We explain how crypto-currency works and consider whether casinos will soon use digital cash instead of real money transactions.
Could new digital currencies like Bitcoin help players fund their accounts more cheaply and quickly? Is it also time to reconsider how we pay for services in a completely new way?
With more online retailers, including Microsoft and Expedia.com, embracing this fascinating (and increasingly valuable) crypto-currency, can we all soon abandon bank notes in favor of something more abstract?
What exactly is Bitcoin?
Bitcoin is a digital ‘crypto-currency’ that was created with the goal of generating the Internet. It allows for global digital money transfers, and its supporters point to the lack of bank or government regulation as a major advantage.
It was created in 2009 by an unknown inventor known only as Satoshi Nakamoto. Since then, several people have claimed to be Nakamoto, but his true identity remains unknown.
Instead of a regulated currency like GBP, Bitcoin operates on an open network where users are in charge. Users’ machines that perform complex mathematical algorithms generate coins, which are then’mined.’
Any Bitcoin generated is added to a Blockchain, and only a limited number of coins can be mined using the method used to generate them. There will never be another 21 million Bitcoins mined.
Rather than being tied to the dollar or another currency, the value of Bitcoin fluctuates as people buy and sell it.
Since Bitcoin’s inception, its value has skyrocketed. In 2010, the first online purchase was made for $0.01, but by 2013, the value had risen to $1,250.
Significant security breaches, such as the hacking of the trading platform Flexcoin, resulted in Bitcoin’s price plummeting to $200 a year later.
However, it has since recovered and has continued to rise. At the start of 2017, a Bitcoin was worth between $800 and $1000. By November 2017, it had risen to more than $7,500, its highest ever value.
Bitcoin and online casino gambling
On the surface, Bitcoin appears to be a good deposit option for online casino games, with more and more gambling sites accepting it as a recognized currency on their cashier page(korean site: 카지노사이트).
Can Bit coin ever replace VISA, MasterCard, and PayPal as a payment option for casino players? What if it deflates the Bitcoin bubble?
1. Transactions are immediate transactions.
In contrast to bank transfers, which can take days to process, a Bitcoin deposit or withdrawal is immediate and typically arrives in player wallets the next day.
2. The value shows no signs of falling.
Bitcoin’s value has risen exponentially in the last year or so, and there is little indication that it will fall significantly anytime soon. Some analysts believe that the value of Bitcoin will exceed $1 million, indicating that governments will be taken seriously.
3. Although it is not regulated by central banks, it is still controlled by them.
For the time being, Bitcoin is a ‘democratic’ currency that should not be hampered by large banks and financial institutions. Transactions are private, encrypted, and tax-free. However, as the blockchain grows in popularity, larger organizations will be required to participate.
4. There are no fees associated with
Few online Bitcoin exchanges charge fees, but most peer-to-peer Bitcoin exchanges charge none. The transactions are frequently completely anonymous.
5. Bitcoin can be spent on major online retailers.
Bitcoin was once only used to send money around the world anonymously. However, many large corporations are beginning to embrace Bitcoin, with e-wallets such as PayPal facilitating Bitcoin transactions for a small fee.