The not-so-new trend of using cryptocurrencies in the online gambling sector is experiencing huge growth in the past couple of years taking a large portion of the entire gambling market. It is no secret that the online gambling industry heavily relies on new technological advancements, which is why such technologies can cause a massive change in the market.
This is why It is not surprising that the adoption of cryptocurrencies as a method for gambling was immediately adopted by online casinos.
At first glance, crypto technology and the gambling industry is like a match made in heaven. A regular crypto gambling site nowadays offers plenty of crypto games that can be played using cryptocurrencies.
This new trend that relies on blockchain technology and allows absolute anonymity, security, and faster transaction brings many benefits for both businesses and players.
That is why the online crypto industry is booming at the moment.
But how big is this industry at the moment, and what can we expect from the crypto gambling sector in the future?
Let’s find out.
Crypto Gambling is on the Rise
In the past couple of years, we’ve seen huge adoption of cryptocurrencies and blockchain technology. In 2021, there are two things that experienced a growth much higher than expected, which are online gambling, and the huge rise of casinos adopting cryptocurrencies.
If we look at the data and research for SoftSwiss, we can see that the crypto gambling sector tripled its traffic in 2021 compared to the year before.
So, there is no doubt that the crypto gambling sector is taking a big piece of the entire gambling market, but how big is it currently?
Well, there is no accurate data to accurately display the dominance of cryptocurrencies in gambling, but we can always make a rough prediction using the data we have so far.
Recent data shows that the crypto gambling sector accounts for around 4% of the entire online gambling market, which is quite an achievement considering that they are available on gambling websites for only a couple of years.
The situation is the same if we look at each individual market. For example, if we take one of the biggest gambling markets in the world, the United States, we can see a 536% growth of crypto gambling users in 2021. It is also the same in the U.K with a 490% rise and Canada with a staggering 1021% rise in crypto users.
Last year, there was an average rise of crypto users of 950% globally, which proves that it is a huge upcoming trend that is going to take over the entire online gambling industry.
Additionally, as of 2021, the entire crypto gambling market exceeded $2 trillion and this trend continues to rise.
Future of the Online Gambling Industry
The online gambling industry is also on the rise, with the crypto trend leading the pack. According to the “Global Online Gambling Market Ansoff Analysis,” the online gambling industry is expected to reach close to 100 billion by 2025, with an annual growth rate (CAGR) of 11.31%.
However, this estimation doesn’t take into account all the new trends that are emerging in the online gambling industry, such as crypto gambling.
With all the technological advancements, the crypto gambling world can grow much higher as game developers are constantly looking for a new and unique way to entertain people with their games.
Additionally, the crypto gaming industry is still not yet fully explored. As of now, there are only NFT-based games dApps, and traditional crypto casino games that dominate the market. However, as we inch towards the Metaverse and Web 3.0, most experts believe that this is where cryptocurrencies will flourish.
In other words, the use of such technology will be more dominant in the future and casino games will create a different types of games that utilize Blockchain technology.
On top of that, crypto gambling is still not legal in most countries. Since we are talking about relatively new technology, governments all around the world still haven’t found a way to regulate everything that is going on in the crypto space.
However, as cryptocurrencies and blockchain technology reaches higher global adaptation, more countries will find a way to legalize this new technology and allow people to gamble using digital assets.
This will also increase the dominance of crypto gambling over traditional gambling.
Even though the first crypto casino was released around a decade ago, the entire process needed some time in order for people to see all the benefits that come with this revolutionary technology. This means that the global acceptance of cryptocurrencies like Bitcoin happened in a couple of years.
Since the crypto gambling sector is currently around 4% of the entire online gambling industry in just a few years, who knows where we will be heading in the future? With such a rapid growth of cryptocurrencies in gambling, we can only assume that the future of gambling will be heavily dependent on cryptocurrencies.