Bets or bets in general are a relatively new concept in sports. As a form of entertainment, people have always enjoyed placing a wager or a bet on the outcome of a game. In early 2018, the world of betting took a giant step forward with the advent of cryptocurrency and the blockchain technology that underpins it. Sportsbooks and bookmakers have adapted to the changing market and new ways of doing business and now offer a cryptocurrency betting option for customers.
What Is Crypto-Betting?
In everyday parlance, cryptocurrency is used to denote a digital or virtual currency used specifically for online transactions. The three most popular cryptocurrencies are Bitcoin, Ethereum, and Litecoin. The virtual nature of cryptocurrencies makes them ideal for online gambling and betting because they are impossible to counterfeit. Moreover, the fact that there is a finite supply of cryptocurrencies makes them more valuable and, therefore, attractive to investors. Finally, the rising popularity of cryptocurrencies among mainstream investors boosts the appeal of this option for gamblers.
While all three cryptocurrencies can be used for virtual transactions, only Bitcoin and Ethereum offer true gambling advantages. Litecoin, in particular, cannot be used to gamble or place bets. Because it is more of a value-holding currency than a transaction currency, it is most often utilized in the creation of other, more profitable currencies. Thus, Litecoin can be considered a pre-ICO or initial coin offering (ICO) in the making!
The Advantages Of Crypto-Betting
As a form of internet-based gambling, cryptocurrency betting offers several unique advantages. First, due to the nature of the blockchain and the ensuing decentralization of data, there is no single point of failure. If one site goes down, you automatically have access to the rest. Second, due to the pseudonymous nature of cryptocurrency, there is no way to link your financial information to your actual identity. This solves the problem of internet gambling and betting sites taking down accounts for no reason other than disagreement with the gambler’s preferred currency. Finally, as previously mentioned, the fact that cryptocurrencies are scarce and valuable provides an incentive for investors to get involved in the market. As a result, the volatility of cryptocurrency prices makes it a more attractive play for active investors seeking short-term gains. In other words, if you’re looking for quick wins, you’re better off playing the bitcoin market than the US stock market.
The Disadvantages Of Crypto-Betting
Although relatively new to the world of sports wagering, the disadvantages of cryptocurrency wagering are many. First, unlike fiat currency, there is no central bank providing an authoritative value for cryptocurrency. For example, the Chinese government restricts the amount of Bitcoin that can be bought each week in order to control the price. In other countries, such as France and Spain, the amount of currency that can be won and lost through gambling is high compared to other forms of investment. Thus, you must be extra careful and aware of the laws regarding online gambling in your country.
Another disadvantage of cryptocurrency wagering is that it is not possible to use a credit card to make a deposit. This means that you either need to have a cryptocurrency wallet with you or be prepared to send digital currency to the site via an exchange. The first scenario is cumbersome, and the second one is highly vulnerable to hackers. Last but not least, and probably the biggest disadvantage, is the highly volatile nature of the cryptocurrency market. A lot can happen in the course of a day, and prices can change drastically based on a variety of factors. If you’re looking for a safe and stable investment option, cryptocurrency isn’t for you.
To summarize, if you’re a sports betting enthusiast looking for a safe and secure way to wager, you can’t go wrong with cryptocurrency. Keep in mind, however, that this option is only available to certain countries, and it is highly regulated. If you live in one of these countries, you can rest assured that your gambling activity is legal and that you will be able to enjoy all the perks that come with it. Otherwise, you’re likely to find yourself in legal hot water if you try to cross the borders with your wagers. Still, the advantages of cryptocurrency outweigh the disadvantages for the most part, especially considering that you have full control over your financial information and can access your accounts via any device.
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