In the gambling industry, online casinos are at the forefront of technological innovations while cryptocurrencies or digital currencies are arguably the most innovative payment solutions that exist on the internet these days. It is in this light that we hereby write to reveal the top five reasons why online casinos should adopt cryptocurrencies as a payment method.
5 Reasons Why Online Casinos Should Adopt Cryptocurrencies as a Payment Method
Access to More Market
As of the writing time, online casinos heavily rely on online payment platforms such as Stripe and PayPal. Regardless of the fact that online casinos are readily available in all areas with Internet Connectivity, not all internet users are able to use these platforms. It is worth pointing out to the fact that payment platforms such as Stripe and PayPal are not available in all jurisdictions. A few countries not supported by PayPal are Cameroon, Equatorial Guinea, Ghana, Gabon, Ivory Coast, and Central African Republic. In addition, some countries have lower debit card and credit card penetration thereby making it difficult for customers from such markets to use online casinos.
On the other hand, cryptocurrency payments are available worldwide and also present an important use case for internet casinos desiring to actively reach an entirely new market prospective bettors who are unaccounted for by payment platforms. If online casinos turn to accept cryptocurrencies such as Bitcoin, they’ll stand a chance of reaching new users from markets without popular online payment penetration or support.
According to market statistics and predictions, online gambling providers are generating healthy profits. These gambling providers could significantly increase their profits if less of their revenue was lost to payment platform fees. Online payment platforms and bank cards do charge a percentage for all transactions being executed. Note that transaction fees when dealing with traditional financial systems like banks and online payment platforms are significantly higher than that which comes with cryptocurrency transactions. This is to say that with cryptocurrency transactions, the fees are far less and it is usually paid by the user. Hence, by adding cryptocurrencies, online casinos could accept payments faster as they incur lower on transactional fees.
Access to a new community of Bettors
Over the last few years, the cryptocurrency community has grown exponentially with big businesses built around the cryptocurrency ecosystem and all its users. In possession of a total cryptocurrency market capitalization of $266 billion, online casinos that support digital currencies or cryptocurrencies could easily reach a new community of bettors who prefer to carry out their transactions with digital currencies over other available payment opportunities.
Cryptocurrencies own one of the biggest communities online that is made-up of people who are passionate and happy to propagate positive news, such as the addition of cryptocurrency as a payment method at an online casino store. In addition to this, all online platforms that embrace cryptocurrency as a payment option do receive extra coverage from cryptocurrency media.
No Chargeback fraud
Friendly fraud or chargeback fraud occurs when a customer executes an online purchase with their credit card and later request a chargeback from the issuing bank upon receiving the purchased goods or services. An interesting fact worth knowing is that cryptocurrencies offer online merchants protection from chargeback frauds. Unlike traditional credit card payments where financial transactions can be disputed even after being charged, all cryptocurrency financial transactions are final. Hence, for all online gambling providers who accept exclusively cryptocurrency payment, they won’t have anything to do with chargeback frauds of any kind. This is a clear indication that adopting digital currencies as a means of payment for online casinos will eventually protect all investors in this sector.