Bitcoin has managed to become a pervasive presence in the online marketplace. A far cry from when it was originally introduced in 2009 by Satoshi Nakamoto, Bitcoin can now be found in many places as a legitimate payment medium. One of the areas of business that has accepted Bitcoin with open arms is the gambling industry. Bitcoin payments are quite popular in online gambling.
There are several reasons for Bitcoin becoming a favorite of the gambling industry. For one, it is secure. The cryptographic basis of Bitcoin makes it difficult to commit fraud. Next, Bitcoin also allows for smooth, seamless transactions. Finally, the cryptocurrency also allows people to do micro transactions.
Johnny Mayo of Forbes Asia’s 30 under 30 Finance & VC, when interviewed by CalvinAyre.com, had this to say about Bitcoin’s micro transaction ability:
“I think, there’s a few different variables here but I think the largest would be now we have the first opportunity for micro transactions. We have the ability to be able to split a value of a percent. Using current traditional payment system, you can’t do that. You can’t send to send to each other and it makes certain ideas impossible from the get go. That for me, I’d say is probably the bigger things with bitcoin and gaming is the micro transaction element.”
People mostly know micro transactions from their use in free-to-play games and the like. Take for example how SatoshiDice revolutionized online betting with its micro transactions on blockchain dice. However, online gambling can benefit from this, too. Micro payments allow for impulse play by gamblers.
Regular gambling sites that use fiat currency transactions usually have high minimum deposits, which may not be possible for some players. With micro payments, gamblers who are itching for a game can drop by with only a few satoshi and start playing. That is just one facet to it as micro payments also make it possible innovations in the gambling landscape like it has done for the online gaming market.
Mayo’s optimism about Bitcoin extends beyond micro transactions. Regulation is one of Bitcoin’s difficulties but he thinks that as it will immediately come into place, Bitcoin would be able to adapt. He thinks that developing nations will be able to adapt to Bitcoin well, as he says in the interview:
“There’s such a lot to take in, there’s such a lot to take in, there’s such a lot learn with bitcoin and block chain, and regulators are already quite have a number of new technologies that they haven’t to get to grips with and familiarize themselves with. It’s definitely happening now, there’s definitely a lot of conversations in a lot of countries, we are all aware of bitcoin, blockchain, and the potential implications, and I think over the next or so now we are going to see more and more headlines like we’ve already seen in places like Japan, Hong Kong, Singapore, that are bit more established, that probably have bit more resources to be able to get a head around and get their teeth into this matters.”
He also believes that Bitcoin will become a great equalizer for those in the developing nations who have no access in traditional financial service. This should open up a bigger market for online gambling operators.