Blockchain is the technology that’s taking the world by storm at the moment. It seems you can’t turn a page in the newspaper without a cryptocurrency story or scroll through one of your social feeds for more than a minute without passing a blockchain tech breakthrough article.
Cryptocurrencies are a real asset to the betting industry as they enable people to wager money with low transaction fees and anonymity. You can enjoy the perks of cryptocurrencies – low transaction fees, enticing rewards, and maximum privacy – while gambling here: https://www.bovada.lv/bitcoin
With that being said, it’s a fascinating moment for this relatively new technology and if the speed with which innovation is occurring keeps going, then there are likely to be many more exciting inventions to be discovered. For the betting industry, this is no different.
Blockchain tech has been making all kinds of positive changes to the way that providers operate and the way that customers are able to place bets. These are some of the trends that you’ll start to see more of in this sector.
Anonymity Through Cryptocurrency
First up is the trend for betting sites offering cryptocurrency as a payment method. For a long time, there have been consumers that want to pay for their bets using cryptocurrency, but it has been difficult. Regulators have stood in the way of companies for a long time, but finally, there are the first few crypto casinos and sportsbooks creeping into the mainstream.
There are increasingly more companies offering their users the option of depositing and withdrawing funds as a cryptocurrency. Many companies hope to afford its customers total anonymity with their gaming and betting, due to the sensitive nature of these activities.
Anonymity when betting can be hugely beneficial to those who live in countries where betting might not be part of everyday culture, but more than that, some people simply don’t like having an online persona.
Those who avoid social media might simply want to not have their name associated with anything on the internet and using cryptocurrency as a payment method for their betting account allows them to maintain that.
Autonomous Betting Systems
Another way that blockchain technology is shaping the betting industry is in the form of autonomous betting systems. In order to understand this properly, it’s first important to understand how traditional betting sites work.
A traditional betting site will require you to sign up with your credentials, deposit money into your account and choose from a range of bets that they set the price for. An autonomous betting system will take odds from traditional banking sites automatically and give them to its customers.
There’s no need to fill in credentials or deposit money, you simply connect your crypto wallet and bet with whatever is in there. This means that at no point does the system ever ‘hold’ your money, except during the term of a bet.
So, if a customer bets on the outcome of a football match at the beginning of the match then the autonomous betting system will hold their cryptocurrency for the duration of the match before releasing it depending on the outcome of their bet.
This means that they don’t have to shuffle money back and forth between the betting account and the crypto account which saves them a great deal of effort, but also totally removes transaction times.
It’s In Their Hands
Some autonomous betting sites are taking their autonomy a step further by removing management teams entirely. As the system is run on a blockchain, it isn’t possible to tamper with it and it has to be run in a transparent manner.
This means that outside of how the basics work, the rest can be left for customers to decide. One site has taken the decision to give out a monthly token to each of its customers and allow them to vote on changes that could be made to the site.
One token equals one vote, meaning that each customer gets fairly represented, building a truly democratic site for everyone. This is a fascinating idea that is still in its infancy but could give great insight into exactly what customers really want from their betting providers.
Hugely Reducing Commission
In traditional betting sites, there is always a commission and depending on the size of the win, this commission can be huge. One global bookmaker charges a 20% commission on any winnings over £250,000. Whilst this is great business for the betting site, it makes a big dent in the consumer’s winnings.
Further to this, some sites cap the size of the amount that you can win. So if you take the odds of 1000/1 then you might not get paid out your full winnings. This becomes even more unfair when successful bettors are penalised more than their peers. So, how can blockchain change this?
The blockchain will be the same for all players and all transactions. This means that if you win a huge amount then you’ll still only pay the same commission as someone who won a couple of dollars. If you have great success betting then your betting amounts won’t be capped. If you take certain odds and place a large wager, then you’ll get paid out at those odds.
Transparency, it seems, could be blockchain technology’s biggest asset in the eyes of consumers.