The age of cryptocurrencies is nigh – should gaming companies get with the times?
There are very few things that are as certain in this world as the success of Bitcoin, and companies will be hard-pressed to find a solution as intelligent as Bitcoin for their financial woes. While some industries are understandably reluctant to accept Bitcoin, there are some others that need to start looking into accepting the digital currency for payments.
We take a look into the continually evolving online gambling industry, which is expected to grow to $41.4 billion by 2015. This ever-expanding market is one of the many that can benefit greatly from allowing Bitcoin payments, because Bitcoin offers, among other things, security and control.
As with any market that deals with money transfers, online gambling relies heavily on providing secure payment channels to its customers. This is why the market only saw success when CryptoLogic developed the world’s first secure online financial transaction system for InterCasino in 1996. The lack of secure payment methods were also blamed for the impending failure of online gambling in New Jersey.
“There are a number of major banks that don’t allow their credit cards to be used for deposits for Internet gaming,” James Kilby of GamblingCompliance tells Bloomberg Businessweek. Even though the state has legalized online gambling, a federal law still requires banks to block online gambling transactions, and this has required those who want to participate in online gambling to find alternative ways to fund their online casino wallets. For many, these included Automated Clearing House transfers, and actual deposits at the land-based casinos who own the online casinos they’d like to play at, or even securing prepaid credit cards with each online casino. These methods were largely regarded as inconvenient, and because many people who play at online casinos do so for the mere convenience as compared to land-based casinos, this was a deal breaker for many.
Bitcoin could be used to remedy this, because the digital currency promises users full control of their resources and transactions. Players who use Bitcoin can rest assured that no false charges will ever be made on their accounts, and all transactions are made real-time. Let’s not forget how Bitcoin payments can be made without having to include the personal information of the players, protecting sensitive information such as their identities.
The digital currency could definitely usher in a new age for online gambling and secure payment methods, but for some reason, not all online casino sites accept Bitcoin. It’s high time for them to start embracing Bitcoin, a digital currency that was obviously made perfectly for the online gambling industry.
“What is Bitcoin?” I hear you ask? Watch this video aptly titled: “What is Bitcoin?”