Casinos understand that the more payment options they allow, the more clients they can serve. But with so much controversy surrounding cryptocurrencies, you may be wondering why more and more casinos are accepting them as a form of payment. Casinos, among other institutions, understand that despite the controversies, there are reasons why those who support cryptocurrencies do so. There are some benefits of using cryptocurrencies. This article will highlight what casinos gain when they accept these types of payments.
1. They gain access to the bankless and the unbanked
Not everyone trusts traditional financial institutions. While there are many advantages to using these institutions, there are some disadvantages too. Some of the disadvantages include the high transaction fees and the lack of autonomy over one’s money.
Cryptocurrencies, on the other hand, grant their users autonomy. In this case, it means that your client is the sole authority over their account, and they do not need an intermediary to approve or disapprove their transactions. Secondly, cryptocurrencies do not have high transaction fees like fiat currencies especially.
By accepting cryptocurrency payments, casinos know that they are opening themselves up to all the clients who love casino games but would rather not put their money in banks and other traditional financial institutions. Cryptocurrencies serve as a way to receive money from such clients.
2. Cryptocurrencies open casinos up to international clients
Casinos employ a myriad of methods to attract new clients. It is not uncommon to see offers like the Intertops casino no deposit bonus. Additionally, user-targeted marketing is another way casinos are employing AI to help in attracting more clients. Yet, being limited to clients only in their jurisdiction minimises their client pool significantly. That is why you can often find casinos accepting payments through third-party payment services like Visa and PayPal, which serve clients internationally.
Cryptocurrency payments are also a way to open up to international clients. Anyone with a working internet connection and a funded cryptocurrency wallet can make payments from anywhere around the globe, and casinos are taking advantage of this. Using cryptocurrency payments can save clients a lot of money, especially in transaction fees, since cross-border money transfers can be costly.
3. Cryptocurrency payments and anonymity
There is some confusion about whether cryptocurrency payments are anonymous or not. Cryptocurrency payments are not anonymous, but they offer confidentiality and discretion as transactions are recorded in a block in the blockchain with pseudonyms. Simply put, even though the blockchain ledger is accessible to everyone who holds the cryptocurrency, the transactions are not recorded with the individual’s names; instead, the names are encrypted.
Just like cryptocurrencies, gambling is also a divisive issue. For that reason, some people prefer to keep their gambling away from specific people. Using cryptocurrency payments rather than bank payments ensures that their preferred financial institutions do not record their transactions. They get to choose who can know about their gambling.
Can someone decrypt the blockchain pseudonyms?
Even though cryptocurrency payments are recorded using pseudonyms, it would not be impossible for someone with the resources and time to decrypt these transactions. This is, of course, unless you are using anonymity-enhanced cryptocurrencies like Monero and The Lightning Network. At the least, a casino’s clients can expect to keep their transactions away from anyone with access to their bank statements if they choose to use cryptocurrency payments.
4. Crypto payments do not need personal bank information.
Once a client has money in their cryptocurrency wallet, they simply need the receiver’s wallet address to send the money to them. This means that there is no need to give a casino your personally identifying information, especially your bank information if you do not want to. This is an excellent option for those who fear their information may not be safe, keeping in mind that statistics show that there is a cyberattack every 39 seconds.
This does not mean that clients will not give casinos any information at all. There is still a need to verify the clients’ identity and other important information like their age. However, a client need not divulge their banking information unless they want to.
How do the casinos verify these transactions?
All cryptocurrencies have some form of consensus algorithm. This means that they all have a way of verifying that transactions have taken place. For example, if a cryptocurrency has 1000 users and 501 of these users can verify that the transaction took place, there is no need for paperwork.
Most cryptocurrencies have a specific number of coins in circulation at any particular time. A transaction is verifiable because money has moved from one user to another, and the users can confirm this movement. This method of consensus is what eliminates the need for paperwork and allows cryptocurrencies to work.
The issues people have with the existing cryptocurrencies do not dispute the fact that the underlying idea is a great way to solve some of the problems people face with traditional financial institutions. Casinos understand this and chose to accept cryptocurrency payments because they know that some people want to use this form of payment. At the very least, it gives them a competitive edge over casinos that refuse to accept cryptocurrency payments.