online gambling

Will Cryptocurrencies Replace the Traditional Banking Methods of Online Gambling?

Editorial Team Avatar
Apr 16, 2020
5 min reading time

With recent events regarding the rapid spread of what is known as the Coronavirus, the use of online wallets has vastly increased, proving the importance of transacting funds effortlessly and without the necessity of hard cash on the premises or on our being. Online gambling is only growing and the popularity of the profitable past time has raised some valuable questions. One of the most commonly asked questions is whether or not cryptocurrencies will replace the traditional methods of payments used in funding players casino accounts and with this, how would this impact the iGaming industry?

Types of Banking Methods 

payment methods
Source: Mynewsdesk

There is a range of banking methods available to players around the world and depending on which part of the world players hail from, the list of available options tends to become more convenient. Some of the most popular methods include eWallets such as Skrill, Neteller, PaySafeCard, and PayPal, while other common methods include credit cards and debit cards. Recently popular online casinos have been adopting numerous cryptocurrencies as payment options, options other than just Bitcoin. Some include Litecoin, Ethereum, Dogecoin, Dash and Bitcoin Cash. The more banking options there are, the better the online casino for the player as there will be many options to utilize in order to receive access to funds quicker and faster.

The Evolution of Online Gambling Banking Methods

It hasn’t been until recent years that players thought cryptocurrencies stood a chance of taking over payment methods. Players have always been thought of as creatures of habit and as a result, there was never any reason to think that methods such as PayPal, credit or debit cards would fall away. But online gaming is built upon modern technology and this technology evolves to create a more realistic gaming experience and in turn payment systems are revolutionized. This is how eWallets came into existence which would then later be the reason why cryptocurrencies come into existence.

Cryptocurrencies vs. Traditional Banking Methods

Source: Pqs

Though traditional banking methods remain effectively in place, many casino players have pondered whether or not these traditional financial platforms will fall away. For players open to trying new and effective ways of simplifying online gameplay, the idea is not unwelcomed and doesn’t impact modern casino players. However, there is a large market that remains fiercely loyal to these traditional banking methods. Some have claimed that due to the long withstanding nature of these brands, brands such as Visa, Visa Electron and MasterCard, a majority of online casino players feel more secure and details appear to be kept safer due to the reputation of these brands.

For this reason, amongst many others, it seems highly unlikely that cryptocurrencies will altogether replace traditional banking methods. What could potentially happen, and in a way, something that is already happening is that cryptocurrencies are beginning to attract the eye of even the most traditional player. The advantages far outweigh any doubt for players new to cryptos. For this reason, more online casinos will adopt the payment platform, and if the casino is a popular one, it will adopt more than one cryptocurrency option. And though cryptocurrencies may become more popular than traditional banking methods, there will always be space for traditional payment options.

The Advantages of Cryptocurrencies at Online Casinos

Those who are unfamiliar with cryptocurrencies, such as Bitcoin and Litecoin, will soon come to realize the benefits of using these currencies if given the chance. Cryptocurrencies are decentralized units holding a monetary value that uses blockchain technology. This kind of tech allows users a certain amount of secrecy, allowing them further protection of sensitive data as well as anonymous usage that cannot be traced back to the user. Another advantage is the faster turnaround times. Crypto transactions take anywhere from an hour to 24 hours to reflect in a player’s accounts, and this is if the transaction isn’t instant which it generally is at participating online casinos.

Notorious online casinos spread around New Zealand, Canada, America, and other countries have all realized the value of adopting various eWallets and cryptocurrencies. Amongst these cryptos, other payment and withdrawal options remain firmly in place and are bound to stay a favoured option amongst many players. Kiwi players are especially fond of POLi, Skrill, and Neteller; however, depending on the casino, some bonuses won’t be paid out if Skrill is used. Nevertheless, players feel the comfort of using a trusted method and would rather forgo the bonus offer. This is where Bitcoin, Bitcoin Cash, Dogecoin and other cryptocurrencies come into play and why it is thought that through these currencies will not replace traditional banking methods at online casinos altogether, they certainly will begin to infiltrate even the smaller online casinos and ultimately become a preferred banking method due to the multiple advantages of such currencies.

The Future of Online Gambling

As technology allows growth within the online gambling industry, players will witness many changes in the future. One of these adjustments will be the introduction of various payment and withdrawal methods, and while many will be accepted, there will only be a few to remain an option. We imagine that cryptocurrencies will also be introduced and just as there are various eWallet payment systems in place at online casinos, not all are welcomed. The same could happen with cryptocurrencies. But one thing does remain clear; the future of online gambling links with cryptocurrencies and online casinos would do well by adopting this as a payment method.

Featured image: GamingZion

* The information in this article and the links provided are for general information purposes only and should not constitute any financial or investment advice. We advise you to do your own research or consult a professional before making financial decisions. Please acknowledge that we are not responsible for any loss caused by any information present on this website.
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