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What Makes Crypto Sports Betting So Popular In 2024?
Fri, Aug 30, 2024
by
CapperTek
Internet-based gambling and betting have increased in the past few years, and more and more punters are embracing digital currencies.
Crypto sports betting offers many advantages to bettors and sportsbooks, and it is clear it is here to stay in 2024 and beyond. From faster transactions to more privacy, the benefits of betting with cryptocurrencies when compared to fiat currency are significant.
Let’s dive into why crypto sports betting is so popular, and the benefits it offers both bettors and bookies.
Increased Use of Blockchain Technology
One of the main reasons that bettors are using crypto more frequently is that more people are using blockchain technology. All transactions on the blockchain are secure and transparent, which are to necessary features of gambling transactions.
Those betting on sports are able to verify all the transactions, without fear of fraud or foul play from the bookie.
The blockchain is decentralized, which means that it is not controlled by any one institution or individual. It also allows smart contracting, which automates betting agreement enforcement. In simpler terms: it means both the bettor and the sportsbook must stick to the agreed terms, with no involvement from third parties or intermediaries.
Crypto Adoption in Online Casinos, iGaming, and Sports Betting
The iGaming industry, which includes online casinos and sports betting platforms, has fully embraced cryptocurrencies. This has boosted its popularity among gamblers and bettors.
The list of crypto casinos and sportsbooks is growing every day, with many platforms accepting both fiat and digital currencies.
Common cryptocurrencies accepted by iGaming platforms include Bitcoin, Ethereum, Dogecoin, and Litecoin (although many more are also accepted, it depends on the individual sportsbook).
Benefits for Bettors of Using Cryptocurrency for Sports Betting
Cryptocurrency betting offers bettors plenty of advantages that aren’t available when betting with fiat currency.
Faster transactions
All deposits and withdrawals are almost instant, whereas transactions with traditional currencies can take a few minutes or hours to reflect. This is crucial for sports bettors who often have to make quick betting decisions as the live game progresses.
No conversion or transaction fees
Digital currencies are a type of global currency, which means that there are no currency conversion fees involved when depositing or withdrawing funds from sportsbooks. This means that bettors can maximize their winnings.
As there are no intermediary financial institutions involved in crypto transactions, there are also no hidden transaction fees that the bettor has to pay.
Safe deposits
As mentioned, crypto transactions are secure, which means that all deposits made are safe. This is a major benefit compared to fiat transactions where bettors may struggle with declined or failed transactions.
Bigger bonuses
Online casinos and sportsbooks often offer major bonuses and membership deals for bettors who wager with cryptocurrency. These bonuses may include welcome bonuses, referral/loyalty programs, and deposit matching.
Although there are bonuses for those betting with traditional currencies, the rates of crypto bonuses are often higher.
Transparency
Since all blockchain transactions are logged on a public ledger, these can’t be reversed or altered in any way. The bettor can review the transactions to ensure they weren’t scammed by the sportsbook.
Anonymity
Signing up for crypto casinos and sportsbooks doesn’t require bettors to provide identification documents, meaning they can wager anonymously. The transactions themselves are also not connected to the bettor's identity, allowing them to retain their privacy.
No inflation
Whereas traditional currencies are subject to inflation rates, cryptocurrencies are not. However, bettors do need to keep an eye on the crypto market as it can be a bit volatile.
Higher betting limits
There are many sportsbooks that offer higher withdrawal and deposit limits to bettors who wager with cryptocurrencies.
Benefits for Sportsbooks of Accepting Cryptocurrency
Crypto betting also offers benefits to the sportsbooks:
Security: As all transactions occur on the blockchain, there’s no threat of hackers or fraud occurring.
No transaction fees: Since there are no third parties or financial institutions involved, the sportsbook doesn’t have to pay any additional fees.
Increased trust: Crypto transactions are secure, which means bettors are more likely to trust the sportsbook, enhancing its reputation.
Enhanced customer experience: By offering crypto transactions, sportsbooks are attracting a new sector of bettors who can now wager using their preferred payment methods. This enhances their betting experience, as they’re not forced to convert currencies or wait for transactions.
Data availability: Scrutinizing transactions on the public ledger with a blockchain explorer can provide sportsbooks with information on the bettors’ spending habits, without disclosing their identities.