The success of cryptocurrency has soared exponentially since its inception a few years ago, and this immense success is partly attributed to online gambling. Many people are still highly skeptical about the use of cryptocurrency in gambling, leaving many crypto enthusiasts perplexed. This article will cover the challenges hindering the overall success of online gambling sites that have adopted cryptocurrency as their primary method of transactions.
The introduction of Bitcoin, altcoins, and the general blockchain technology not only led to the disruption of the global monetary system, but it also affected countless of industries globally. The early adopters of this revolutionary technology included the banking industry as well as the insurance sector. After witnessing the positive impact of blockchain technology, more industries such as the gambling industry started to embrace the use of cryptocurrencies.
Crypto betting games, attracted the attention of gamblers who wanted a more convenient and anonymous way of gambling. Even though crypto casinos are still relatively new, they have shown great potential and have received tonnes of praise from crypto enthusiasts. In their short lifespan crypto casinos have experienced rapid advancement in technology with more gaming selections and features. It is reported that Bitcoin Dice was mainly responsible for bringing crypto casinos in the limelight, as more players played, its potential became more and more evident. You can now enjoy a wide variety of games while using crypto coins for secure and fast transactions.
Like many other new and innovative technologies, the success of crypto casinos has been hindered by a myriad of challenges. Regardless of these slight challenges, it is highly unlikely that crypto casinos will fail any time soon, the problems currently hindering crypto casinos include:
Challenges Faced by Crypto Casinos
- Price Volatility. The value of major currencies such as the dollar and euro usually fluctuate over time; similarly, the monetary value of major cryptocurrencies is also volatile and unpredictable. Despite its volatility, gamblers shouldn’t be too worried about the value of Bitcoin dropping since it is an established and trusted currency. However, it is important to note that crypto casinos can be affected by these unpredictable fluctuations which could lead to huge losses for gamblers
- Many individuals and corporations still question the safety of cryptocurrencies as a medium of exchange. There have been many incidences documented where systems using cryptos including crypto casinos are breached or hacked resulting in massive losses to business owners. These security lapses have instilled a sense of fear and doubts to gamers making them question the safety and future of cryptocurrencies. To avert this challenge many cyber-security firms have emerged and have introduced innovative systems that provide reliable and impenetrable encryption systems.
- Poor reputation. The poor perception of the general public towards Bitcoin and other cryptocurrencies has greatly hindered the success of cryptocurrency. In the recent past, Bitcoin was the main mode of exchange used to purchase illegal goods and services on the dark web. This caused many people and corporations to believe that Bitcoin causes more harm than good. This perception is detrimental to the future success of crypto casinos since it is probable that opponents of online gambling will blame cryptocurrency for the failure of traditional casinos.
- Meager Reach. Despite Bitcoin being around for nearly a decade, many investors, corporations and merchants have not fully embraced it. The adoption of cryptocurrency as an accepted medium of exchange is limited to certain locations. Gamblers living in certain areas may not be able to access and use crypto casinos. Governments should work in conjunction with relevant regulatory bodies to formulate and adopt policy frameworks that enable the use of virtual currency for various transactional procedures
- Lack of Adequate Knowledge. While some people have some experience in transacting with cryptocurrencies, a considerable portion still don’t know how to use cryptos. A lot of information is required to transact and store Cryptocurrency securely in a wallet effectively. Gamblers also need additional knowledge to understand how to transfer their crypto coins to the casino as a form of payment. However, many online casinos that have adopted cryptocurrencies have an FAQ section, making it easier for beginners and newbies start out.
Note: Exchanging fiat money with Bitcoin and vice versa attracts a fee. These transaction costs vary and mostly depend on the service provider. While you can easily buy bitcoins using a Bitcoin ATM, transaction and exchange fees can cost up to 0.5 percent of the overall amount transacted. Also, if you gamble in Bitcoin-only Casino, wagers and winnings are computed using BTC smaller units which might be hectic to calculate.
What to Check out Before Joining a Crypto Casino
There are various regulation issues with certain crypto casinos; therefore, it is wise to perform a quick but exhaustive background check on their website. It is always crucial to counter-check before signing up with the online casino, once you encounter any irregularities, it is advisable to neglect it and choose a more suitable and reliable site.
Blockchain technology has revolutionized our outlook on trade and currency. Once you are conversant with Bitcoins or other altcoins, it becomes more evident that it is one of the best and suitable payment methods for online casinos.
Despite the few challenges faced by crypto casinos, the industry is continuing to implement various measures to ensure its success. In fact, the success of these crypto casinos will positively affect the overall success of Cryptocurrencies, since crypto gambling transactions contribute to a large share of Cryptocurrency transactions.
Adoption of cryptocurrency in the online gambling industry is set to increase exponentially especially with the ever-evolving technological space, and this is an indication of a promising and bright future of Crypto Casinos.