Online casinos have been a growing industry since the birth of the internet back in the early 90s, and as a concept, they received very little change until relatively recently. Despite this, the market has seen exponential growth over recent years, and that can for the most part be put down to the industry’s embracement of new technology. Previously, it was mobile gambling apps; now it’s cryptocurrency. But how exactly is cryptocurrency improving the online gaming market when compared with casinos that use fiat currency? Well, let’s take a look.
How Are Crypto Casinos Different from Online Casinos?
Before looking at the benefits of crypto casinos, let’s first look at the differences between a crypto casino and a regular online casino. Truth be told, there aren’t many differences between a crypto casino and a traditional online casino other than how you make your deposits and withdrawals, so players are likely to get the same overall experience when playing crypto slots as they would when playing regular online slots. While traditional online casinos use fiat money, which is money designated by the government, crypto casinos, as the name suggests, use crypto currency.
Cryptocurrency is digital money that has an added layer of security by adding encryption to financial transactions. Cryptocurrencies generally operate independently of governments, banks, or other forms of central authority and instead run on networks that are based on blockchain technology.
The Benefits of Crypto Casinos
Security
While there are a number of benefits to the switch to cryptocurrency at online casinos, a major benefit is the increased security of each transaction. Cryptocurrency, while easy to track due to each transaction’s unique identifier code, is impossible to manipulate due to the encryption. Forbes is even claiming that the use of blockchain technology, such as that seen in cryptocurrency, could be revolutionary for cybersecurity. The use of this system and security ensures that digital currencies such as Bitcoin, Ethereum, Tether, and a wide range of others are generally considerably safer and more secure than traditional transactions, as it makes it much more difficult for Internet users to make unauthorised transactions.
Anonymity
Something that also helps with security is the added anonymity that can come with the use of crypto casinos. Unlike a credit or debit card, where the information the casino receives can be linked back to the user, in many cases, when using cryptocurrency, there is no way for the casino to know who they are. No identification is attached to a Bitcoin wallet, for example, and therefore no one can obtain any personal information through the user’s transactions. It’s no surprise that, as with most of the internet, there are some online gambling sites out there that can’t be trusted. Therefore, this is not only beneficial if players just wish to keep some privacy while gambling, but it can also reduce the chances of any fraudulent activity that could be possible if any personal information was somehow obtained.
Quicker Transactions
On the other hand, there are also the improvements crypto casinos have made in their experience. For many, the hardest part of online gambling isn’t the games or actually making a profit, but the hurdles that they must jump through in order to actually withdraw their money. There can be terms and conditions to meet, such as deposit requirements, minimum withdrawal amounts, withdrawal limits, and even fees to pay, before players can even try to access their cash. And then after that, for most standard online casinos, it can take 1–5 business days for players to receive their payouts, which is longer than if players just went to a physical casino. However, by using cryptocurrencies, the earnings can be transferred instantly to the player’s digital wallet since there is no centralised authority for the transaction to go through. While this might not aid with some of the previously listed struggles, it does mean that after all of that, players have immediate access to their earnings to do with as they please.
Cost-Effective
In addition to quicker transactions, the decentralisation of cryptocurrencies also means that there are no added fees from banks for processing the transactions. For example, credit cards often charge fees for use with gambling, as they are typically listed as a cash advance or cash equivalent. Fees can vary between 3% and 5% of the amount being withdrawn, or there can even be higher overall interest rates for cash advances. Gambling with cryptocurrency means that the fees are often reduced or removed all together, saving money for the player in the long run.
Conclusion
While the use of cryptocurrency is often wildly debated, there are many signs of improvement in some of the flaws of the online gambling industry through its use. There aren’t any major differences in the overall gambling experience between traditional online casinos and crypto casinos, with the likes of slots, blackjack, and poker all remaining just as good as ever on both websites and mobile. However, the improvements in the security and efficiency of withdrawals and transactions tackle some well-known issues with the online gambling industry, in particular fraud and the theft of personal information, and the continued integration as technology adapts could see a vast improvement in these areas.
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