Cryptocurrencies have been considered a crucial part of many industries’ future development. No matter if they are deployed as a method for monetary transactions or as part of blockchain technology, analysts have predicted that cryptocurrencies will sooner or later enter casino floors as a valid payment method.
Lately, cashless gambling has been increasing in popularity, especially amid the Covid-19 pandemic. Experts say that the next logical step for the retail casino sector is to start accepting digital currencies. Despite the evidence in favor of the implementation of digitalized currencies on brick-and-mortar casino floors, the boss of the Technology Division of the Nevada gambling regulator – Jim Barbie – still remains unsure about the successful implementation of cryptocurrencies in local casinos in the near future.
The problem is that cryptocurrencies remain quite volatile, with price swings becoming the reason why a large share of the crypto market had been destroyed recently. The chief of the Nevada Gaming Control Board tech unit has shared a popular concern, saying that the cryptocurrencies’ volatility could potentially result in massive losses for customers even if they win a wager.
The truth is cryptocurrencies could indeed have some price fluctuations and wild swings can actually happen at any time. This is exactly what creates such controversy when it comes to the use and implementation of digitalized currencies in casino gambling. There are already casinos that accept cryptocurrencies but they are considered to be operational in the grey area at best because they run their businesses online but are not regulated. For example, the state of Wyoming already offers gamblers the chance to make sports betting payments in cryptocurrencies.
Cryptocurrencies’ Volatility Raise Questions about Future Implementation in Casino Sector
Brin Gibson, chair of the Nevada Gaming Control Board, noted that one of the greatest disadvantages of cryptocurrencies, along with their volatility, is the fact that they are hard to trace back to individuals. He, however, explained that regulated casinos and sports betting operators are required to carry out know-your-customer (KYC) and anti-money laundering (AML) checks, so the anonymity is not necessarily that much of an issue.
In a recent Joint Interim Standing Committee on Revenue issued by the local Legislature, Mr. Gibson acknowledged that the gaming regulatory bodies in Nevada never made any explicit statements against the implementation of cryptocurrency in the sector. Instead, they were trying to choose a form of payment that is still questionable because of its complexity.
Other experts, such as Ben Kieckhefer from the Nevada Gaming Commission, prefer keeping a more optimistic look at the addition of cryptocurrencies to the legal transaction methods in the gambling sector. Mr. Kieckhefer also believes that local lawmakers are able to make the successful implementation of digital currencies on casino floors across the state.
Despite all the question marks linked to the cryptocurrency payments in the gambling sector, digital currencies are steadily making their way into casino venues, even if they cannot become available immediately. Still, cryptocurrencies are here to stay, although legislators would have to take some time to unravel the questions associated with the implementation of such a payment method.