With the economic collapse and slow recovery that the world has seen since 2008, there is a lot of unease regarding the world’s currencies. The Euro is in trouble, and the Dollar is not what it used to be. With that being said, there is a form of currency that is taking the internet by storm. This new currency is secure, untraceable, and able to be divvied up into several pieces. In terms of value, it has skyrocketed recently, and is used by many types of people throughout the world.
That currency is Bitcoin, and it very well may be a major player in the mobile betting industry in the near future.
Bitcoins were launched in 2009 and works as a cyber currency. These cyber coins can be split in up to eight decimal places, and were designed to be limited to 21 billion at maximum. Bitcoins are created by mining, wherein users undertake computing resources to uncover digital codes to unearth the currency.
The money is then spent on goods and services throughout the web and is automatically converted to a certain value according to a set country’s currency. As of the writing of this article, a Bitcoin is worth roughly $127 USD, a pretty high price no matter how you slice it.
But it is online gambling wherein Bitcoin could really shine, and open the world to gaming markets that would otherwise be off limits.
Because its very nature is encrypted, Bitcoin is one of the more secure forms of currency on the market. Although its price is subject to rapidly fluctuating, Bitcoin is a great currency because it is not traceable, less likely to inflate substantially, and is decentralized (meaning that it is not backed by any government, which could potentially fail).
This is a great thing for the gaming industry, especially the mobile gaming industry. So many mobile punters gamble on the go because it is convenient. However, that convenience escapes when it comes to the casino’s financial system, as convoluted systems require punters to pull out their credit cards, exit the app to connect to a money wallet, and so on and so forth. This payment process takes players out of the game, and takes away from a lot of the fun that punters expect to have with this instant gratification world we live in.
Bitcoins could prevent this, as casinos could have a completely enclosed system wherein players could connect to a Bitcoin wallet and instantly transfer funds over without leaving a casino’s mobile app. This benefits both parties, as the convenience experienced by the punter keeps the casino profitable by not giving the player the chance to jump to another casino. But top of mind awareness is just the beginning of the benefits that Bitcoins can provide mobile casinos with.
As a decentralized currency, there are no limits on where a prospective mobile punter could play from. Sure, geolocation technologies will keep casinos licensed in certain areas from accepting action from certain spots. But it is those certain locations that cater to Americans or other oppressed punters that will have the benefit of dealing with Bitcoins and mobile bettors.
Currently the big issue with online casinos and books is that the restricted American banknig system simply makes doing business in the USA too costly to be profitable. However, if the dollar is taken out of the picture and replaced with Bitcoin, you will have a major hurdle cleared. Players could convert their cash to Bitcoins, spend it in a casino, have their winnings paid back as Bitcoins. Those coins could then be converted back to dollars and deposited into a banking account. While it seems complicated on paper, the process actually plays out much simpler in reality.
We are not saying that this is the end-all solution but the benefits of using a purely electronic solution is a big step forward in terms of a large scale currency. When on the go, this whole system could potentially push the mobile betting system even further than we have already seen, and it combines the best parts of various financial systems throughout the world.
With the restrictions put in place by various governments throughout the world, it is unlikely that we will ever see the introduction of a global friendly internet casino, but restrictions can be overcome in this industry, and innovations such as Bitcoin are the reasons why.