New record crypto payments in online casinos
Payment with Cryptocurrency in Online Gambling Increased Strongly
More and more online gamblers are turning to cryptocurrencies to make their gambling and betting wagers. According to a new study by international gambling and sports betting platform operator SoftSwiss, crypto payments in online casinos rose to a new record high in Q3 2021.
In Q3 2021, a total of 43.3% of all deposits at the more than 300 online casinos reviewed were made with cryptocurrency. This is a dramatic increase compared to the same period last year when crypto payments accounted for only 15.7%.
Cryptocurrencies are used much less by the online bookmakers supplied by SoftSwiss. In Q3, only 1.24% of bets were placed via Bitcoin, Ethereum, and Co.
Gaming and Betting Stakes in 2021
In whole numbers, more than 18.9 billion gaming and betting stakes were paid with cryptocurrency in Q3 2021. These would have added up to more than 715 million dollars. In Q2, there were 14.7 billion stakes worth just under 559 million dollars.
The increase is even more significant compared to the same period last year. In Q3 2020, online gamblers placed 6.74 billion bets worth 286 million dollars. Softswiss COO Andrey Starovoitov comments:
“This strong growth is not only due to SOFTSWISS’ organic development but also to the increasing digital consumption worldwide. iGaming companies are investing more and more in marketing. This leads to an increase in the popularity of online gambling and betting among a female audience and young gamblers over the age of 21 who are actively using cryptocurrencies in their daily lives in general and for online betting in particular.”
This is reflected in the rising share of cryptocurrencies in iGaming.
Bitcoin Continues to Lead the Way with the Rising Popularity
The lion’s share of crypto payments is made via Bitcoin. The cryptocurrency, introduced in 2009, continues to gain popularity among online gamblers. In Q3 2020, the Bitcoin share was 78.5% of all payments with cryptocurrencies. In Q3 2021, the percentage had risen to 86.6%.
Bitcoin is considered the world’s most potent digital alternative to fiat currency. In 2021, the currency has reached a new record high. Today, Monday, the price of one Bitcoin was 51,127 dollars at around 8:00 a.m., according to Coinbase.
In comparison: In the first month after its introduction, the cost per Bitcoin was about 7 cents.
Bitcoin and it’s Strong Fluctuations
Over the years, the Bitcoin value has been subject to strong fluctuations. Before 2020, however, the 20,000 dollar mark was never exceeded.
Only in the course of the Corona crisis did the value skyrocket dramatically, and for the past month, it has been holding fairly steady at around 50,000 dollars per coin. Experts disagree on whether the currency could continue to rise or crash in the foreseeable future.
Other cryptocurrencies used in online casinos are Ethereum (6.4 %), Litecoin (3.5 %), Dogecoin (1.5 %), Bitcoin offshoot Bitcoin Cash (1 %), and Tether (1 %).
Although the crypto trend continues, the payment alternative is not offered in all online casinos by a long shot.
Whether payments with cryptocurrencies will soon be predominant in online gambling remains to be seen.