You have heard of cryptocurrencies, right? The first cryptocurrency was Bitcoin, but now, there are thousands of altcoins listed like Ethereum, Litecoin, Monero, and Polkadot. The acceptance rate of cryptocurrencies has increased over the years, and now, it is not surprising to find that many merchants and businesses are accepting payments in the form of cryptocurrencies.
This article will help explain what people gain from paying with cryptocurrencies. In that way, you can understand why you should consider paying your casino with cryptocurrencies.
Cryptocurrencies allow autonomy
Do you know what happens when you pay for something with your debit card? Ideally, you will give the merchant your card information or swipe your card. This begins the process of the bank transferring funds from your account to the merchant’s accounts. However, the bank has to approve the transfer of your money to the merchant. If, for any reason, they deny your request, then your money will not be transferred to the merchant, and the transaction will be declined.
Some people are against the idea that they have no autonomy over their money. That is one reason why they shift to using cryptocurrencies. The main reason is that cryptocurrencies are decentralized.
How does decentralization affect autonomy?
Before answering this question, it may be necessary to understand what decentralization is. Decentralization refers to the removal of authority from a central organization and the distribution of this power. In the case of fiat currency, the central organizations at play are the banks and the government. In the case of cryptocurrencies, the individual is responsible for their money. This is referred to as decentralized finance and is possible thanks to blockchain technology (more on this on the next point).
Now that you understand what decentralization is, let’s look at how payments with cryptocurrencies work. First, you are the only person with access to your cryptocurrency wallet. So you went to the Jackpot Capital casino download page, and after downloading the application, you realized that they accept cryptocurrency payments. You will take the address to their cryptocurrency wallet and transfer money from your wallet to theirs. This is a “peer-to-peer exchange,” and the transaction occurs as long as you have the money in your wallet; no external authority is necessary.
Therefore, cryptocurrencies are a great payment option for people who want to spend their money without having to go through any central authority.
Cryptocurrencies grant discretion and confidentiality.
This point builds on the fact that cryptocurrencies are decentralized. Since fiat currencies go through central organizations, these organizations are responsible for keeping a record of all transactions that go through them. This is necessary as it creates accountability.
However, under certain circumstances, the bank can give your bank information to third parties. For example, if you share your account with somebody, they can see all the transactions carried out through your shared account. Additionally, you or the bank may be legally required to submit this information, for example, if the court issues a warrant for it.
However, some people do not want their gambling to be found out. For example, if you’re hiding your gambling from your partner, you may not want the payment records to appear on your joint account.
Isn’t blockchain a public ledger system?
Anyone who only has a rudimentary understanding of blockchains may not understand how cryptocurrency would afford them any privacy. This is because the cryptocurrency’s blockchain, its public ledger, is available to everyone with the cryptocurrency. What you should remember is that names in the blockchain are typically encrypted.
This means that while everyone may have a copy of all transactions done with the cryptocurrency, they cannot quickly decipher who made the payments just by looking at the transactions on the ledger. In this way, you get to decide who can find out about any payments you make.
Does this mean that cryptocurrency payments are untraceable?
No, it does not mean that cryptocurrency payments are untraceable. With enough time and the right resources, the encrypted records can be decrypted. However, some cryptocurrencies are anonymity-enhanced and would be more complicated to decrypt than regular cryptocurrencies. They include Monero and the Lightning network. However, it is not common to see these cryptocurrencies as payment options for most merchants.
Cryptocurrencies have lower transaction charges.
Whenever you make payments with traditional financial institutions or with third-party payment services, the intermediary institutions charge transaction fees to facilitate the exchange. The charges can run relatively high, especially if there is a cross-border transfer. This can significantly hinder players who want to play casino games with international casinos outside of their jurisdiction.
How do cryptocurrencies solve the high transaction charges issue?
First, since there is no intermediary authority facilitating the exchange, those facilitation charges are eliminated. Secondly, since cryptocurrencies are digital currencies that do not depend on any central authority, there are no forex exchange fees to be charged. While there are no facilitating charges, cryptocurrencies still charge a small transaction fee.
In the case of Bitcoin, these fees are used as incentives to miners to validate transactions before they are added to the block. However, any cryptocurrency fees charged for making cryptocurrency payments are small compared to standard transaction charges.
The three reasons given in this article are just some of the benefits you stand to gain if you decide to start paying your favorite online casino with cryptocurrencies instead of fiat currency. There are many more benefits, and you can do more research to find them out.