Bitcoin wasn’t much more than a low-risk investment in its early days. Aside from a few people conducting peer-to-peer Bitcoin transfers, the fledgling cryptocurrency was of little practical use. The first time Bitcoin was used to purchase any real-world goods or services was in 2010. A Bitcoin owner in Florida used 10,000 BTC to purchase $25 worth of pizza from a Papa John’s outlet. At the time, Bitcoin’s value sat somewhere around $0.008. In case you’re wondering, that pizza would be worth a little over $80 million today. Despite Bitcoin’s wild volatility, those who gambled on the digital currency at the outset are undoubtedly elated with the result.
The landmark pizza transaction didn’t immediately prompt the retail and service industries to jump aboard the crypto bandwagon. However, some innovative minds in the online gambling sphere took notice. Several crypto gambling sites cropped up over the next couple of years which seemed to give Bitcoin its long awaited purpose. Now, betting at Bitcoin online casinos is the in thing. Cryptocurrency and gambling go together so well that it would make Romeo and Juliet gag.
It’s a symbiotic relationship. Crypto-friendly online betting sites have played a key role in the rise of Bitcoin and other cryptocurrencies. On the flip side, cryptocurrencies have contributed immensely to the online gambling industry’s bottom line. By owning cryptocurrency and having a modicum internet savvy, folks from almost any corner of the globe can gamble online even if local laws prohibit online gambling. Sites that support cryptocurrency can tap into a previously unavailable market worth billions of dollars.
There are over 1,600 cryptocurrencies, but crypto betting sites obviously don’t support all of them. The vast majority of online casinos that support cryptocurrencies accept Bitcoin. Then there are other mainstream cryptos like Ethereum, Dash, Ripple, Monero, and Litecoin that are also widely accepted. Not surprisingly, these cryptocurrencies are leaders in market capitalization.
As much as betting sites contribute to certain crypto ecosystems, some cryptocurrencies like TRON and EOS are taking blockchain technology to the next level with their dApps. What is a dApp? Well, that’s a huge topic in itself. In short, a dApp is a decentralized blockchain-based application. What is one of the prominent dApp themes? Gambling, of course. The TRON network saw about $1.6 billion flow through the system during the first quarter of 2019. Even though around 65% of TRON dApps are for gambling, over 95% of activity is gambling related. Over 70% of EOS traffic was related to crypto gambling.
The gambling industry is experiencing an explosion of blockchain-based online gambling platforms. CashBet, SP8DE, and TrueGame are a few examples of gambling platforms that could potentially alter the online betting landscape. These platforms offer many advantages to players and operators. From a player’s perspective, blockchain-based platforms provide anonymity, transparency, instant payouts, and minimal transaction fees. This is quite appealing. Operators also benefit from building their betting sites using blockchain technology. It’s a win-win situation.
Some people buy various cryptocurrencies as an investment and have absolutely no desire to spend it or gamble with it. On the other hand, gambling is what motivates many others to buy into the more popular cryptocurrencies. If their favorite online casino accepts only Bitcoin, Ethereum, Litecoin, Monero, and Dogecoin, then they are going to only invest in those particular cryptocurrencies. They certainly won’t buy VeChain, Decred, or Holo. Why would they? It doesn’t serve their purpose. By supporting certain cryptocurrencies, online gambling sites assist the growth of those cryptocurrencies. They give an already massive online gambling community a reason to choose a specific cryptocurrency.
Sure, crypto users can now pay for a wide range of goods and services, but gambling remains a prime mover. In 2017, a survey of 60 crypto gambling sites found that an average of 337 bets totaling around 3 BTC were placed every minute. Putting that into perspective, that’s about 485,000 bets worth over 4,000 BTC each day. With the incredible growth of both cryptocurrency and crypto gambling sites in the past two years alone, imagine the volume of crypto betting activity that’s going on now? Imagine what it will be in 10 years?
This is a press release. Trustnodes has not undertaken any verification of any of the above statements and any statement or project contained therein is not necessarily endorsed by Trustnodes. Readers are strongly urged to do your own research.