According to experts, online gambling is growing at a rate that is thrice the rate of growth for the world’s GDP. That’s a significant number. Better yet, it’s a number that figures to continue increasing due to the ongoing universal acceptance of online gambling as a viable form of adult entertainment.
In just the last 12 months, the US has seen four states (Delaware, Nevada, New Jersey and Pennsylvania) approve online casino gambling for its residents. In the near future, as many as 10 other states may join the fray with many others waiting in the wings to take advantage of the available tax revenues from online gambling operations. Why is this important? The US just happens to be the 2nd largest gambling market in the world.
What Gamblers Want?
Online gamblers are fickle people. They are more than happy to gamble into the teeth of a house advantage that is unrelenting. However, they are always looking for ways to make their online gambling experience more efficient, cost-effective and exciting.
In recent years, gamblers have been pushing for the ability to transact business with online casinos, using cryptocurrencies like Bitcoin. Some online operators in some jurisdictions have been able to oblige. But it’s far from the numbers online gamblers would like to see.
Whether it’s perception or reality, gamblers believe there’s distinct advantages of using digital currency. This is being tracked with blockchain technology. The following information will investigate the potential advantages of using cryptocurrencies as an online casino banking option.
The Advantages of Using Cryptocurrencies for Online Gambling
As a point of reference, here’s a description of the blockchain technology. This is applicable as a platform for transacting business with cryptocurrencies:
Blockchain is a distributed database or ledger spread over a network of electronic devices where records of cryptocurrency transactions are kept, away from revision or from tampering.
For the layman that may not be tech savvy, Blockchain essentially eliminates the “middleman” processors like banks and credit cards companies. It serves as a digital tracking system for direct transactions between two private parties. While there have were hacking issues, it is still one of the more secure system. When compared to any of the other currency tracking systems currently in use.
Why would this appeal to online gamblers? Well, there are at least three very distinct advantages online gamblers would realize from using cryptocurrencies as a banking option. Let’s look a little deeper.
For several decades now, online gamblers had legitimate complaints about the delay issues. This was presented by online casinos trying to process credit card and eWallet transactions. While credit transactions are usually deposited in an acceptable amount of time, withdrawals are an entirely different issue.
By the time an online casino does its withdrawal due-diligence regarding the available balance and the customer’s identification, days have passed. Crypto currency removes the need for the due-diligence process. Withdrawals process just as quickly and efficiently as deposits because the necessary due-diligence is available in the customer’s crypto account.
The service fees charged by credit card and eWallet processors are almost criminal. Wire and Western Union fees are just as bad. By eliminating the need for any level of transaction processing, cryptocurrencies are exchangeable between private parties at little to no cost.
By using cryptocurrency, a customer need not provide an online casino with anything more than a name for the customer’s gambling account. Until legislation catches up with the process, the anonymity afforded a crypto user will allow them to avoid tax liabilities in certain jurisdictions. Additionally, the customer can gamble privately. This is a huge benefit for high rollers that prefer not to disclose their identities.
To summarize, there’s significant advantages related to online gamblers using cryptocurrency as a preferred method of transacting business with online casinos. As the industry continues to expand, we expect to see changes in this realm. Until then, it’s all-systems-go in online gambling jurisdictions that allow the exchange of cryptocurrencies.
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