The global gambling business is a complex field with many moving parts. The first factor in that is the very diverse nature of gambling legality across countries and regions. Some nations have a near-total ban on all manner of gambling services. China is a good example, as it allows only a few forms of lotteries on its mainland. At the same time, its territory of Macau offers all manner of legal casino gambling, including slots and table games. Nearby Japan is an example of a huge gambling market that is very unique. It allows some form of gambling on athletic ventures, like horse racing, but bans casino varieties. Finally, there are even countries, like the US, where there are huge differences in terms of individual states.
Because of that, it is always hard to gauge the processes in the global industry. However, despite its diversity and differences, it is now clear that crypto gambling services are on the rise. The same options include unique crypto games that would not be possible without some blockchain feature, but also traditional gambling services that simply take crypto as payments. In that expanding ecosystem, many casinos and gambling operators are trying to find their niche or expand into existing lucrative ones. Yet, the signs also point to a possibility of all those vectors of expansion getting either clogged up or completely blocked.
History of Crypto Gambling
The gambling niche is a very ancient business and leisure domain. Archaeological evidence shows that even the most ancient cultures had games that revolved around luck, skill, and wagers of some sort. That desire to take risks and reap rewards from them remained a big part of the human experience throughout its history. With that in mind, it is no wonder that gambling services found their way into the cryptosphere very early on.
As soon as the bitcoin network started working in 2009, those who held BTC tokens began to use them for all manner of things, including gambling. Not long after, the first crypto casinos began working and offering their services. These were very small in their operating capacity and they attracted a global audience that was tiny, especially when compared to the traditional online casinos. However, they soon began to grow and create their own level of autonomous cryptocurrency adoption.
Gambling Digital Wallets
One of the most fascinating factors in the expansion of crypto gambling was the fact that it brought in new users to cryptocurrencies. Initially, these were people who were in activities like sports or some other branch of IT technology. But, as many began to understand the advantages of using digital currencies for gambling, the number of early adopters began to rise as well. This included individuals opening up their digital wallets just so they could engage in some form of online gambling.
Many of these did not care about bitcoin or any digital currency in itself, but the fact that they offered them many advantages in the field of online wagering. That covered things like low or non-existent transfer fees, level of privacy and anonymity, as well the ability to create wagers that are in single-digit USD cents. Those were the so-called layer one digital currencies. After them, came additional networks which offered even more exciting possibilities.
The further development of digital currencies, including things like decentralized autonomous organizations, yield farming, auto-executing smart contracts, and much more, also aided the development of digital gambling services. That is why platforms appeared that allowed users to bet on practically anything or those which focused on esports and in-match bets that take place almost instantly. On the other hand, anyone who was or is interested in making money from online crypto casinos also got a chance to do just that but outside of the actual activity of wagering.
Instead, again thanks to self-executing autonomous contracts, investors could place digital currencies they own in a casino and get instant payouts as part-owners of the same venture. That allowed for a completely new means of investment and passive income, which caused many to jump on board with this possibility. That, in turn, fueled more development and more advantages that both users and investors could employ for their own purpose. So, as an ecosystem, crypto gambling is set and geared not just for the years to come, but also in many ways for the decades to come as well.
One of the most exciting domains of the crypto casino industry right now is the metaverse. In this interconnected hub of VR experience, digital currencies, Web 3 platforms, and many more advanced IT technologies, gambling can play a pivotal role yet again. Like with the original layer one cryptocurrencies, exciting metaverse casinos could become one of the key reasons why people seek out the hardware and software needed to join the same digital space. That will be needed almost certainly for the metaverse as a whole in any eventuality. While the general appeal of something like the metaverse is clear to everyone, the end-user benefits might soon be obstructed by a very science-fiction vision of a virtual reality space where one can do anything.
That might sound good as a slogan, but for the actual users, the same space needs to offer direct and clear benefits, including the sheer excitement of that digital environment. Having shiny and glittering VR casinos that offer very advanced tech solutions to their users is precisely such a thing. Because of that, the whole metaverse space will have to support its gambling and casino real estate and ventures. In these, it has to find strong allies and jumping boards for further user adoption. Of course, that process will be seeded with its own custom and well-known issues and hurdles. Regulatory questions are the most obvious ones, but they are not the only ones. But, so far, crypto gambling managed to navigate that space. It will continue to do so in the metaverse as well.