The Use of Cryptocurrencies in Online Gambling

The world's first digital currency - Bitcoin – came into existence more than 10 years ago. And it has managed to firmly gain a foothold in the financial market. Despite being negative its rate continues to grow and there are more and more people who want to invest in cryptocurrencies.

Today, there are many types of cryptocurrencies showing positive dynamics. The VISA payment system and a number of other financial companies announced the possibility of making the relevant transactions. Even in Las Vegas casinos, there are special terminals to exchange cryptocurrencies, and it will not surprise anyone if digital funds are soon accepted from the casino's customers directly. After Elon Musk's statement about accepting such funds as payment for Tesla electric vehicles, it became clear that the future belongs to virtual money.

The online gambling industry was one of the first to pick up the trend, introducing the possibility of paying for online games like Buffalo Blitz slot online with cryptocurrencies. Leading and new online platforms provide an opportunity to use crypto wallets on equal terms with fiat funds, and some casinos have begun to deal with cryptocurrencies only. Despite certain fluctuations in the capitalization of digital money, online gambling shows a positive trend in the use of blockchain technology.

What blockchain technology is about

Blockchain is a database containing information about all transactions made with cryptocurrency. It does not have a centralized server but is distributed among network participants. Access to such operations is open and transparent, but this does not mean that you can take someone's funds. On the contrary, such openness excludes the corruption component, and only the owner of the key has access to digital money.  

Information consists of an infinite number of blocks, which contain all the data. Information is transmitted via P2P networks, and new data are accompanied by previous ones, excluding errors or substitution. In general, despite the efforts of many enthusiasts to create an alternative tool, no one has been able to come up with a better solution.

Online casinos that operate on the basis of blockchain technology are considered the most reliable and convenient for cryptocurrency transactions. With this innovative tool, users get a number of benefits:

●     absolute anonymity - the absence of intermediaries, such as banks and other financial institutions that track the actions of the wallet owner and can block the payment at any time;

●     high speed of the payment transaction - direct interaction between the casino and the gambler's wallet eliminates payment delays, and also minimizes intermediary services for which interest is charged;

●     no conversion - the cryptocurrency is international, and it is not tied to any country or continent, so there are no conversion fees to pay, while gamblers can play from anywhere in the world.

What is the difference between a crypto casino and a regular online platform?

In fact, crypto casinos are the same gambling establishments, but they accept the digital currency. Payments can be of a mixed nature, that is, gamblers can pay with fiat or crypto money, or an establishment can focus on payments with cryptocurrencies only. Otherwise, the casino provides similar services, including:

●     slot machines;

●     roulettes in various modifications;

●     card tables with poker, Blackjack, and Baccarat;

●     lotteries, tournaments, bonuses, etc.

Despite the use of blockchain technology, gamblers may face scammers online and lose their funds. Therefore, the license and user reviews should be checked before depositing digital or any other currency.

Crypto casinos are in some aspects even more reliable and profitable than regular portals. First of all, it is due to confidentiality.  There are also no records in the bank account statement about using the funds for gambling. Furthermore, virtual institutions that work with cryptocurrencies only do not require gamblers to register and go through the verification procedure to play, for example Archer slot machine, which is a significant advantage for many users.

Another argument in favor of a crypto casino is the speed of the transactions, which are processed in a few minutes, and not hours or days, as can happen with a bank card.

And finally, the ultimate advantage of cryptocurrency is that it can be paid in those countries where there is a restriction or prohibition on payments to online establishments from bank cards. Such, for example, is the United States and China. Having a crypto wallet at their disposal, gamblers can play anywhere in the world, provided that they have an internet connection.

What cryptocurrency do online casinos accept?

Bitcoin is still the most common due to the primacy of capitalization, although many platforms expand the list of used units, such as:

●     Ethereum — it is the second in terms of cost and popularity;

●     Litecoin — it is a derivative of bitcoin;

●     BCash — it is a bitcoin fork with new blockchain rules;

●     Monero — it has the highest level of payment anonymity;

●     Dash — it demonstrates a rapid growth in value;

●     Zcash — it is a promising cryptocurrency that guarantees complete anonymity;

●     Dogecoin —it is a remote fork of bitcoin with high mining speed.

Disadvantages and risks of gambling at crypto casinos

Considering the positive factors, do not forget about certain disadvantages that should be taken into account. First of all, the cryptocurrency has an unstable rate, which is not supported by fiat funds, thus it is very volatile and unpredictable. In addition, the romanticization of digital money regarding their security is exaggerated, since there is still a bare chance that it can be hacked.

Summary

The use of cryptocurrency in online casinos is a promising trend that is only gaining momentum. A large number of gamblers have switched to this type of game; however, classic establishments remain in the majority. Considering all the pros and cons listed above, each user can decide whether to use innovative technologies or not to risk and invest regular money. In any case, the main thing is to choose a reliable platform and be successful in gambling.