It’s no secret that the adoption of cryptocurrency has changed almost every aspect of modern finance. Some industries have been affected more than others as online casinos use blockchain technology to their advantage. Cryptocurrency can act as another payment method for casino players, making deposits easier than ever.
The benefits of using cryptocurrency in online casinos
When you visit most online casinos, the benefits of using cryptocurrency to fund your account are immediately apparent. For example, the variety of online blackjack and slot machine providers will offer juicy bonuses for any deposit made with bitcoin or Ethereum. However, there are some other benefits to consider, some of which include:
As long as you set up your wallet properly, cold storage devices such as paper wallets and ledgers can be one of the safest places to store your funds. These wallets are not connected to the Internet, making them incredibly difficult to hack.
In addition to this, transactions must be confirmed manually before they are completed. Confirmation often requires a unique password or even a code sent to the asset owner’s cell phone. Without this information, the transaction cannot be posted and no funds will be moved.
On average, transactions in the Ethereum blockchain take 15 seconds to 5 minutes to complete. Once enough confirmations have been processed, the funds will go to the casino of your choice. The available game balance in your casino account should update immediately, reflecting the deposit and any bonus funds.
It is important to know that there are still fees associated with depositing at an online casino using cryptocurrency. The amount of this fee will depend on the blockchain and currency you choose. For example, the average Bitcoin transaction costs around $0.30, while the same Ethereum blockchain transaction will cost you around $0.56.
These fees tend to be much lower than you would expect from traditional deposit methods such as PayPal or credit/debit cards. The amount you pay for each transaction is also clearly visible before you send any cryptocurrency. With other methods, costs such as currency conversion fees are a bit more difficult to determine.
Disadvantages of cryptocurrency used in online casinos
For those who use cryptocurrency regularly, you are probably familiar with the potential drawbacks. However, two major drawbacks affect casino users:
Before buying cryptocurrency, most exchanges inform people that they are prone to volatility. If you keep your funds on a casino balance for an extended period, you may lose value. However, this is not strictly negative, as price movements can also work in your favor.
Once you have confirmed a cryptocurrency transaction, it is no longer possible to undo it. This means that if you accidentally send funds to the wrong address, they cannot be recovered. To avoid this, double-check your wallet address before sending any funds. You can also send your cryptocurrency in small batches unless you are depositing for a specific casino bonus.
As more and more casinos offer cryptocurrency as a deposit method, players must know a little bit about blockchain technology. Of course, it is also important for anyone investing in cryptocurrency to understand how their currency affects other industries, including online casinos.