Digital currencies or cryptocurrencies are considered to be decentralized in nature and have gained popularity due to the transactions getting processed at minimal charges, payments are confirmed in a short span of time, the risk of payment frauds are low and there is no need for identification proof as well. Since cryptocurrency uses blockchain technology, each owner of the crypto coins transfers it to the next owner by digital signing of the transaction.
Any payee can follow the signatures for verification of the chain of ownership which helps eliminate the fraud. Cryptocurrencies have built-in authentication and validation mechanisms which helps in removing the need for intermediary financial institutions. For problem gamblers, cryptocurrencies are harmful because they tend to lose track of their expenses and tend to overspend. Competing with the market rates, they gamble for longer hours which eventually leads to harmful consequences affecting their personal and professional lives.
Crypto Gambling Has No Restrictions
There is a definite link between gambling and cryptocurrency Trading. Crypto gambling appeals to punters struggling to manage their gambling tendencies. Cryptocurrency is a digital currency used as a medium of exchange and uses cryptography for verifying and securing transactions. Bitcoin was the first and most popular crypto which was mainstream since 2017.
For regular punters, cryptocurrency trading acts as a risk-taking activity similar to what other gambling activities like sports betting, stock trading, scratch-offs, and fantasy sports offer. However, crypto payments are associated with major problems for addicted gamblers because of their anonymity and lack of restrictions. Problem gamblers trade cryptocurrencies frequently due to their impulsiveness and belief that they can beat the market rate. Thus, this is an extension of the high-risk factor of such trading activities.
Gamblers who trade both on high-risk stocks and cryptocurrencies have been reported to experience higher tendencies of problem gambling leading to anxiety and depression. Both the concepts share very similar demographics and thus the consequences can be worse too.
Self Exclusion Tools Are Not Working For Crypto Casinos
Since cryptocurrency maintains anonymity and does not require a player account, the currently responsible gambling strategies are up for a toss. Self-exclusion tools such as GamStop, GamCare, GamBan, etc including bodies such as Betting and Gambling Council (BGC) may still be possible if wallet IDs are used but are technically very easy to bypass. Even the standard software such as Gamban, Betfilter, Netnanny, Gamblock seem to fail in most cases if players follow non-GamStop portals including Casino Gap and start joining casinos outside the UK self-exclusion.
Thus, players are at high risk because they might tend to spend more than what they would intend upon when gambling with cryptocurrency. This occurs due to the nature of cryptocurrency treated as a virtual currency and punters might not readily accept or treat it as a regular value of money.
Another issue with crypto gambling is that punters who do not directly gamble may start indirectly gambling through this currency speculation. A large market exists where speculators buy, hold and sell cryptocurrencies for generating profits during favourable market fluctuations.
Transactions Cannot Be Refunded
Online casinos cannot grant refunds when cryptocurrencies are concerned. Crypto payments help in transferring value anywhere in an easier way allowing a person to be in control of his money. However, security concerns are also a part of it. Though these payments are highly secured, it also depends on an individual to use them correctly in order to protect his own money.
Crypto rates fluctuate a great deal and are at a high-risk point. Crypto payments are not globally accepted yet and can only be used for certain platforms. A cryptocurrency transaction is not reversible and can only be refunded by the person receiving the funds and thus one must be cautious while initiating transactions.
Digital currency payments are analogous to wire transfers and the payments are directly sent from one party to another without involving a third financial institution. Processing of payments is done via a private network and is irreversible, unlike credit card transactions that can be cancelled. Therefore, there are no chargebacks for merchants when taking cryptocurrency payments.
Cryptocurrencies boost up the online gambling experience in many ways and provide fair play to the customers. There has been an increased interest among punters to use crypto casinos due to technological modernizations.
Aside from a few drawbacks, such casinos have a lot to provide if used in a controlled manner. For problem gamblers, the scenario is different because they would lack the entire safe gambling environment concept, better promotions, instant deposits, and faster withdrawals due to their mindset.
The article does not contain investment recommendations, or recommendations to use the service described in this article. All the opinions expressed express exclusively the personal opinions of the author and the respondents. Any activity related to investing and trading in the markets carries risks. Make your own decisions responsibly and independently. Neironix is not responsible for the safety of your investment and does not make any recommendations