Using Cryptocurrencies for Esports Betting

Crypto Betting

2022-11-10

Cryptocurrencies have been on the lips of many people for a while now. As more people learn about these digital currencies, the more they become enthusiastic about using them for business and personal affairs. However, as with any other good thing, cryptocurrencies betting have their dark side, especially when using them for eSports betting. 

Using Cryptocurrencies for Esports Betting

For betting enthusiasts considering shifting from fiat currencies, it is crucial to understand the pros and cons of gambling with these digital coins. Thankfully, that forms the gist of this article.

Pros of Gambling with Cryptocurrencies

Privacy

Online betting enthusiasts know there is generally a decent selection of payment options, from debit and credit cards to e-wallets and prepaid cards. However, one standout issue these payment methods can't guarantee is complete anonymity or privacy. In other words, gamblers need to reveal some personal data when using these deposit methods

For example, suppose the user does not share their data with the gaming provider (like in the case of e-wallets). In that case, they must at least share part of their personal/financial information with intermediaries or third parties.

With cryptocurrencies, all transactions remain anonymous. The privacy level that eSports punters and other online gamblers get when using Bitcoin, Ethereum, Litecoin, or any other crypto is simply unrivaled. Residents in countries where gambling is prohibited prefer cryptocurrencies to ensure their online activities are untraceable.

Speedy Transactions

All bettors like to be able to deposit into their online eSports betting account instantly and start betting right away. After all, that's the reason people sign up with sportsbooks and other online gambling platforms. Hence, it can be very frustrating having to wait to bet just because a deposit has not been processed. 

While most payment methods are fast, crypto transactions are instant. In addition, no third parties are involved in crypto payment processing, as with credit cards and e-wallets. This cuts down the transaction time.

Increased Security

Most eSports betting sites take security so seriously that they heavily invest in solid SSL encryption technologies to ensure customers' financial data is under key and lock. However, cryptocurrencies take data security to a whole new level by using what is known as blockchain technology, which is superior to SSL encryption.

No Location Restrictions

Some payment solutions restrict transactions to betting online eSports betting sites in certain jurisdictions or countries. In some cases, the payment options or currency used in a country may not be supported by the gambling platform. 

Moreover, there are countries where online betting and gambling, in general, are prohibited, even though an offshore gambling platform would still admit gamblers from those countries. Betting with cryptocurrencies enables punters to get around all these restrictions, allowing them to wager regardless of location.

Specialized Bonuses and Promotions

Many eSport betting sites offer bonuses and promotions aimed specifically at punters who deposit with cryptocurrency. While these goodies vary from sportsbook to sportsbook, one constant is that bettors need to be using a cryptocurrency to be eligible for these bonuses. 

This encourages gamblers to embrace digital currencies as the world gradually moves away from fiat currencies. However, one of the most crucial eSport betting tips is to have punters must check the terms and conditions of these bonuses and promotions.

Cons

Fluctuation of Value/Volatility

The cryptocurrency market is volatile, meaning the price of any crypto can change significantly in either direction without warning. For instance, a punter may convert their $200 into Bitcoin and deposit the money into their eSport betting account, only to find that the Bitcoin value has gone down when they withdraw later. 

In this case, the bettor will have to incur a loss. Of course, it could go the other way and result in a profit, but the fact remains that cryptos are unstable.

Little or No Government Oversight

The cryptocurrency market does not operate under the regulation of any authority or government. This means users have very few options to turn to in case of a problem with their money. However, that doesn't mean cryptocurrency eSport betting sites operate without a license. 

Of course, a good number of them are licensed and regulated. Even those without a permit may still be genuine, only that punters don't want to leave anything to chance.

No Take Backs

Once a bettor has sent funds to their cryptocurrency wallet, it is gone. There is no recourse if the money is sent to the wrong address. This is one area where payment methods like PayPal and credit cards outshine crypto payments. 

Hence, gamblers must be extra careful when playing with cryptos. The wallet addresses must be captured accurately.

Wrapping Up

Cryptocurrency has come a long way since its maiden appearance in 2009. Yes, gaming providers are in the business of making money, and with more and more sites accepting cryptos, providers are slowly but surely shifting the focus to what their customers want most. And while cryptocurrencies have both perks and drawbacks, the former makes them attractive to gamblers.

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