Crypto Is Reshaping The Gambling Industry: What You Need To Know

What was seen as a fleeting trend a couple of years ago has now been established as a fundamental part of online gambling: cryptocurrencies. Since the launch of Bitcoin in 2009, the world of digital payments has been established and influences not only financial markets but also industries across the world. The gambling industry states that more and more online casinos are starting to integrate crypto payment methods, which allows for safer and faster gambling experiences.

From Niche Phenomenon to Global Standard

Not so long ago, cryptocurrency was still a niche phenomenon used only by techies and start-ups. Today, cryptocurrency is widely accepted and is finding its way into the gambling scene. There is hardly a market left today that does not accept payments with a handful of cryptocurrencies, such as Bitcoin, Ethereum, Litecoin, or stablecoins like USDT.

Now, many other international gambling platforms offer the classic casino games like blackjack, roulette, and slots, blockchain-based based which offer better fairness standards. According to industry expert Alex Benfield, many Canadian crypto casinos offer anonymous play, fast payments, and high security standards. However, not only in Canada but also internationally, crypto casinos are becoming more popular. Players turn to crypto casinos as they often can afford to offer more generous bonuses.

Benefits for Gamblers across the World: Speed, Freedom, Control

One of the biggest advantages of crypto gambling is speed. While traditional payment options like credit cards and bank transfers can take up to a few business days, crypto payments can be made instantly. However, it's not only about speed, but also about accessibility. Especially for international players from areas with restricted banking systems or unstable currencies, crypto transactions offer a way to pursue their hobby.

Many players shy away from online gambling because they don’t want to share sensitive data. As crypto casinos usually don't require a lengthy verification process where players need to share their details, these casinos are becoming increasingly popular. Players who like to stay anonymous can use their crypto wallets, with no ID checks and no personal information required. Besides allowing for more privacy, crypto casinos are also lowering the risk of fraud and identity theft.

Another important benefit of crypto casinos is that players keep control over their spending. Unlike traditional casinos, crypto casinos rely on blockchain-based reward systems where frequent players can collect tokens that can be redeemed for bonuses or free games. These loyalty programs are generally more transparent, as transactions are carried out using smart contracts that can be viewed and verified on the blockchain.

New Games through Blockchain Technology

Not only are transactions made easy and better through blockchains, but the gaming experience is also seeing benefits. For example, many crypto casinos offer “provably fair” games, where the game results can be verified using cryptographic methods and cannot be manipulated. The results are picked randomly and can be verified on the blockchain, making the game more transparent and fairer.

In addition, game developers are creating new crypto gaming concepts that are fully based on blockchain. New genres are beginning to rise, like Crash Games, where players can bet on a rising multiplier that can “crash” anytime. The longer the player stays in the game, the higher the reward.

Also, NFT-based games are gaining popularity. A few casinos offer players to purchase collectibles that either have cosmetic benefits or can influence the game results. Special gaming solutions like these elevate the experience and make gaming even more attractive.

Innovative Challenges: Volatility and Regulations

While the innovations seen in the gambling scene are exciting, they also bring challenges. The most obvious is the volatility of cryptocurrencies. Fluctuations are not 100% predictable, and therefore, they can influence wins and losses radically. Who cracks a jackpot with Bitcoin today might only have a fraction of it left tomorrow due to price fluctuations and vice versa. 

Gambling activities are growing globally, and with them, regulations are becoming more complex. While some countries like Malta or Gibraltar already offer specific crypto licenses for online casinos, other markets are lagging behind. The United States has the most intricate regulatory framework across the world since each state defines its own gambling laws. While Nevada is already looking to regulate Bitcoin casinos, gambling is prohibited in Utah. This inconsistency allows for gray areas, and many US gamblers are turning to international crypto platforms.

For gamblers, choosing a trustworthy casino is crucial. Look for a properly licensed casino with transparent terms and conditions and an active community to ensure safe gambling.

Global Markets are Adapting

Interestingly, many casino businesses are turning to offer crypto gambling. Many international operators are already integrating wallet support and accepting payments in various cryptocurrencies, either directly or indirectly via payment gateways. Using cryptocurrencies also offers economic advantages to operators.

Transactions with cryptocurrencies are generally cheaper than traditional payment methods, as they do not require intermediaries such as banks or external payment service providers. In addition, the risk of chargebacks is significantly lower. This is an immense advantage for the gambling industry, as chargebacks can incur high costs. Automated smart contract processes also make deposits and withdrawals more efficient. This saves casino operators operating and personnel costs and maximizes their profits. However, this is not only beneficial for casinos, but also for players. Casinos that save on operating costs can offer their players better bonuses and deals.

In developing countries, where many people don't have access to traditional banks, cryptocurrencies are a game-changer. They make gambling and micropayments possible even where other banking options are lacking. In Southeast Asia and South America, stablecoins are even being used as an alternative to local currencies, besides using it for gambling.

Crypto has Come to Stay

According to Blockonomi, the crypto gambling industry is growing fast. It has surged from $50 million in 2019 to $250 million in 2024 and shows strong potential for further growth through 2028. In 2022, almost 3 million bets have been placed using cryptocurrencies and have doubled in less than a year. By 2023, the total amount of crypto bets had grown by 44.6%.

Crypto is gaining mre global acceptance and has the potential to entirely reshape the online gambling sector. According to Blockonomi, the long-term success of crypto gambling depends on how well operators integrate three main aspects: technological innovation, regulations, and experience. Operators who adapt to these standards will see benefits, not only for themselves but also for their customers.

By GamesAndCasino