Introduction
Bitcoin and other cryptocurrencies have progressed from only a banking alternative to a mainstream payment mechanism for gamers and casinos. The number of casinos that accept Bitcoin in the Digital Yuan as a payment mechanism has increased dramatically. Most online casinos provide players a bonus if they load their accounts with Bitcoin, and payments are usually within 48 hours. Let’s see whether Bitcoin casinos are here to stay or if they’re simply a passing trend.
Why are gamers so fond of Bitcoin?
Privacy
In several places global, gambling is still frowned upon, if not illegal. In countries where gambling is prohibited, banks and financial institutions of the Yuan Pay Group do not execute transactions for gambling sites.
On the other hand, Bitcoin does not need to process by a third party.
With Bitcoin, you have complete anonymity since your transaction records are not accessible to banks or governments. Even better, hackers will not be able to access your financial information.
Convenience
Online casinos allow you to deposit dollars into your account instantly. When you use conventional payment methods to credit your account, you may have to wait minutes or even hours, but you can play the newest casino games right now when you use Bitcoin. Withdrawals made using Bitcoin are also reasonably quick, taking less than 48 hours instead of several days to get your winnings.
Cost-Effective
Bitcoin and other blockchain payments are peer-to-peer transactions between the player and the casino. Bitcoin transactions are far less expensive than conventional payment options since the fees are tiny. Players get to keep virtually all of their wins, while bookies save money on transaction costs, allowing them to earn more money.
Bitcoin Transactions: What to Be Afraid Of
Jurisdiction for Casino Licensing
Casinos that accept Bitcoin payments are not required to get particular jurisdictional licenses. Because they are not linked to specific locations, bookmakers save a lot on license application expenses. On the other hand, players incur the risk of gambling at a casino that isn’t licensed in their jurisdiction.
The volatility of the currency
Because Bitcoin is still in its infancy as a currency, it is subject to price changes from time to time. Players earn from hefty returns when Bitcoin values rise versus the dollar. On the other hand, players face the burden of poor profits when the dollar rises against bitcoin.
‘Bubbles’ in Bitcoin and obituaries roil the crypto sphere
The reigning monarch of crypto has been dethroned multiple times because of its extreme volatility. On July 12, 2010, Bitcoin’s price peaked for the first time. At the time, the price had risen tenfold from $0.008 to $0.08. It sang even louder in 2011, hitting a new high of $31.
In 2013, there was a more notable price increase. After reaching an all-time high of over $1,000 in November of that year, the price dropped to about $177 in less than a year.
However, the 2017/2018 bubble was one of the most remarkable of all time. In December 2017, BTC reached an all-time high of over $20,000, making it the most stratospheric increase in cryptocurrency history. It initially fell below $10,000 in January, hovering there for a time before plunging below $5,000.
There have been at least 382 obituaries to its name due to these roller coaster rides. These are often writings that demonstrate why Bitcoin is bound to fail. The first one was announced on December 15, 2010, and the last one was revealed on September 4, 2020.
Bitcoin Adoption Has Reached All-Time Highs
However, as seen by its use milestones, Bitcoin has achieved massive acceptance over this period. According to Blockchain.com, the total number of transactions on the Bitcoin blockchain was 573,063,000 as of September 30, 2020. The gaming sector, which already includes over 200 separate Bitcoin casinos with thousands of different games, is a prime example.
Every day, around 350,000 transactions are verified on the network. This equates to approximately 15,000 transactions each hour, or four transactions per second. Furthermore, during the last five years, the number of unique BTC accounts has increased at a pace of about 60% every year.
According to BitInfoCharts, over 23 million Bitcoin addresses and over 800,000 daily active users on the network.
Smart Contracts and Decentralization
The debut of Bitcoin led to the emergence of a whole ecosystem of digital assets, which was a notable milestone. With the birth of Bitcoin, digital support and a technology known as blockchain were established.
A blockchain is a public, decentralized database that allows for the safe recording of transactions without an intermediary. Beyond Bitcoin, the notion was so groundbreaking that it sparked the construction of additional blockchains.
The first of this new class of digital assets was Ethereum, which provided additional functionalities below those offered by Bitcoin’s value transfer. Ethereum was explicitly designed to execute smart contracts and decentralized applications (DApps).
More
On the other hand, smart contracts were conceived before the Ethereum blockchain launched. Its origins may be traced back to 1994 when Nick Szabo proposed using protocols to make contracting easier. His concept of a digital contract would have more functionality than traditional contracts while also lowering transaction costs.
In 2013, Vitalik Buterin, co-founder of Ethereum, improved on this notion by integrating smart contracts into a blockchain system. As employed in blockchain, smart contracts are scripts that utilize code to implement a conventional contract. They are self-executing because they take effect once specific criteria are satisfied.
The concept’s implementation allows parties who are wholly unfamiliar with one other to reach agreements without the need of an intermediary. A smart contract’s terms and conditions of digital yuan are available to interested parties. As a result, there is no chance of a disagreement occurring once it takes effect. Furthermore, they allow transactions to complete considerably more quickly than before. They’re also safe since they employ a high degree of encryption.
A whole new universe of possibilities was born due to the union of decentralized transactions and smart contracts. The introduction of stable coins by the Yuan Pay Group was one of them.
Conclusion
Even though there are significant dangers are associate with Bitcoin usage, gamers prefer it to alternative payment options. Bitcoin can benefit both online casinos and players, and it may be the new hassle-free solution that the gaming industry needs.
