After years of doubt and scepticism, cryptocurrency has finally made its way into many countries’ financial sectors. Today it is used for a number of reasons but the aim remains the same: to make money. Sports betting has been serving the same purpose long before the first cryptocurrency launched back in 2008.
It is no surprise that cryptocurrency and sports betting are interlinked in terms of rules, volatility, profits and other factors. This extensive resemblance has also manifest itself in an overlap between the two. Cryptocurrencies have helped the sports betting industry by solving problems that no other financial system could. This has the potential to serious disrupt the sports betting financial market.
It was in 2008 when Bitcoin first facilitated the peer-to-peer transactions that helped to send and receive payments from all over the world. The idea acquired immense popularity and soon progressed, with its offering expanding to include other helpful concepts such as smart contracts and decentralised apps. Against this backdrop, numerous small-scale and large-scale businesses began using cryptocurrency extensively in their day-to-day transactions.
Following them, casinos, pubs, clubs and other gambling business have taken the opportunity to accept payments in the form of cryptocurrency.
How did cryptocurrency help in the gambling sector?
Not only did this move towards cryptocurrency make sports betting payments secure, it also offered super quick deposits and withdrawals in faster turnaround times, helping with live betting and straight bets.
Also, this incredible crypto engagement in sports betting proved to be a significant help during the Covid-19 outbreak when bettors were able to take part in online betting from their homes.
The three key selling points of decentralisation, accessibility and privacy of blockchain made it quite straightforward to encourage bettors to place their trust in cryptocurrency.
Using a digital currency in only a few clicks has made betting a lot more convenient and avoided the need for punters to involve banks or other monetary systems in their betting. Unlike other investments, cryptocurrency can be owned and traded by anyone regardless of jurisdiction or geographical border. That is why it has the largest customer base of all investment markets.
Several expert crypto traders and famous personalities have also recorded their views on the role of cryptocurrency trading in the gambling industry. Jan Sammut, a professional crypto trader, says Blockchain tech will usher in more transparency in the gambling industry, particularly in the B2B sector. This is a major indication that cryptocurrency trading and its financial incentives have a long-term future in the sector.
Impact of the blockchain on the gambling industry
Cryptocurrency is steadily conquering every financial space that’s in need of a safe, efficient and decentralised payment system. The gambling industry is one of those spaces. It has proved a true game=changer in limiting the number of frauds and scams faced by people while gambling. By offering 100% transparency on every bet, cryptocurrency has successfully made sports betting a relatively safe place to stake your money.
We all know that cryptocurrency supports the anonymity of users through its decentralisation. In this respect, it possesses a massive threat to an online gambling industry in which a bettors can fall prey to scams, as well as to illegal gambling activities.
Crypto payments provides improved security, more transparency, secure payments and no transaction fees, which could bring about a revolution in sports betting.
A recent report carried out among US bettors says there has been an unexpected spike of money scams ever recorded in the history of sports betting apps. In this regard, Blockchain’s increased safety and protection when making bets, either in casinos or online, becomes even more appealing.
Use of smart contracts
The use of smart contracts in sports betting has also been an eye-opener for players who are usually unaware of where their wagered money ends up. Similarly, it helps the operators and game regulators to track all the bettors in a game and the money they’re betting with.
While cryptocurrency is soaring high due to its valuable contribution to sports betting, some still have doubts over its credibility and efficiency. The use of cryptocurrency servers as a safety net to the sports betting industry in case of any unexpected restriction, ban or other laws.
In the meantime, it remains a great way to enjoy sports betting while enjoying transparent transaction data, privacy of use and cheaper payouts.