Cryptocurrencies have revolutionized the financial landscape of many industries so far. Recently, we have noticed an upper hand in cryptocurrency in casinos and iGaming platforms. Most iGaming platforms today accept several cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), Tether (USDT), USDC (USDC), Dogecoin (DOGE), and Shiba Inu (SHIB) among others.
Even though the iGaming platforms have not stopped accepting fiat currencies and conventional payment methods altogether, they prefer and promote crypto payments more. As digital assets are becoming more mainstream, you need to know why this shift is happening in the iGaming cryptocurrency, especially if you are a stakeholder or an enthusiast of iGaming.
What Are iGaming Platforms?
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iGaming platforms are essentially online betting shops that let you wager on the outcome of a game or an event. The term describes a broad concept that includes subgenres such as online sports betting, poker, casino games, online lottery, and more.
iGaming is one of the fastest-growing industries with an estimated yearly worth of $66.77 billion. As the iGaming platforms are easily accessible through the internet, it is blurring the geo-restrictions that the traditional betting places were facing. That being said, iGaming platforms and online casinos are still restricted in some jurisdictions and countries.
Users can bet on events and games by using real assets including fiat currencies and cryptocurrencies. The rewards you win can be also withdrawn as fiat or cryptocurrencies. While traditional payment methods such as credit/debit cards and digital transactions like PayPal are still prevalent, the usage of cryptocurrency platforms is increasing exponentially.
iGaming Platforms Are Adopting Cryptocurrency Payments
Anyone who has been closely associated with iGaming platforms will know that there is a significant shift in how cryptocurrencies are used in the industry. Most of the traditional payment methods are pushed to the back as digital wallet-based cryptocurrency payments are rising due to the convenience and sense of anonymity it can bring onto the plate. Cryptocurrencies can also offer a high level of security that a traditional payment method lacks.
It is also noteworthy that most of the iGaming platforms today are accepting a variety of cryptocurrencies including Bitcoin, Ethereum, Litecoin, stablecoins, and meme coins these days, regardless of their volatility and price variations. As cryptocurrencies are becoming more mainstream, this trend of using cryptocurrencies for gambling is expected to rise.
Benefits Of Using Cryptocurrency In iGaming Platform
We can pinpoint this growth of cryptocurrencies in iGaming platforms to key characteristics of cryptocurrencies such as universal acceptability, pseudonymity, convenience, lower transaction fees, better security, etc. Let’s explore the benefits in more detail:
Global Acceptability
One of the major drawbacks of fiat currencies is that it has geo-restrictions. Certain fiat currencies won’t be accepted in international iGaming platforms. Additionally, the value of the fiat currency can also change. However, cryptocurrency does not have geo restrictions and it retains its value across the world.
The modern iGaming platforms are providing their services across borders. They are expanding their markets to bring in more users, that did not have access to gambling platforms in the past. This is one of the major reasons why iGaming platforms are actively adopting crypto payments.
Faster Transaction
Transferring cryptocurrencies from the wallet to the iGaming platform is more efficient and faster than traditional methods such as bank transfers, and even card payments. You do not have to go through a centralized authority and wait for their confirmation.
The swiftness in payment is vital for ensuring a better user experience. Offering optimal user experience is vital for the sustainability of any iGaming platform. So, better transaction speed also plays a role in improving the acceptability of cryptocurrency in an iGaming platform.
Security
Cryptocurrency works on blockchain technology that uses consensus mechanisms and cryptography, to make it immutable and secure. Every transaction over the network is recorded on a distributed ledger, which is an added advantage in comparison to conventional payments.
Cryptocurrency transactions are almost impossible to manipulate, reducing the possibility of fraud. This security increases the trust between iGaming platforms and the players, without having to verify government-issued identifications.
Privacy
Cryptocurrency transactions are carried out through direct wallet transactions, that usually do not require the user to declare any of their actual information, other than the wallet address. This enhanced privacy and pseudonymity is one of the pillars of cryptocurrencies. This allows the users to freely interact with iGaming platforms that support payment and withdrawal with cryptocurrencies.
In comparison, almost all other means of payment such as credit/debit cards, account transfers, and wire transfers, would require the user to reveal their personal information such as the full name in some capacity.
What Future Holds For Crypto iGaming Platforms
As the usage of cryptocurrency transactions is being normalized in various industries, it is safe to assume that the iGaming platforms that allow users to deposit and withdraw crypto tokens will have a longer life than the ones that do not. They will be able to find a wider audience base regardless of the conventional geographic boundaries. This is important for increasing the profitability.
Additionally, cryptocurrency payments have better security, speed, and reduced transaction costs can benefit both the iGaming platforms and the users mutually. As blockchain technology improves with constant updates, offering cheaper and faster transactions digital currencies will continue to dominate the iGaming world.
So, if you are an iGaming operator or planning to build one, you should consider adding cryptocurrency to the payment methods. And if you are someone who is looking to wager on some fun games and events, it is better to have some popular cryptocurrencies at your disposal. It can help widen your choices and diversify the platforms you can participate in.
Also Read: How To Spot And Avoid Cryptocurrency Scams?
Conclusion
iGaming platforms are online destinations for betting and wagering on various events and games such as blackjack, sports betting, casinos, and more. They are breaking the conventional geographic borders of a traditional Casino by offering cryptocurrency deposits and withdrawals.
As cryptocurrencies are becoming more mainstream, more iGaming platforms are adopting them. In this article, we have examined why this shift is happening and what the benefits of using cryptocurrency are.
