For years, the online gambling industry has experienced significant developments such introduction of live dealer gaming, 3D slots, and mobile compatibility. These features have made the sector one of the fastest-growing markets in the world today. However, these changes haven’t interrupted the way online casinos operate. Online gambling sites are still run privately, with the management controlling all the information to do with the result.
This form of operation leaves players with no option but to trust the dealers to provide fair gaming results. Regardless, the industry continues to grow and is bound to continue growing fast. As a result, many blockchain entrepreneurs are keen on entering the online gambling industry and causing a ripple on how it operates. The big question is, how will this disruption affect the internet gambling industry?
Features of the Online Gambling Industry
The first step to understanding the impacts blockchain will have on the internet gambling industry is to understand the current state of the latter. Online casinos such as IndiaSlots have the following features;
- A gaming platform that allows internal management of all operations
- Games offered by the casino including sports betting and daily fantasy sports among others
- Licensing setup by software providers
- Payment systems such as Skrill and Neteller that allows players to pay and withdraw when playing online
- The user interface which players see when they access the online casinos
These features revolve around the software providers and the betting site. As you can see, there’s no feature allowing players to verify their bets. As a result, many bettors place their wagers in fear of being cheated due to how the system works. Any paranoid player will believe that they are losing because of some cheating by the betting site. That’s what blockchain penetration in the online gambling industry hopes to change.
4 Benefits Blockchain will Offer the Gambling Industry
Blockchain is a digital ledger that stores information in computer networks. It can be public, whereby the system is decentralized, and anybody can view information moving through the network. In private blockchain, only invited individuals can participate in the network. Decentralized internet gambling sites use a public blockchain to register players and to verify bets. The adoption of this technology has the following benefits to the online gambling industry.
- Players Can Verify Their Bets
Use of blockchain has led to an increase in the number of casinos that allow players to verify their bets. By doing so, players can confirm that the game is fair, hence, eliminating the need to seek auditing by a third-party. When verifying your wager, you have to go through multiple steps, which will feel exhausting at first. But once you get used, you’ll appreciate the fact that you can confirm your bets, unlike traditional gambling, which doesn’t offer the opportunity.
- Allow Peer to Peer Transaction
Many countries have set laws and regulations that regulate the online gaming industry. In India, where gambling is not regulated, financial institutions are reluctant to accept online gaming transactions. Blockchain offers a solution to the problem by allowing miners to facilitate the trade without judging or knowing what you’re paying for. Besides, blockchain provides anonymity in case you like gambling but don’t want anyone to know about it.
- Increase Trust on Gaming Sites
Online gaming sites make money by taking a cut of the action in poker and sports betting or retaining a house edge in case of casinos. The amount they earn is only a small percentage but allows them to make profits in the long run. However, it’s hard to ignore the cheating tradition associated with casinos, especially when you’re losing big. In case you find yourself losing consecutively, you’re likely to become suspicious that there’s some cheating going on.
As earlier mentioned, the integration of blockchain in the online gaming industry allows verification of bets. Besides, everyone on the network can view a bet, making it hard for casinos to cheat with everybody watching them.
- Minimize Transaction Fees
When playing on any online casino, you need to pay registration fees as well as pay fees when placing your bet. While the fee is mandatory by whichever financial instrument you use, some banks take advantage and charge you higher rates when paying for internet gambling. Miners, on the other hand, don’t discriminate you based on what you’re paying for as their rates remain standard. Besides, paying using cryptocurrency is cheaper than traditional means since the value of cryptocurrency usually is higher than regular currency.
Use of cryptocurrency in the online gambling industry will help many online gamblers get around restrictive gambling laws. However, it’s essential to familiarize yourself with the current rules and regulations on online gambling even when using the technology. After all, helping you get around the restrictions doesn’t automatically make gambling legal in states where it’s prohibited.