Connection Between Cryptocurrency and iGaming Industry
Although originating in 2009, cryptocurrency became widespread by 2020, expanding across various other industries. The gaming industry, in particular, has seen rapid change, which can be attributed to the ever-shifting nature of digital payment methods. Since the inception of cryptocurrency, players have also gotten the opportunity to be rewarded for their work with virtual assets and prizes that actually have monetary worth.
Because innovation has always been the best way of retaining clients, it comes as no surprise that the popularity of cryptocurrency impacts the gaming industry, and vice versa. If you are interested to learn more about how cryptocurrency impacts the gaming industry, stick with us and we will find out together!
Benefits of cryptocurrency in iGaming
Cryptocurrency would not have gained such popularity if it wasn’t convenient. It offers an abundance of unique features that fit well with each separate player profile. One of the most attractive features of cryptocurrency is something everyone enjoys: complete anonymity. Opposed to giving out credit card information to online sites, players may remain completely anonymous if they decide to use cryptos instead.
This eliminates the possibility of credit card theft or payment fraud, making transactions more safe and secure than ever before. Moving on, transactions are completed almost instantaneously, which is perfect for the fast-paced world of online gambling. Cryptocurrency allows gamblers to deposit or withdraw payments on-the-spot, which gives them more precious time to spend on gambling and earning more rewards. That is precisely the reason why Bitcoin gambling became so popular.
Another interesting and appealing feature is the fact that the fees for these kinds or transactions are notably lower than with other payment methods. Cryptocurrency also provides much greater flexibility to players. Crypto transactions can be completed from anywhere in the world. They are easily accessible to everyone, regardless of geographical location. Because of this, players need not worry about exchange rates. This means that they won’t have to jump through any additional hoops, like they would if they used fiat currency.
Most popular cryptocurrencies for online gaming
Since the inception of cryptocurrency to this day, we have seen the emergence and subsequent demise of numerous cryptocurrencies. This is why some people may still be skeptical about the whole ordeal. We have reviewed and analyzed some of the most popular and powerful cryptocurrencies to make a comprehensible list of the most popular ones used in iGaming.
Undoubtedly, the most prominent and most popular currency used in online gaming is Bitcoin. It has become so wide-spread, that there is a whole niche of gaming particularly for Bitcoin gambling. The biggest appeal of this cryptocurrency is that it provides a swift and easy peer-to-peer payment system, which eliminates the need for any third-party involvement.
Since it is absent of any government monitoring or involvement, it has become the perfect method of payment for many online gamers. Some online sportsbooks even encourage the use of cryptocurrency over fiat currency because of its seamless transactions which offer mutual benefits to both providers and consumers. Apart from Bitcoin, other cryptocurrencies available for use include Ethereum, USD Coin, Tether, Dogecoin, Litecoin and Cardano.
Disadvantages of Cryptocurrency to consider
As with everything in life, cryptocurrencies have some disadvantages when it comes to their use. Most cryptocurrencies use blockchain technologies to enhance security of funds and transactions. Because of this blockchain technology, most crypto transactions can technically still be traced in a way.
For example, Bitcoin stores all of its transactions publicly on the Bitcoin Network, precisely because there are no third parties such as banks involved. This means that anyone can see anyone’s transactions. But wait, did we not say everything is anonymous?
Well, it is since the information given cannot be directly linked in any way to anyone’s identity. Another major setback for a lot of players is the uncertainty of cryptocurrencies’ legal status. As mentioned above, many countries and governments still do not recognize cryptocurrency as an approved method of payment. But you can not really break the law if the law does not exist in the first place, which is why crypto is still considered to be in the gray area of law.
Moreover, most cryptocurrencies don’t offer refunds or cashbacks because they have no such policies established. This can prove to be a problem to some players because scams still exist and are unfortunately still prevalent in the gaming industry.
The popularity of cryptocurrency will most likely only continue to grow, expand and adapt with other industries and technologies. We have discussed the most important benefits of cryptocurrency and how it is tied to the gaming industry. Because of the speed of transactions and the lack of third-party or government involvement, cryptocurrency has become one of the most popular methods of payment when it comes to online gaming.
Although there are still some disadvantages to this method of transaction, all the benefits it offers to online gamblers and gamers outweigh them significantly. Since cryptocurrency has only been around for about 10 years, it is safe to assume that it will continue to develop and grow, finding better ways to adapt and improve the user experience, especially when it comes to gaming. Online gaming and cryptocurrency go hand in hand because of the way in which these currencies are designed. They are becoming more and more tied to one another, so numerous further improvements are sure to come.