Cryptocurrency Payment Options for Online Casino Real Money Gambling
A cryptocurrency (or cybercurrency) is a digital currency that can be used to make purchases of goods and services. The system uses an online ledger that’s protected with strong cryptography which secures online transactions.
Increasing numbers of people are turning to cryptocurrency for their financial transactions. Is this a good idea? Sloto Cash online casino suggests that, before you decide to use/not use cryptocurrency as a payment method for purchases of goods and services or as a way to conduct online casino real money gaming deposits and withdraws, it’s a good idea to read up to find out more about this unique method of transaction.
Cryptocurrency, also called “cybercurrency,” is a form of payment that can be used to buy goods and services. The exchange is used by a number of companies who have their own currencies – tokens – which can be traded for the specific good or service that the company provides. In order to obtain a token you need to exchange it for real currency.
Cryptocurrencies use a technology called “blockchain” which is a decentralized technology that manages and records transactions. Blockchains are spread out over multiple computers and it’s recognized as one of the safest technologies for financial exchange.
Currently, there are over 6,700 different cryptocurrencies which are traded publically. Market research website CoinMarketCap.com tracks these cybercurrencies, the number of which, they say, are growing. Cryptocurrencies launch through initial coin offerings (ICOs). Today, it’s estimated that the total value of all cryptocurrencies exceeds $1.6 trillion while the total value of the Bitcoin, the most popular digital currency, is approximately $969.6 billion.
Cryptocurrency trading companies are digital currency exchanges (DCE), businesses that facilitate the trade of cryptocurrencies for other assets. Such assets include other digital durrencies or conventional fiat money. Bitcoin, which was the first cryptocurrency, is the largest but some of the other trading companies include Ethereum, Tether, Cardano, Binance Coin, Polkadot, XRP, Litecoin, Chainlink and Bitcoin cash.
There are a number of reasons that cryptocurrencies have become so popular.
- Many people see cryptocurrencies as the “currency of the future.” They want to get started now so that they will have a stock when they become more widely-used and, therefore, more valuable.
- Blockchain, the technology behind cybercurrencies, is, for many people, preferable to traditional currencies because blockchain involves a recording and decentralized processing system that, supporters believe, offers more security than traditional payment systems. Your payment information cannot be stolen as can happen with traditional currency transactions. Since you don’t need to submit any personal data to effect a transaction, you’re protected from identity theft.
- The fact that central banks have no control over cybercurrencies is a source of great satisfaction to many supporters. Banks are able to reduce the value of money through inflation so, by taking the power away from the banks, the value of the currency is determined by users rather than the banking systems.
- Cryptocurrency transactions can take place anonymously, without the use of a bank or any identifying information being collected. You don’t even need to provide a legal name or address to effect a cybercurrency transaction. There’s no way to trace your transactions – even to tax authorities.
- Merchants, including online casinos, prefer cybercurrency transactions since there aren’t any chargebacks – once sent, the transaction is completed and can’t be reversed – fewer risks for merchants.
- The cost of transactions is lower than that of traditional online methods of currency transfers, meaning you get to keep more of your winnings.
- Inflation is not a worry since the number of coins issued by any of the cybercurrencies is limited so volume growth is predictable.
As with any type of currency exchange, it’s necessary to be aware of the downsides involved in using a cybercurrency. Some include:
- Volatility of the coins, whose prices fluctuate daily due to the limited number of coins in circulation. Whenever the demand for the coins increases, the value of those coins increases. For that reason, financial advisors don’t suggest keeping your savings in cybercurrency.
- It’s not widely understood so you can’t use your cybercurrency to make most of your purchases of goods and services. The number of merchants who accept cybercurrency payments is growing but it’s still not accepted by most vendors.
- Features and usage practices are still in their infancy due to the experimental nature of the cybercurrency. With time, those features will become more polished but at present, things are still a bit rough around the edges.
- The anonymity that is attractive to so many users can also be a problem. Since buyers and sellers can stay anonymous, buyers need to verify that the seller is legitimate before making a purchase. Once the cryptocurrency is sent, the transaction is complete. If, for instance, you are playing at an online casino, you can verify that the casino is licensed by an independent regulatory authority to ensure that your deposits and withdrawals are secure and that you will receive your winnings as promised.
So once you have a significant amount of cybercurrency, what should you do? Financial advisors believe that you should view them as speculations and that you shouldn’t consider them investments. They don’t generate cash flow so you can only profit if someone pays more for the currency than you did. It doesn’t increase value over time through cash flow or growing the profitability.
The long-term safety of cybercurrencies is also in question. While, for now, cybercurrencies are a good way to effect money transfers, over the long haul, as an investment, their value is questionable. A currency needs stability to enable consumers and vendors to determine fair price. Cybercurrencies aren’t stable and no one knows if they ever will be. That price volatility creates a conundrum since future worth might prevent people from circulating them today.
If you want to use a cybercurrency transfer method, you can buy them with U.S. dollars or with another cybercurrency. You’ll need to
- Get a “wallet.” A cybercurrency wallet is an online app that holds your currency.
- Create an account on an exchange
- Begin to transfer real money to buy the cryptocurrency coins.
Despite cybercurrency’s reputation as being a more secure form of online money transfer, you must still be careful while you are getting started. As you decide on the cryptocurrency that you wish to buy, check to see who owns the company and who the major investors are. Financially secure, well-known owners and investors are a good sign that the currency is safe.
You should also read the fine print to determine whether you’ll own a stake in the company or will simply be acquiring tokens. If you own a stake, you will be part-owner and will be invited to participate in earnings. If you simply buy tokens, you just use those tokens. Here, much depends on how involved you want to be with the currency that you are acquiring.
It’s a good idea to research the company to check whether the currency is already developed or whether the company wants to raise money in order to develop it. Riskier cybercurrencies are those that aren’t yet well-developed but, on the other hand, you may get a better deal when buying them.
Cryptocurrencies are still a speculative buy but online casino players find that most casinos today accept them, making them a convenient way to transfer deposits and withdraw winnings to and from a casino account.