The gaming industry has been evolving rapidly over the past few decades. Computing and online gaming have brought huge changes to the sector and, as new technologies emerge, industry leaders adopt those technologies to improve the experience for gamers around the world.
Online casinos are renowned for being early adopters of new technologies, striving constantly to improve player experience and broaden the scope for online gaming. One of the more recent trends to be adopted by many online casinos is the embracing of cryptocurrencies.
What is Cryptocurrency?
Cryptocurrencies are digital currencies based on blockchain technology. This decentralised public ledger system makes online transactions safer and more secure while removing the need for a central overseeing authority. Each transaction is verified by users within the chain and added to the blockchain, where it becomes part of a secure system that is almost impossible to corrupt or hack.
This added layer of security makes online gamblers more secure when making deposits or withdrawals from their accounts. Many online casino players make frequent transactions and need to be assured that their details will be stored as safely as possible. With cryptocurrencies, there is no need for customers to share their personal bank details online. Transactions can be made via an electronic wallet and any winnings withdrawn can be converted into cash or used to make cryptocurrency payments elsewhere.
Trading in Digital Assets
A large part of many modern online games involves trading in digital assets. This may be making a deposit into an account, making an in-app purchase, buying a game outright or making trades with other players. Embedding cryptocurrency in gaming allows players to make those transactions securely without having to share personal data with the operator or with another player.
There are various monetization strategies employed by game-makers that apply to casino games and many other forms of games. Many of these can be improved by adoption of cryptocurrency. Several online casinos now offer players the opportunity to make deposits, buy digital assets or rack up rewards in bitcoin or other digital currencies.
GPU technology stands for graphics processing unit. This type of technology has been largely unique to gamers until relatively recently, when the cryptocurrency boom began. GPUs have the capacity to make trillions of calculations every single second. Game developers have long utilised GPUs to enhance the 3D graphics within complex games to improve the player experience.
Today, GPUs are also being sought after by crypto-miners. These are the people who help to regulate the decentralised public ledger systems, using computers to solve complex equations and verify each transaction in the chain. Demand for GPUs is soaring in direct correlation with the increase in cryptocurrency use across the gaming industry and other industry sectors.
The potential for cryptocurrency and blockchain to revolutionise the gaming market is huge. With players using digital wallets, in-game purchases would be specifically owned by the players and therefore could be crossed over to other games. This creates unique opportunities for cross-game compatibility, where players could use items purchased in one game to create new bonuses in another, completely different game.
Players would also be able to sell or rent items from their digital wallets to other players without resorting to selling on the “grey market”. As players would own bought items outright, they would be able to tokenise those items by offering them to players who have not yet reached their level or completed the right challenges.
Crypto-casinos are essentially online casinos that have payment systems in place allowing them to accept cryptocurrencies. However, the benefits go deeper than simply having another payment option. Crypto-casinos are able to offer exclusive games and services that are only available to those using cryptocurrencies and digital wallets rather than fiat currencies to play with.
Crypto-casinos offer multiple potential benefits for players, beginning with increased payment security online. Transactions are often faster and there are fewer fees associated with making withdrawals as there is no central authority. Players are not required to divulge and sensitive persona information when signing up and can therefore be assured that they are as secure as possible against fraud or data theft. Players of crypto-casinos are also not bound by geolocation regulations, meaning many players in regions where online casinos is strictly regulated or even prohibited can have free access to all their favourite games.
One factor that makes the gaming world ripe for early adoption of cryptocurrencies is familiarity with tokenisation. Most gamers of any age have experience with the concept of making in-game trades using a virtual currency. The only practical difference is that cryptocurrencies can be cashed out and converted into fiat currency. Many players are used to spending fiat currency to earn virtual tokens or in-game gold or funds. It stands to reason that these gamers will be less apprehensive about a real-life version of tokenisation than others who have little experience with the concept.
Blockchain and cryptocurrencies have the potential to completely revolutionise the global gaming industry. With many software developers adopting the technology, it should not be long before we begin to see major changes across online casinos and all forms of online gaming.
None of the information on this website is investment or financial advice. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website.