More than 35 states, including the nation’s capital, Washington, DC, have legalized retail and online sports betting in the US since the US Supreme Court lifted the federal sports-betting ban in 2018. This shows us just how big the sports betting world is. Sports betting is already a multi-billion-dollar business, and if every US state adopted legislation, it could generate as much as USD 20 billion. The latest innovation in the sportsbook industry is the crypto sportsbook.
The US government has slowly embraced crypto with a supportive regulatory environment. All digital assets released to the US market are regulated by the Securities and Exchange Commission (SEC). The latest attempt to mainstream crypto in the US is the SEC’s approval of Bitcoin and Ethereum exchange-traded funds (ETFs). Meanwhile, with the new crypto-friendly US President Donald Trump’s administration, states might see more use of crypto, including a federal bitcoin reserve and easier crypto casino regulations.
Crypto Sports Betting In The Us
Cryptocurrencies are legal in the US, but there is no specific policy around crypto sportsbooks. The regulatory structure for online crypto casinos is mainly state-driven. Many online sports betting companies now accept crypto coins because of the popularity of Bitcoin, Ethereum, and other cryptocurrencies. The transition to crypto sports betting is so great that its potential to take over the classic sports betting industry is unassailable.
Some crypto casinos have created native cryptocurrency to ensure they can meet the regulatory requirements of the states they operate—crypto sportsbooks like BC. Game and BetFury have native tokens to improve transparency and ensure user security. The sportsbook provides a convenient way for users to bet with cryptocurrency without the hassle of cross-chain interactions. Users also benefit from loyalty rewards, bonuses, and increased security.
The most significant advancements in sports betting in recent times are based on the adoption of cryptocurrencies. More recently, the impact of tech on sports betting cannot be underestimated. Using native crypto tokens to place bets, AI to arrive at winning odds, and live betting during real-time games have significantly impacted the sports betting industry. These advancements are tied mainly to online sports betting, raising speculation on the future of traditional sports betting.
Benefits Of Cryptocurrencies In The Sports Betting Industry
Why are crypto sports betting sites seemingly the future of sports betting? These five reasons hold the answers.
Swift Transactions
Sports bookies are not the only people driving the increase in cryptocurrency adoption. Players turn to crypto for their transactions because it’s quick to use. The most traditional payment networks can delay deposits or withdrawals by days.
This doesn’t happen for crypto transactions because transactions made on the blockchain take very little time.
This flexibility of having instant access to funds to launch bets on either live or virtual games makes cryptocurrencies the choice of many gamblers. What’s more, wagerers don’t have much to fear if they face chargebacks (the way most cardholders do). Now that banking issues like this are thrown out, users can top up their accounts quickly, and sportsbooks won’t have to fight financial settlements and refunds.
Low Fees
Traditional bank transfers incur significant transaction fees, especially when the figures are high. This is mainly due to the presence of payment intermediaries or processors, which becomes more costly when transactions are cross-border. Cryptocurrencies, on the other hand, do not operate with intermediaries and reduce transaction fees substantially.
Cryptocurrency is a cost-effective way to mediate payments for bettors that perform transactions regularly. Sports betting operators also greatly benefit from providing crypto payment options, as related processing costs associated with traditional banking channels are minimized. By cutting down on operating costs, sports betting platforms can afford more competitive features for members.
Accessibility
International payments are expensive, but crypto takes care of them with its low cost and near-instantaneous payments. A bonus for crypto-based sports betting players is that the same cryptos can be withdrawn from anywhere in the world without changing cash. Sports betting fans can quickly process transactions without concerns about whether local currencies are supported or the high exchange rates. This allows punters to access sports betting services across borders.
Privacy
Perhaps the most popular and important feature of cryptocurrencies is anonymity. If you are a casino player with more of an interest in keeping your gambling online anonymous, then crypto is perfect for you.
Traditional payment systems allow individual tracking with a personal account, which is non-existent with crypto users, offering more anonymity. Some cryptocurrencies are specialized for privacy and anonymity, such as some less mainstream currencies like Zcash and Monero. Most online sportsbooks allow users to keep their identity and transactions private by facilitating only crypto transactions. However, depending on the state, KYC may be required, limiting the anonymity users can experience.
More Bonuses
It’s common for crypto sportsbooks to offer more bonuses and promotions than regular online sports betting platforms. This is mainly due to the operating costs these platforms save by focusing on crypto as the sole payment method. With cuts in costs, crypto-based sportsbooks can roll out special bonuses and incentives to players. These promotions range from cashbacks, deposit matches, and free daily spins to loyalty programs. Some sportsbooks that support conventional payments have unique promotions that are strictly for crypto users.
Conclusion
The outlook for cryptocurrencies in the sports betting industry remains bright. 77% of American adults support legalizing gambling in their states of residence. With more favorable regulatory policies expected to roll out under the new US administration, crypto sports betting may be the next big advancement in the betting industry.
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