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The Impact of Crypto on Payments

Cryptocurrencies have rapidly become popular worldwide with consumers increasingly opting for simple yet secure methods of payment.

It is essential for businesses to adapt to this change and provide more purchase options. In addition, several payment processors have upgraded their systems to accommodate cryptocurrency transactions, allowing merchants to accept cryptocurrency payments. As consumers push for it and several payment service providers respond, transaction volumes will only increase, and incumbent financial institutions may not be able to ignore it forever.

One industry that is already quite accepting of crypto payments is the iGaming industry. 

There is a symbiotic relationship between cryptocurrency and many gambling platforms. The majority of (if not all) games at most casinos are designed to be played using cryptocurrencies. For many reasons, playing casino games with crypto is more convenient and less expensive. Even classic slot machines and poker are enhanced by the use of cryptocurrency. Unlike traditional payment methods, they provide instant access to funds and are private.  In this article, we will further discuss how crypto influences payments at online casinos.

Maximizing Bonuses with Cryptocurrencies

The crypto market can be an excellent long-term investment, but it can also be used for gambling. A number of altcoins (including bitcoin) experience ups and downs, but their popularity is still growing. It is possible to make more money with a bitcoin wallet over a period of a few hours or days than with a traditional digital wallet. There are, however, plenty of UK casino bonuses, as well as casinos using cryptocurrency in general that offer better bonuses. It is this feature that makes cryptocurrency gambling so attractive. 

Cryptocurrency Payments: Benefits

With crypto payments, settlement cycles are faster and transaction costs are lower than with credit cards. With crypto payment services, you can build a borderless payment network that can enable seamless crypto payments anywhere in the world. The crypto payment providers assert that their exchange rates between cryptocurrency and fiat currencies are transparent. Merchants can use these services to accept global payments in a variety of ways. Moreover, merchants can develop an authentic and reliable identity when it comes to virtual payments—customers would hesitate to pay into a cryptocurrency wallet owned by an individual, but an established payment service provider could inspire much more confidence and trust. 

It may be possible for merchants to access new customer segments if they accept crypto payments. Cryptocurrencies are used by a substantial proportion of new customers, and the ticket size is double the size of credit cards. The ability of crypto payments to lower transaction costs, reduce fraud, and enhance customer transparency is likely to accelerate their growth in the near future.

Look Out For Risks

In spite of the strong case for embracing crypto payments, there is one word of caution for those who believe cryptocurrencies will become the currency of the future: a currency has to be stable so that consumers and institutions can determine fair prices.

The history of cryptocurrencies, however, is not one of stability. A conundrum arises from this volatility in cryptocurrency prices since people are less likely to use them as currency today if the price of cryptocurrencies will increase significantly in the future. The regulatory risk of existing cryptocurrencies is also greater, with many central banks opposing alternative currencies to sovereign currencies. A significant hurdle for crypto adoption continues to be the tax implications of crypto-related transactions.

It has always been the case that the payments segment has been regulated and that the identity of the institution making the payment has never been in question. Crypto payments are more difficult to identify, which makes incumbent banks wary of introducing this payment mechanism, especially given the current regulatory ambiguity. In terms of regulation and taxation, laws are still being drafted worldwide regarding the treatment of crypto assets and payments. As a result, most banks are waiting for a more clear regulatory framework before taking any further action. 

While crypto still has a long way to go in order to fully become the currency of the future it is slowly getting there. The iGaming industry has opened the door for crypto payments and other industries are bound to follow.