Why Crypto Sports Betting Is Taking Over

This content was produced in partnership with Bazoom Group.

Cryptocurrencies are gradually transforming the casino and sports betting industry, changing the way people play games and bet on sports. There is now a noticeable acceptance of cryptocurrencies in the casino industry as providers gradually embrace some of the world’s popular digital assets. These changes are likely because service providers are noticing some of the exciting benefits and advantages of cryptocurrency and blockchain technology.

For instance, sports lovers who enjoy getting in on the action are no longer restricted to fiat options and can find several crypto gambling platforms. These sportsbooks support multiple cryptocurrencies, including Bitcoin (BTC), Ether (ETH), USDT, and several meme coins. However, users must be careful depending on their state of residence as sports betting is only legal in just over 30 states in the US (source: https://99bitcoins.com/best-bitcoin-casino/best-crypto-sports-betting/).

The explosion in the popularity of digital assets began when the anonymous Satoshi Nakamoto launched Bitcoin in 2009. The world’s first major cryptocurrency was introduced as a decentralized digital currency that allows people to initiate and receive peer-to-peer transactions without any intermediaries. Bitcoin is also built on blockchain technology, which promises heightened security and transparency, and ensures that transactions are decentralized. Although acceptance took a while, cryptocurrencies are now disrupting many industries, introducing solutions to limitations faced by traditional methods.

The gambling sector has benefited significantly from the disruption spurred by cryptocurrencies as digital assets are used to improve the average gambler’s general experiences and streamline casino operations. In general, crypto gambling and sports betting offer players several advantages, including the following.

• Accessibility: Digital assets have made gambling much more accessible. The introduction of online gambling increased the accessibility of casino games because people could enjoy the same offers on the go or in the comfort of their homes. Nonetheless, crypto gambling expands this accessibility because it opens gambling to a broader range of audiences.

  Casino players generally rate service providers using several metrics, including the payment and withdrawal options supported by a platform. Adding cryptocurrencies to any platform’s list of supported options attracts more people, especially crypto community members who are not interested in converting their crypto to fiat.

  In addition, casino operations are sometimes restricted by traditional banking systems and regulatory limitations. Digital assets help to solve this problem by simplifying all betting and operational processes. This means that anyone with some crypto can join an online betting platform and participate in tournaments, with an internet connection and an enabled device as the only requirements.

• Transaction Speed: Traditional finance transactions are usually slow because several intermediaries are required for processing. Although online casinos sometimes support third-party wallets that help solve this problem, funding these wallets may take long periods, especially when done via bank transfers or credit cards. With blockchain, transactions are processed almost immediately because the payments are mostly peer-to-peer.

• Low Transaction Costs: Blockchain transactions are very cheap for the same reason they are fast. Players benefit from initiating and completing blockchain deposits and withdrawals within seconds because there are no intermediaries who would typically charge a percentage of the funds as a processing fee. The low cost allows players to take full advantage of their bankrolls, losing next to nothing to these charges when depositing or withdrawing earnings. In addition, the cost-effective transactions reduce the platform’s overhead costs, allowing the service providers to offer customers a high return-to-player (RTP) percentage.

• Security: Recording deposits, withdrawals, and bets on the blockchain protects all parties to a transaction. The immutable nature of the public ledger means that confirmed transactions cannot be altered or erased. This feature adds to the security and transparency of the entire sports betting process, building user trust. At any point, any user can verify transaction fairness, ensuring there is no manipulation on the casino’s part.

• Bonuses: Crypto casinos usually offer users much higher bonuses and promotions than traditional platforms. Since adding crypto support generally frees up casino funds, players enjoy higher welcome deposits, competitive deposit matches, and even free bets denominated in cryptocurrencies. This helps to improve a player’s experience at a sportsbook and may see users become more loyal to the casino.

• Better User Experience: Cryptocurrency integration with sportsbooks improves user experience overall. The blockchain supports innovation, allowing casinos to introduce innovative betting options and invest in intuitive features. The distributed nature of the blockchain also ensures that new features remain transparent to the casino and the players, reducing the risk of manipulation or fraud.

Highlighting the major perks of crypto gambling makes it easy to compare crypto sports betting platforms with traditional sportsbooks. Financial transactions are faster on crypto platforms since conventional banks, e-wallets, and credit cards are not needed. Transactions are also cheaper using blockchain technology.

Another point of comparison is the privacy gamblers enjoy on crypto sportsbooks. The blockchain protects all transactions and keeps each bettor’s details private. Although data on a decentralized blockchain is available to the public, no one can access personally identifying information.

Despite all the exciting benefits of integrating sports betting and cryptocurrencies, service providers and users must note a few considerations that may pose challenges to the industry. For instance, digital assets are unstable as their values can fluctuate significantly in a short period. This supports speculation, an important feature for cryptocurrency traders and investors looking to benefit from the price swings. Unfortunately, the fluctuation can be bad for the crypto sector as it affects the value of player winnings and bets.

The crypto gambling industry also has to worry about the ever-changing regulations. Several jurisdictions enforce differing crypto laws, which can affect crypto betting and prevent global adoption. The uncertainty can be difficult for users and operators because while one jurisdiction may completely ban crypto, the other may allow restricted use. Until global authorities adopt a similar standard of regulation, the crypto betting sector may be stifled.

There are several reasons to believe the future of crypto sports betting is promising. As adoption increases, use cases of digital assets are also likely to expand, benefitting the crypto gambling industry. As this happens, developers will create more smart contracts and decentralized applications (dApps) to improve scalability and enhance gameplay. Furthermore, the expansion of crypto sports betting may influence collaborations between the traditional and crypto sectors such that both sides of the divide can complement each other. However, for these to happen, developers must simplify cryptocurrency and blockchain interfaces so that educating newbies is easier and interested parties who may be inexperienced are not discouraged.

If you or anyone you know has a gambling problem, call 1-800-GAMBLER.