There’s a lot of talk about cryptocurrency and all the many merits it brings to the gaming industry, among others, but very little is mentioned about the blockchain technology that underpins it. Other than the fact that that cryptocurrency will not exist without it, the average online casino user knows close to nothing about how the blockchain aids their gaming. It then leaves some wondering if there’s a pressing need for it, if this “global panacea” actually opens them to some risks they are unaware of, and summarily, if it is any good.
Well, let’s explore what the blockchain brings to the table outside of cryptocurrency and then answer these questions at the end.
1. Ease and Convenience
The blockchain has solved one of the major issues that plague brick-and-mortar casinos, which is record keeping. The sheer amount of data that’s being exchanged between casinos and users every instant is massive, and the traditional methods of data datakeeping have proven to be relatively ineffective. Compared with the blockchain, where all the data are stored in files known as blocks, which are replicated on the network database with instant access by all members who use and access the blockchain.
It is convenient and cost-effective for casino establishments as they no longer need to invest substantial amounts of resources to set up complex databases, as was mandatory before the introduction of blockchain technology. This cost-saving then ripples to the everyday casino user as money that would have been used to manage operations can then be used to offer whopping bonuses and promotions that have become synonymous with online casinos.
2. Enhanced Security
The top reason online crypto casinos have become mainstream is the security they offer their users. In this current climate, where data theft and breaches have become commonplace, users are more intentional about how they keep their data, who they share it with, and how it is managed. This is where
crypto casinos come into their own because they do not require ID verification or KYC requirements and allow players to gamble as anonymously as the internet allows, which many find preferable compared to sharing their ID and payment information with the gambling site.
Now, players can log in to their choice online casino from the comfort of their homes, hit the jackpot, exit with their winnings in either crypto or fiat, and leave without a trace. All this is possible due to the security features of the blockchain, the most notable of which is its immutability. The
immutability of the blockchain
simply describes how any one party can not alter data stored on the blockchain; it eliminates the risk of fraud and removes the need for a traditional safety process like
Know-Your-Customer (KYC) that requires users to share more information than they are comfortable sharing.
Another way the blockchain’s immutability helps protect the user’s interest is in ensuring fairness in gameplay and the results or outcomes. Because there’s nobody really to hold accountable when gaming online compared to being in a brick-and-mortar casino, users are usually skeptical about the authenticity of their results. But since the introduction of provably fair gaming technology that puts the results on the blockchain for players to verify by themselves, it has calmed the nerves of users who may have originally suspected hanky panky.
3. Cross-Border Gaming and Accessibility
Nobody will enjoy the option to gamble cross-border like people who have friends or family situated in regions different from theirs and have been unable to game with them due to the different regulatory requirements to establish online casinos worldwide; this, coupled with the fact that it might cost too much to trade between currencies just makes it unfeasible to use services outside your region — until now.
Since blockchain tech handshook online gambling, accessibility has been a problem of the past. Now, players can access
offshore casinos without having to worry about currency conversions due to the uniformity of the blockchain. One bitcoin in Spain is one bitcoin in England, with no conversion rates, no hidden charges, and relatively low transaction costs; it’s like gambling heaven.
4. Speed and Efficiency
Lastly, the blockchain is efficient and allows zero redundancy. There are no intermediaries; all the processes are governed by self-executing contracts known as smart contracts. Essentially, as long as some actions are satisfied, there will be a reaction of chain events. It keeps things endlessly ticking, with no downtime and very little need to chat up a support agent in the middle of the night.
Also, there’s the speed of the blockchain. To put it into perspective, the Solana blockchain recorded a daily average transaction speed of 1504 transactions per second on April 6, 2024.
So when you consider how blazing fast that is, the degree of efficiency on display, how much security users are treated to, and how they can gamble locally and offshore with ease, it becomes clear that the blockchain is not only good but has made a home in online gambling.
By Chris Bates
