Many casinos now accept Bitcoin and other digital currencies as payment options. These digital currencies can then be converted into cash denominations and players can use the cash to place wagers.
Players can also benefit from crypto casino bonus promotions to BTC online gambling, where they may double their deposit.
They can withdraw their winnings in the same cryptocurrency they used to deposit to Bitcoin casinos and convert it into cash to spend as they please.
The question is: Does cryptocurrency fall under any regulations?
What Is Cryptocurrency?
Cryptocurrency can be described as a digital form of money. Instead of creating physical coins, its creator turned to digital currency, whose value is determined by public demand.
It is a digital asset you can use for transactions and through highly secure cryptography. This means that it cannot be stolen.
- It is decentralized which means that nobody controls it.
- There is no way to tell when digital coins will be printed more.
- It is impossible to have legal control over it.
If it is not controlled by anybody, then how its transactions are governed? Blockchain software lays the foundation for cryptocurrency. Computer program that runs this ledger determines the validity and legitimacy of transactions.
It is not controlled or owned by any one person. Anyone can contribute to keeping the ledger alive. Blockchain is what makes a ledger work. The blockchain connects transactions and networks.
Bitcoin is the first cryptocurrency that can be considered truly decentralized. There are now hundreds of alternatives to Bitcoin.
Evolution Of Cryptocurrency
Since 2009, digital coins and cryptocurrencies are available. It is interesting to note that this development began in 1983.
David Chaum, a cryptograph, was the first to think about it. His idea revolved around electronic currency called e-cash. This vision was realized in 1995 and was named Digicash.
This system works by requiring encryption keys to withdraw money from banks institutions.
To send and receive digital cash, the same encryption key must be used. The first digital cash was anonymous. Any person, government or bank can track anyone.
Although there were many other early forms of crypto-currencies, Bitcoin was the one that truly paved the way to a decentralized digital currency system.
Although nobody knows the identity of the creator of Bitcoin, it is known that Bitcoin was the first to successfully implement Blockchain Technology which made cryptocurrency anonymous and virtually untraceable.
Fun fact The first’ real’ transaction made with Bitcoin was a purchase of pizza.
Most Popular Digital Currencies
There are many cryptocurrencies that are being traded in different markets every day. There are many secure cryptocurrency exchanges from where you can purchase cryptocurrency and trade it.
It is not legal in all countries. There is no protection for anyone if the digital currency was sent to an unauthorized person.
Real money is required to buy cryptocurrency. To purchase a cryptocurrency coin, you must first buy it from a crypto exchange. To be able to keep your digital coins safe, you will need to create a wallet.
While the price of each coin can vary, Bitcoin is the most expensive. One Bitcoin can cost you $7,000 and more. A wallet will contain a string of identification numbers. To send or receive money, you will need this ID number.
Be careful! If someone gave you the wrong ID number and bitcoin was sent to the wrong ID, you cannot get your money back. You cannot withdraw your money if your password is forgotten.
There is no direct control over cryptocurrency. It will never be regulated as the idea behind it lies in anonymity.
No one can trace transactions to you. This is why so many people use it to gamble online.
You can purchase bitcoins online using bitcoin gambling or BTC online gambling. However, no one can track what you do with the bitcoin. It is possible to deposit bitcoins into Bitcoin casinos, and even place wagers.
You can win or you lose. After that, transfer your funds to your cryptocurrency wallet and convert it into cash.
Because prices change all the time, no one can know where the extra money came from. The government can’t monitor your cryptocurrency transactions, since it isn’t part of their control.
Cryptocurrency Regulations
Although there is currently no regulation, many politicians and lawmakers support centralizing control and centralization of crypto-currencies.
According to some reports, politicians received crypto-currencies from donors.
This is something that many political opponents don’t like. They claim that cryptocurrency, which is anonymous, shouldn’t be used by government officials as the source cannot be verified.
We don’t know if the cryptocurrencies turned into cash were stolen from drug trafficking or other illegal activities.
Business people also use cryptocurrency to make quick money. They create digital currencies to sell and take advantage of market speculators. They sell more of these currencies, and the price falls. The final victims are the small investors who never received the full value of their money.
Legislators are being pushed to make digital currency regulated by creating laws because of the anonymity and darkness it offers.
It will have a serious impact on the behavior of those who have invested heavily in digital currency trading. They bought the asset for anonymity. If regulation is implemented, everyone will sell their asset, even if it’s a loss.
How Cryptocurrency Regulations Will Impact Gamblers
This regulation might not be of any importance to casual gamers, particularly those who live in countries that allow online gambling.
This will however be a setback for the gaming community that is located in a country that bans gambling. These countries allow gamers to buy cryptocurrencies using their credit cards, as it is legal to own this asset.
They can use cryptocurrency to make a deposit, then they can gamble. The issuing bank will prohibit them from using their credit cards to make direct deposits to online casinos.
These players will be affected by the regulation of digital currency. The banks will be able to refuse purchases of digital currencies if digital currency is centralized.
If the government controls the electronic wallets used to facilitate these transactions, it may be difficult for one to withdraw cryptocurrency from a casino.
Final Thought
Thanks to technology, cryptocurrency is one of the most innovative inventions of humanity. It is up to the people to use it for good or bad, just like any other technology.
It is best to leave cryptocurrency unregulated as it is now. Otherwise, it will lose value because it will not be the same currency or legal tender it was once it is brought under regulations.
