As governments and central banks continue to look at Bitcoin suspiciously, the online gambling industry is taking radical measures to adopt the use of the cryptocurrency in deposits to and withdrawals from trading accounts. This does not necessarily mean that online casinos are illegal. Rather, most of them are licensed and properly regulated. Bitcoin is mainly being adopted because of the numerous benefits the cryptocurrency brings to online gambling site owners and gamblers. Among the benefits, improved privacy and security are top of the list. Here is why online casinos are banking on Bitcoin:
1. Enhanced Security
Bitcoin is undoubtedly a very secure cryptocurrency, so long as it is stored in the right way. Of course, the cryptocurrency is mainly stored in Bitcoin wallets whether online or offline. In terms of security, online cryptocurrency wallets are not very secure. As such, cold storage is the best way to keep your Bitcoins away from hackers. It is also important to use a strong password to protect your private keys. If you take these measures, you don’t have to worry about the security of your Bitcoins.
Not so for conventional payment methods such as PayPal and credit cards. When registering on the online gambling sites, you will be required to provide your eWallet or credit card information. This exposes you to a security risk when the gambling site gets hacked. Hackers could access this information and use it to wipe money from your account. Also divulging your credit card information to phishing schemes could expose you to fraud.
2. Greater Privacy
Gambling is undoubtedly legal. However, players like to keep online gaming discreet. No one wants to endure the stigma of being referred to as a gambler. In some cultures, this pastime is associated with outright immorality. For the fear of being labeled as an ddict’, many players want to play privately. Other payment methods such as eWallets and credit cards can hardly provide you with that. Due to its anonymity, Bitcoin is guaranteed to keep your gaming private, especially if you do not want to be judged unnecessarily.
3. Instant Withdrawals
Compared to eWallets and credit cards, Bitcoin transactions are processed almost instantly. This is why online casinos are banking on Bitcoin. In most cases, it takes just a few minutes for the transactions to be confirmed. If there is a delay, you may have to wait for a few hours. In any case, you don’t have to wait for days to get your withdrawal confirmed.
By comparison, bank transfer takes as many as 5 business days for transactions to be confirmed. If you are doing an international transfer, you may have to hold on for a week or more. Why would online casino owners keep using these payment methods when they can bank on Bitcoin for fast deposit and withdrawal speeds? Bitcoin is a great way to attract and keep gamers on their platforms.
4. Affordable Transaction Fees
One reason for Bitcoin’s great promise for online gaming is its almost negligible fees. Compared to online payment methods such as credit cards and eWallets, Bitcoin is way too cheap. It is certainly cheaper than bank transfer which charge fees in terms of a percentage of the total transaction amount.
While gamers benefit by keeping most of their winnings, the owners of the gambling site are able to avoid paying credit card fees. As such, Bitcoin is mutually beneficial for the gambler and the casino. For that reason, most online casinos have made it possible for players to use Bitcoin.
5. Great for Online Transactions
The designers of Bitcoin meant it for online payments. As a digital currency, it doesn’t require withdrawal before use. That explains why Bitcoin is more efficient than bank transfer and credit cards which take days for transactions processing. If anything, Bitcoin does not require the intervention of a third-party. Transactions are done and completed between a sender and a recipient, period! As such, Bitcoin is meant for online transactions such as those that involve gambling.
You can see why online casinos are banking on Bitcoin. Compared to other payment methods, Bitcoin is private, secure, efficient, affordable, and built for online transactions. Given the foregoing, you can only expect the popularity of this payment method to keep rising.