Gaming has evolved a lot over the years as developers explored existing tools and ideas parallel to the ever-changing demands for entertainment. Some have been expressive, competitive, and even derivative to some degree. The one that’s growing in popularity over the years is cryptocurrency gambling.
Gambling is one of the world’s oldest pastimes, with traces reaching far back to centuries of sports betting and street games that inspired casinos. This was made more accessible with the advent of the internet in services called ‘online casinos’. Meanwhile, cryptocurrencies emerged as a modern alternative to traditional banking, offering a decentralised financial system.
Crypto gambling has skyrocketed in popularity since platforms like Bitcasino, the first crypto casino, was launched in 2014. New brands pop up and each has thousands of daily concurrent players, signifying its growth worldwide. How successful is this industry and why is it appealing to gamers? Learn more about it right here:
Growing activities among crypto betting websites as of 2024
Crypto betting’s rising popularity is undeniable. Fiscal reports are the most reliable metrics to show a business’ success and various operators worldwide proudly claim that the market is estimated at $250 million in 2024. It’s even more impressive that it is only 4% of all gambling revenues and is fast increasing. That accounts for all crypto transactions in iGaming, not including cash bonuses.
As the crypto casino market grows, it also elevates the overall gambling market to a more lucrative state. The forecast shows that it is projected to grow from $93.26 billion in 2024 to $153.21 billion with a compound annual growth rate (CAGR) of 10.44%.
The current state of success for crypto casinos is attributed to mobile gaming thanks to advancements in smartphone technology in iOS and Android systems. Developers and investors now look forward to more advanced technologies like artificial intelligence (AI), virtual reality (VR), and augmented reality (AR).
What made crypto betting websites appealing in the first place
There are thousands of crypto gamblers who enjoy the medium for various reasons. Some of them share the same opinions and many agree on the following elements:
Global reach and borderless payment
For a long time, gambling has struggled to grow because such entertainment is restricted in many places and is only allowed in licensed spaces. The internet has allowed casinos to operate on a digital platform instead of a physical one. They still have to deal with border regulations on local currencies and that’s the problem crypto is the solution for.
With crypto casinos, you can send or receive money at any time using blockchain’s peer-to-peer (P2P) transactions. This is the borderless payment with no added fees due to distance or handling between multiple banks that fiat was limited to. Instead, you can directly deposit or withdraw, allowing gamblers worldwide to play and win real cash playing online casino games.
Safety and privacy via blockchain transactions
The most important element early blockchain developers highlighted to introduce crypto to the world is its privacy. Your assets only need to be recognised under your ownership via your wallet address and nothing else. That means you don’t have to provide legal documentation to verify identity or trust anyone to keep it confidential. This is true anonymity for all users.
On top of privacy, the decentralised payment system also works to keep the users safe. It is protected with cryptography that prevents unauthorised tampering from anyone and has so far been infallible. There were cases of theft in crypto but most of them were victims of scams or wallet breaches, meaning that they were human error and not vulnerabilities to crypto.
The value of volatile assets is favourable to traders and hodlers
Ownership of crypto in itself is exciting because of its volatility. The same assets you paid $10 for one day could be worth a lot more in the following week. Bitcoin (BTC) has recorded a CAGR of 103.42% with a standard deviation of 154.67% and a Sharpe ratio of 0.83, a historical performance of the most valuable crypto.
Bitcoin’s success grew from making headway in exchange-traded product (ETP) offerings that the Securities and Exchange Commission (SEC) approved in January 2024. More crypto will follow like Ethereum (ETH) which has an ETP approval in June. Other asset traders and hodlers look forward to the same opportunities for Litecoin (LTC), Ripple (XRP), and Dogecoin (DOGE).
The future is bright for crypto investors but beware of scams
As stated, the major reasons for theft in the crypto market have been human errors. Falling victim to a scam is easy to avoid if you practice general cybersecurity practices like the following:
- Never share your login credentials to any account, especially online wallets.
- Keep your identity private for as much as possible. If you have to comply with KYC, only do so if you trust the service provider’s confidentiality terms.
- Log out of your accounts for in-finance or casino apps when not using them.
Looking ahead: More growth in the blockchain economy
Crypto gambling has an exciting future primarily due to crypto’s increasing value. The United States government is leaning towards a crypto-friendly future and the rest of the world is eagerly watching their decisions. Improved adoption in all sectors is one of the key paths they can undertake to bolster crypto’s economic growth. That’s how it began thriving in the entertainment sector when the first crypto casino was introduced.