To the average person, bitcoin is a volatile investment that can also be used in place of traditional payment options and fiat currencies.
But it’s much more than that and the blockchain could literally shape the future and change the world as we know it.
Those changes won’t just benefit big brands and investors, either. It’s also something that could benefit many smaller companies, including small to medium-sized bitcoin casinos.
The gambling industry has been reaping the benefits of cryptocurrencies for several years now and those benefits could serve smaller casinos just as much as big ones.
Here’s why:
There are No Fees
Online casinos and online retailers are charged merchant fees every time they process customer payments. Those fees are small, often just 1% or 2%, but they can make a huge difference over the long term.
Bitcoin doesn’t charge any fees, and when you remove that 1% or 2% from the equation, you increase the margins and inflate your profits. That’s the goal of all online casinos, and that’s why bitcoin is so important and beneficial.
It also means that players won’t be charged fees, and that could save them a lot of money and make them more inclined to sign up and deposit larger sums of money.
There is No Centralized Authority
The lack of a centralized authority is of the main reasons that people invest in bitcoin.
It means that there is no bank or government controlling how the money is sent. Unlike traditional currency options, bitcoin doesn’t have a middleman. If you make a debit card transaction, it will be processed by your bank and will go to the recipient’s bank. When you make a withdrawal the same process will be repeated.
If you make large transactions every day, those payments might be reported to the government and tax authorities. Your accounts and transaction history may then be monitored for discrepancies, determining whether or not there is any sign of money laundering and/or fraud.
With cryptocurrency, there is no such issue. It means that the casinos and players don’t answer to anyone. They can set the rules and make the decisions and they don’t need to let a centralized authority do all of the work for them.
The Rules Won’t Change
When you run an online casino, or any other business for that matter, you’re at the mercy of the merchants and payment providers. With online gambling, you’re even more exposed. If PayPal suddenly decides that it doesn’t want to work with online gambling companies or just doesn’t like your brand, it could pull the plug and make life very difficult for you.
The same is true for banks and credit card networks, and there is a lot of precedent for this, including the UK ban on credit card gambling in 2020 and previous PayPal bans.
There is no one who can make those decisions for cryptocurrencies, no one who can decide that the currency can no longer be used for gambling
In the ever-changing world of cryptocurrency, those assurances are incredibly important. After all, it could take days to establish new payment systems and casinos could lose thousands in that time.
Stability is very important in this industry and while cryptocurrency might not seem like the most stable option as a result of its fluctuating price, it offers some much-needed peace of mind.
New Players
There are a lot of players out there eager to use cryptocurrencies for online gambling. Many of them only want to use cryptos, and some of them are willing to deposit and wager huge sums.
It’s something we haven’t really seen before. Sure, there were players who preferred using PayPal and Skrill, but if they were told that a site didn’t accept web wallets, they were happy to switch to debit cards. With cryptocurrency gamblers, they just look elsewhere.
They are advocates and devotees, not just users. They want to encourage more websites to accept this payment method, and they know that the best way of doing that is to use it as much as possible, favour the sites that accept it, and ignore the ones that don’t.
By accepting cryptocurrencies, small to medium-sized online casinos can open the doors to those players and—potentially—increase their revenue in the process.
Read more:
Can Small And Medium-Sized Casinos Online Benefit From The Rise Of Bitcoin?