As a new payment mechanism, cryptocurrencies have entered the field of online gaming. Their use comes with benefits as well as drawbacks. Many players are interested in the potential that digital currencies like Bitcoin and Ethereum represent, which is why more and more online gaming companies are adopting them. In fact, a lot of players are debating switching to this cutting-edge payment method, but they need more information to decide.
In this article we will explore these new payment methods individually and in detail so you can learn more because one thing is for certain, Cryptocurrency is dramatically different from the traditional debit, credit cards, bank, and online transfers that you may have used in the past.
Cryptocurrencies
A digital payment system that does not rely on banks for transaction verification is referred to as cryptocurrency. It is a peer-to-peer system ( a decentralized communications approach in which both parties can start a communication session and each side has the same capabilities) where anyone may send and receive payments, independent of their location, and the currencies are stored in digital wallets. Each transaction that occurs during the money transfer is noted in a public ledger. The system's name derives from the fact that it employs encryption to confirm transactions, which calls for the employment of sophisticated coding for data storage and transmission. Since the creation of Bitcoin in 2009, users have had access to and used a plethora of various digital currencies.
In a world where we feel like we are being monitored more and more each day, Cryptocurrency has the benefits of being both completely anonymous and decentralized. Being decentralised means that no national or international governing body is involved, meaning users do not need to conform to any specific legislations which also has the benefit of making cryptocurrency transactions super fast. Cryptocurrency is also intensely secure, largely down to the aforementioned factors which mean that no third parties can get ahold of your precious data or manipulate your personal information.
These reasons combined are the main cause for many casino punters taking the plunge and switching to using cryptocurrencies for their casino gaming transactions. In the next section, we will be looking at the most popular cryptocurrencies in closer detail.
Bitcoin
Bitcoin
The first cryptocurrency in existence was called Bitcoin. Bitcoin was created in 2009 by an unidentified founder (or founders) using the moniker Satoshi Nakamoto. It was intended to function as a decentralised digital currency independent of banks and other financial organisations.
Bitcoin is now mostly utilised as a store of value because newer cryptocurrencies are more technologically developed and provide far more efficient transactions. It has benefited greatly from the first-mover advantage because it is by far the most well-known and valued cryptocurrency. Most online casinos that offer cryptocurrency as payment will feature Bitcoin as an option.
Monero
Cryptocurrency Monero makes use of technologies that protect user anonymity during transactions. Transactions become anonymous and untraceable as a result. In contrast to the majority of cryptocurrencies, Monero's public blockchains conceal all transaction data from view. While this level of concealment has led to Monero being misused by criminal enterprises, for the online casino punter, this form of currency offers some of the highest levels of security and anonymity.
XRP
The native cryptocurrency of Ripple, a payment system designed for quick, inexpensive transactions, is called XRP. Numerous financial institutions have partnered with Ripple to employ its technology, which is specifically designed for use in international money transfers.
The SEC filed a complaint against Ripple at the end of 2020, alleging that it offered unregistered securities in the form of XRP. Despite Ripple's denial of the accusations, many renowned cryptocurrency exchanges discontinued supporting XRP trading as a result. - This should not impact online casino users too greatly, but for the sake of transparency (which Gambling Zone believes in upholding), we thought it was worth mentioning so users may be aware.
Ethereum
Ethereum
The concept of an open-source, programmable blockchain was first introduced by Ethereum. On the Ethereum blockchain, developers can create their own cryptocurrency tokens and decentralised applications (dApps). Decentralised finance (DeFi), platforms that provide decentralised versions of conventional financial services, was consequently created.
Despite the fact that there are more cryptocurrencies with programmable blockchains now, Ethereum was the first. The second-largest cryptocurrency has firmly established itself thanks to its early development. If you are a casino player looking to use a currency that is tried and true, you might find greater reassurance from an established brand like Ethereum.
Tether
The biggest stablecoin is Tether. A cryptocurrency known as a stablecoin is one that tracks the value of another asset. In the case of Tether, that is the U.S. dollar, hence one Tether typically is worth $1.
There is debate around this cryptocurrency, and of course, for the sake of total transparency, we want to make you awake. When it was erroneously said that every Tether was backed by a U.S. dollar, the firm that created it, Tether Limited, was found to have lied about its reserves. Tether consistently has the highest daily trading volume of any cryptocurrency, despite this, so it certainly seems this misstep was a mere blip in the currencies development.
Dash
Another open-source cryptocurrency is called Dash. It is a forked version of the Bitcoin protocol known as an altcoin. Additionally, it is a decentralised autonomous organisation managed by a portion of its users known as "masternodes." As a newer cryptocurrency variant, despite being very popular, you may not find your chosen casino currently offers Dash as a payment option.
Virtual Currency Wallet
Cryptocurrency Wallets
Your private keys, which are the passwords that grant you access to your cryptocurrencies, are kept safe and easily accessible by crypto wallets, enabling you to transfer and receive cryptocurrencies like Bitcoin and Ethereum. They exist in a variety of shapes and sizes, from hardware wallets (which resemble USB sticks) to smartphone applications that make using cryptocurrency as simple as making an internet purchase with a credit card.
