Online betting is one of the fastest-growing markets in the world. Fueling this is the increasing number of smartphone users across the globe and the high penetration of internet access. Nonetheless, betting is also divisive.
Defenders assert that betting of any form is not only a source of revenue and tax for governments but also that people should be free to spend their money whoever they wish. Should it be legalized, and the trade allowed to grow, supporters claim that betting firms would even complement governments’ effort in strengthening infrastructure and draining the swamp (if there are allegations of foul play).
On the other hand, there are critics who claim that betting is addictive and propagates fraud.
Blockchain And Smart Contracting Are Game Changers
Be as it may, betting is here to stay. Blockchain has even made it easy for investors.
With blockchain and smart contracting, bettors need not depend on fiat currencies to punt but they can legally purchase a dapp’s token and bet on the price of real-world sporting events or even more interestingly, the price of other cryptocurrencies. Because smart contracts are triggered by on-chain or off-chain conditions (whose streams are vetted and approved), the client is at a pole position.
Let’s take an example of crypto betting platform AlphaPlay, where players are doublig their money every five minutes by predicting the price of a digital currency. To raise funds, the platform is conducting a token sale for the Alpha Gambling Loyalty program. Token holders are receiving 6 percent of the platform’s turnover as bonuses. 4 percent is rewarded to users that invite friends on the platform, while 90 percent is up for grabs as prizes for all participants.
All bets are transparent. Since payment obligations are fetched from, blockchains and payments activated through smart contracts, duels are honest. Cryptocurrency rates are from Binance, a leading cryptocurrency exchange, and players can compare final rates on their respective blockchains.
Proliferated by the expansion of smart contracting and launch of scalable networks, it is easy to see why blockchain entrepreneurs are quickly pouring into blockchain, keen on tapping the ever-growing benefits of distributed ledger technology and investing in platforms that enable those in stringent territories to enjoy everything that DLT offers.
Utilized correctly, blockchain can easily solve reputational issues around betting.
Benefits of Crypto Betting, and Reasons for Investing
However, benefits—especially for the end users, is more than what the eye meets.
First, there is privacy. Blockchain-based transactions are in strings and numbers not in physical addresses and names. Unless otherwise there are legal concerns, third parties can’t really know the face behind a betting transaction and make judgments. By investing in blockchain-based platforms, users are indirectly supporting and promoting privacy.
Second, placing crypto bets is by default fair and transparent. Coupled by streaming data from reliable, pro-blockchain ramps like Binance, players can easily audit if winners got their share fairly. All that is needed for an instant and independent verification could be the Bet identify number and other public details. This verification is also good for the platform. For its independence, it attracts more clients which means more turnover which can be distributed to token holders.
Third, given the decentralized nature of the underlying technology, there are no legal restrictions, and investing in crypto betting dapps is to democratize betting. Here, it means users from all over the world (as long as they have a connection to the internet), can place bets and reap high yields. In the US, financial betting is banned and prohibited yet thanks to blockchain, citizens can still place bets and earn rewards from betting on crypto rates. Moreover, crypto betting platforms are legally cushioned since they cannot be fined for receiving deposits or making payments to users in cryptocurrencies. Users, on the other hand, are only required to acquire coins and punt on crypto prices while receiving winnings without the need of a third party.
Fourth, investing in crypto betting dapps is to back efficiency. Winnings are processed faster and cheaply from blockchain-based betting platforms. The absence of a middleman and incorporating smart contracts mean that once conditions are triggered, the player need not to wait for days for their winnings to be funneled. Depending on the network load, winnings are processed immediately and are higher compared to when it is done through centralized platforms. There are no taxes on cryptocurrencies, only capital gains taxes, and therefore winnings are higher.