Crypto Betting vs. Traditional Betting: Pros and Cons

Cryptocurrencies have been widely used in online betting ng for years. Features provided by cryptocurrencies and blockchain networks are in many ways suited to the needs of those who bet online. 

In this article, we’ll discuss the differences between traditional betting and using cryptocurrencies. Both options have their pros and cons that players should be aware of and weigh against each other. The differences don’t affect the gameplay or the chances of winning regardless of which way you decide to go in the end.

Pros of Crypto Betting

Using cryptocurrencies to bet comes with many advantages and players and casinos have been taking advantage of these.

Fast Transactions

Cryptocurrency allows for fast and in most cases instantaneous transfers of funds. Since cryptocurrencies don’t rely on a centralized financial structure, payments can be made right away and there’s no reason to wait on a middle-man to approve them. This is the case when players deposit funds to a casino like https://cryptocasinos360.com/ and when they withdraw their winnings.

The ability to instantly transfer funds also requires the player to take bankroll management seriously and to be responsible for overbetting and chasing losses.

Betting Anonymously

Cryptocurrencies don’t rely on any centralized financial structures. This means that you can play anonymously with these bookmakers and deposit and withdraw your funds with nothing but an email address.  It’s quickly becoming one of the most sought-after features, as players value online privacy more than ever.

Recently, however, some countries have introduced “know your customer” laws that require gambling establishments to ask their customers to provide their real names.  Luckily, this regulation isn’t widespread and there are still plenty of casinos that allow users to bet without providing any personal info.

Provably Fair Bets

Crypto casinos provide provably fair bets. That’s because the terms of the bet are written into the blockchain code itself. The code is open source and every player can inspect it and make sure that the odds are satisfactory. The payments are also automatic and the funds are released to the player as soon as the terms of the bet are met. 

The games played in crypto casinos still have an edge in favor of the casino, as does any game. The edge is the smallest in poker and other card games and the largest in slots and games of luck.

Cons of Crypto Gambling

There are downsides to using crypto casinos, as well. The players have been aware of these from the get and it was always a matter of balance between the inherent problems with cryptocurrency betting establishments and the innovation they provide.

It requires Learning

Using cryptocurrency casinos requires a bit of learning and adapting on the part of the players. The process is relatively simple and setting up a crypto wallet isn’t that much different than using digital wallets such as PayPal and Skrill, but it does require extra steps not needed for those using fiat money.

The players should also stay on top of trends and changes in the crypto industry, which is additional work not all players are ready to take on.

It’s Volatile

The value of cryptocurrencies isn’t tied to any central bank or any other financial institution.  It’s worth only what the users are willing to pay for it. That means that the value of cryptocurrency changes over time. Most of the widely used cryptocurrencies have proven to be volatile and they’ve had their ups and downs.

The value of your winnings is therefore not fixed and you may end up getting more than you won or less, depending on the value of crypto and how it changes over time.

New Regulations

When cryptocurrencies were first introduced they were unregulated since no laws covered such an innovative financial tool. This was an exciting time for investors and players since the whole industry operated as freely as possible. Now when cryptocurrencies are widely used there’s much more regulation involved.

New regulations will also be introduced soon to prevent fraud and money laundering. This brings more security to the industry, but it also makes it similar to traditional betting establishments.

Pros of Using Traditional Casinos

Traditional casinos have been around for centuries in one form or another and fiat currencies are used for more than that. Using them has its advantages and chances are that traditional casinos will be around for a long time.

Tradition

Casinos that use traditional fiat currency have been around for much longer than the ones focused on cryptocurrency payments. This means they’ve had more time to establish their practice and to come up with a system that the players can rely on. This includes customer support, a bonus structure, and an approach to organizing tournaments.

Such casinos also work with financial institutions such as banks and cards that have similarly well-established operations. It creates a sense of trust and safety that’s so important to players using online casinos.

Ease of Use

Fiat currency casinos are easy enough to use and there’s no learning curve that some may need to go through when using crypto casinos. Transferring funds from your bank or a card to a casino is the same as making any online purchase and there are no additional tools to learn about.

The value of your deposits and winnings is also simple enough to understand as it’s not as volatile as cryptocurrencies. There’s no reason for players to know anything about national banks or financial institutions in order to bet.

Accessibility

Fiat currencies are accessible worldwide and easy enough to get to through traditional institutions such as banks or debit and credit cards. They can be used to make purchases and obtain services online and offline. Almost anyone can open a bank account almost everywhere in the world and connect it to almost every casino.

It’s equally simple and accessible to exchange one fiat currency for another for only a small fee and within seconds.

Cons of Traditional Casinos

Using traditional casinos has its downsides that come from the way fiat currencies work. Players are already of these and they are usually one of the reasons they move on to cryptocurrency casino establishments.

Privacy Concerns

Casinos that use traditional fiat currencies can’t provide anonymous betting. The funds are transferred via banks or cards and that means players need to provide their real names to the casinos. This also comes with tax implications regarding the winnings made online.

Many players find anonymous betting to be essential and use only crypto casinos as they want to minimize their online footprint. As time goes by and more of our lives are posted online this will become an increasingly important feature.

Slow Transactions

Transactions made to and from traditional casinos are slower than those made to and from crypto casinos. This is especially true when it comes to withdrawing your winnings. These casinos use middlemen such as banks or debit card companies and that slows down the process.

In most cases, it takes up to 48 or even 72 hours to get the funds you’ve won in an online casino. Depositing funds is somewhat faster but it can also be affected by bank holidays and work hours of different banks or card companies.

More Fees

Transferring funds from online casinos that use traditional fiat currency comes with additional fees. These are paid to cover the infrastructure involved in the process – such as banks, e-wallets, and debit cards. The amounts depend on the bank you’re using and the amounts you’re transferring.

This is an especially important concern for those who are betting small amounts and the fees bite into their winnings.

Both traditional and crypto casinos have their pros and cons. Players should carefully compare and contrast them and plan out how they plan to use the casino before choosing which way to go.