parties isn’t necessary. This is why sites solely for gambling cryptocurrency have seen a significant increase.
Using Cryptocurrency for Online Gaming
An increasing number of online casinos are offering cryptocurrency as a deposit method for online casino games. There are a few things to consider when finding a suitable blockchain gambling site.
Different online casinos will support various types of digital currency. Make sure that the site you are using offers the crypto that you usually use. You should also check that you are still eligible for welcome offers or other online casino game bonuses when gambling cryptocurrency.
Ensure that the site you’re looking at offers casino online free from trusted and reliable providers. These will include companies such as NetEnt, Microgaming, IGT, and other notable names.
While cryptocurrency gambling is already a more secure method, it’s still important to check the security measures of the casino. The casino should always conduct transactions through encryption software. And the casino should store any information you give on a secure server.
The information here was found following pointers from author Eliasz Nowak. He’s a healthcare receptionist by training, but his goal in life is to create a better-informed betting audience and to help people connect to the right casino brand.
Cryptocurrency and related technologies are a rapidly growing industry. Consequently, more and more online sites are offering transactions via Bitcoin or other digital currencies. And the iGaming industry is no different.
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