Since the launch of the first digital currency a decade ago, cryptocurrencies have gradually gained popularity over the years owing to their decentralized nature. Many industries accept cryptocurrencies as a transaction currency, although they are yet to go mainstream.
The online gambling sector is one industry that embraces cryptocurrencies giving birth to what is known as crypto-gambling. To understand how crypto gambling works, you need to note a few things about cryptocurrencies.
Cryptocurrencies in a nutshell
As they are popularly known, Cryptos are digital currencies meant to make online payments anonymous. You might recognize bitcoin, whose popularity arises from the fact that it was the first cryptocurrency to be discovered by an unidentified person named Satoshi Nakamoto.
Since 2009, more than 1000 cryptos such as Ethereum, dogecoin, litecoin, etc., have saturated the market. But their value fluctuates significantly, making its future shaky. Cryptos are like casino chips or tokens that customers can use to buy goods and services in many ways.
The unique thing about cryptos is that they are based on a unique technology called blockchain, which is decentralized. Decentralized means free from intermediaries such as banks, and it is publicly accessible to everyone. The technology records all the transactions made using the cryptocurrency, providing high security and anonymity.
The high security and anonymity of using cryptos attract many users considering that online payments are highly susceptible to hackers. While online payment systems may prevent some users from opening accounts in online casinos, the anonymity cryptos offer gives them much-needed convenience since no personal data is required when transacting in cryptos.
What are crypto casinos?
Armed with your knowledge of what cryptocurrencies are and how they work, now you can easily understand what crypto casinos are. Crypto casinos allow users to use cryptos such as bitcoins to gamble and receive their winnings using the same medium.
Like how you would fund your gambling account using a convenient payment method such as a debit card, you can use cryptocurrencies to gamble in a Vegas casino online. Many players favor crypto casinos because they provide anonymity and security for online gambling.
How crypto gambling works
When transacting with cryptocurrencies, every transaction is recorded in a public ledger free from third-party alterations and secure. Although the concept of crypto gambling can be complicated to understand, it is primarily based on decentralized payments eliminating third parties such as banks and other financial systems.
You must give your details when funding your account in all online casinos. Online casinos do that to meet going regulations and mitigate specific issues around financial transactions such as money laundering. However, many players feel uncomfortable providing their personal information with the rising cases of online hackers in the digital era.
Since cryptos are anonymous, you can use them to fund your gambling account without having to give your sensitive data. Cryptos are also based on secure blockchain technology, making your online transactions more secure and safe.
Advantages of crypto casinos
Although cryptocurrencies are still far from mainstream and risky due to their high volatility, they are more advantageous than traditional payment systems. Here are the advantages of crypto gambling.
Low or no fees
Cryptocurrencies are decentralized, which eliminates intermediaries such as banks. Therefore, you incur low or no transaction fees when transacting in cryptos because no one stands to benefit from high transaction costs. In most crypto casinos, the transactions are free, which is quite an advantage for a gambler who wants to make the most out of every bet.
Some fraudulent gambling platforms have been associated with sensitive data hacking, which they sell to third parties. The idea of giving your financial information when funding your gambling account is also enough to put you off. Thankfully crypto casinos provide a safe and anonymous way of funding your account, so you don’t have to worry about giving out sensitive data. Also, crypto gambling casinos are transparent, creating a safe gambling environment.
Like other financial products in the market, cryptos follow the rule of supply and demand. As more people use cryptos such as bitcoin, demand rises, and its value increases. When gambling with cryptos, you can either withdraw your winnings in the form of crypto or exchange them for fiat currencies such as dollars. Assuming the specific crypto’s price continues to rise, you have an added value for gambling with cryptos.
As cryptocurrencies grow in popularity, more crypto casinos offer players substantial welcome bonuses to encourage more secure crypto gambling. The more bonuses you can get, the more you can improve your gameplay and the higher the chances of winning. Luckily, crypto casinos offer lucrative bonuses and promotions to attract even crypto skeptics.
Crypto casinos are the new big thing which is why you should care. It is based on the decentralized nature of crypto payments which provides a safer, secure, and transparent gambling environment. Financing your gambling account with cryptos is even better because you don’t have to worry about giving out your sensitive data online, reducing your susceptibility to hackers.