Crypto wallets technically do not keep your cryptocurrency, unlike a regular wallet, which can hold actual cash. Your holdings are stored on the blockchain, but access to them requires a private key. Your keys enable transactions while proving you are the rightful owner of your digital currency. Your private keys are your only means of accessing your money so if you lose them you will lose access to your funds. This is why selecting a top cryptocurrency wallet is so important.
Coinbase
With support for more than 500 tokens, safe storage (biometric verification, cloud backup, etc.), and accessibility without a Coinbase account, Coinbase Wallet is advertised as an easy and secure cryptocurrency wallet. For those who have little to no prior expertise with cryptocurrencies, Coinbase Wallet is a great wallet. The user interface of the programme, which connects to the majority of major bank accounts, is simple, with just three tabs, and has features that are easily distinguishable.
More than 5,500 supported digital assets can be stored in Coinbase Wallet, including well-known coins like Bitcoin, Litecoin, Dogecoin, and BNB, as well as all ERC-20 tokens and tokens on EVM-compatible blockchains.
Bitpay
Bitpay
With its corporate office in Atlanta, Georgia, the United States, BitPay offers Bitcoin payment services. Stephen Pair and Tony Gallippi launched it in May 2011. Payment processing for Bitcoin and Bitcoin Cash is offered by BitPay. This type of Crypto wallet is ideal for those who exclusively use Bitcoin.
Metamask
Due to its user-friendly design, which offers quick and simple access to hundreds of tokens and decentralised applications within the Ethereum network, MetaMask is a top cryptocurrency wallet for Ethereum. For new users wanting to transfer and receive Ethereum-compatible cryptocurrency as well as use decentralised apps, the wallet features an appealing and simple design. The compatibility of MetaMask with various blockchain systems is also noteworthy.
The wallet can be downloaded as an extension for users of Google Chrome, Microsoft Edge, Mozilla Firefox, or Brave browsers. The MetaMask app is also available for download for Apple and Android mobile phones.
Binance Pay
A quick, secure, and global method of sending and receiving cryptocurrency from your mobile devices can surmise Binance Pay. To send cryptocurrency to friends and family, users can use an email address, phone number, Pay ID, or Binance ID (UID). This wallet option has been designed with the average user in mind, so makes a great choice for the less tech-savvy and/or low-budget online casino fan.
Electrum
Electrum Wallet
Electrum is one of the oldest and best-known cryptocurrency wallets available today. It was founded in 2011. Additionally, it is one of the few cryptocurrency wallets still in use that only accepts Bitcoin, which Electrum is specifically designed to support.
The wallet has a number of strong security features, including support for multi-signature wallets, 2FA, and transaction-proof checking. Additionally, customers can modify their costs in accordance with how long they are prepared to wait for a transaction to complete: You can speed up the transaction by paying higher fees.
The wallet's usage of a lightweight client is one of its main advantages. Light clients can be set up quickly and take up less space on your computer than conventional wallet clients. Electrum works best on desktop devices, meaning it is a great option for those who do not like to use their mobile phones for everything.
BlueWallet
Due to its feature-rich mobile app, straightforward user interface, and connection with the Lightning Network, BlueWallet is arguably the greatest crypto wallet for mobile devices.
For cryptocurrency users who can not or do not want to understand more complex software on their desktop PCs, BlueWallet is a great alternative. It is comparable to Electrum in that both are solely bitcoin wallets, allowing them to completely concentrate on developing and enhancing the Bitcoin experience on the platform.
Beginners will find the wallet's interface to be friendly and simple to use, but more experienced users may find the app's additional capabilities to be useful. BlueWallet gives customers the option to send batch transactions and set their own fees in addition to providing the essentials like sending, receiving, and storing currency.
Crypto.com
Crypto.com
A wide range of decentralised financial instruments is available on Crypto.com, together with a smooth onboarding procedure and robust security measures.
Crypto.com DeFi Wallet is a great option for those who are just getting started with decentralised finance. Users of defi wallets have total control over their private key and digital assets, which they are responsible for keeping secure. One-to-one cryptocurrency swaps and a variety of options for customers wishing to make passive income from the cryptocurrency they already hold are features that are exclusive to this kind of blockchain wallet and are not offered by standard, custodial wallets.
Exodus Wallet
One of the most aesthetically pleasing and user-friendly wallets available is Exodus. Exodus, which was formerly a desktop-only wallet, now has iOS and Android apps and is compatible with Trezor hardware wallets. However, the desktop wallet application, which runs on Windows, Linux, and Mac OS X, remains the wallet's fundamental component.
Exodus supports more than 260 crypto and NFT currencies, which is one of its primary selling points. This contains well-known cryptocurrencies as well as well-known meme coins like Shiba Inu and Dogecoin.
In order to expand the functionality of the wallet, an increasing variety of apps are being launched, such as those for live charts, crypto staking, and crypto deposits.
Could Cryptocurrency Be the Future of Online Casino Transactions?
One thing is for certain, Cryptocurrency is not going to be something that is going to appeal to everyone. While there are plenty of positives for this method of payment such as its security and anonymity, in terms of Crypto vs. more traditional wallet options like PayPal or e-wallets like Skrill, crypto is a relative newcomer and for some players, understandably, they would rather stick with what they know. Either way, crypto definitely appears here to stay, and we will likely see more crypto options popping up on our favourite online casino sites. Either way, here at Gambling Zone we will keep you up to date with all the most important news in the online casino world, so be sure to explore our blog posts to keep up to date.
