Cryptocurrencies price and their effect on gambling industry

[Mahanton]

i think everyone who are into crypto business knows that the real profit is when you trade your coins to usd the moment the price of BTC goes ATH. and then buy again when the market is fine.

i'm no representative of a casino but i assume, this is what they do as well. holding while its $65000, is the worse decision.
but whichever the price goes, its good for casinos.

I agree with your analysis gambling developers and administrators are also traders they know the volatility of the market, and their projected income is based on fiat or USDT, they must continue trading and do not stuck their profit to a certain price level, of course, this is only my assumption as a trader and investor it's only logical to use the available means to protect your assets from volatility, in this case, stable coins are the best coin or tools for this.

Casinos would always have the edge because no matter what the market condition is, they would neither choose up to hold or would to convert those coins into fiat.It all depends into their decision
since its their money after all and same goes with players too which it doesnt really affect that much because even the price had bloated up, they could always make out some conversion basing up
on fiat value which simply means that btc value would be adjusted on the time they would play. The thing here on what makes those gambling site owners do make advantage is on a dumping market
the higher the amount of coins since the price is still cheap and if they do tend to hold and made out some recovery then thats really a sure add up on profit.

[traderethereum]

I think the casino is trade with their coins for some parts to make another profit from crypto.
They have a lot of money to trade and run their business simultaneously, so if they can make more profit, they will be enthusiastic about buying and selling their coins.
With the popularity of crypto from a few years ago, I think the number of bettors is increased much as this pandemic makes gamblers who are playing gambling at the offline casino are trying to search for online gambling to continue playing gambling.
So that affects the crypto gambling business which means, they get more new members from offline gambling.
If we talk about the profit, maybe that will be more profit in USD as bitcoin price itself increases so high depending on the last year to give more profit too to the casino.

[passwordnow]

I don't have any intention of telling how much reserve I've got in bitcoin or in fiat. It's just for safety of myself even though everybody doesn't really don't know everyone on this forum personally. For the stock that the casinos have, I think they have a dedicated amount for each crypto that they support whether the market rises or it dumps. What's for sure is that they've got all of their crypto stocks bought at a cheap rise and the bull run made a plus on their end.

[Renampun]

...

I feel there is no problem with the increase in the price of cryptocurrencies against gambling...

Bitcoin price rose 7 times from 2017 and the results that can be obtained from gambling also increased 7 times when compared to 2017. The price increase will definitely have a big impact on players' income.

[yazher]

Most likely when the price of bitcoins goes higher, gambling sites competitions are more in demand since those sites will offer good services for a period of time, just like what we have seen in recent months when the bull-run is still active. there are lots of campaigns and promotions. The only question here is when the price will go down suddenly after they promote those freebies and giveaways, that will hurt them economically but not their reputation. that's not totally bad for them I guess.

[harizen]

We have no way to know if gambling operators also play with the market during its peak. That's right they have lots on their reserve so possibly they actually selling some of it just to take advantage of the uptrend.

It's a small chance that they will share it here so hoping they will give at least of glimpse of what they are doing on some of their reserves during or whenever on the bullish trend even that is a private thing.

[Fundamentals Of]

We cannot know the real effect of the changes in the prices of cryptocurrencies to the gambling industry unless the gambling companies will open up their books, which is unlikely to happen because those are oftentimes treated with confidentiality. But we can make a speculation. For me, when the prices are rising, there may be a possibility that the gamblers will somehow slow down because they would rather make profit from the growth of their crypto rather than risk it on gambling.

But it is also true that whenever the prices are flying high, the attention to crypto is also increasing. This may also result to its heightened adoption in the gambling industry.

[mu_enrico]

There are two kinds of crypto casino: (1) play directly with the BTC and (2) use USD value of BTC. For the first type, sure it affects the game, for example, previously the minimum bet for slots is 10ubtc, suddenly it becomes almost unplayable for small gamblers. There's almost no effect for the second type of casino except more expensive deposit and withdrawal fees. If we remove deposit and withdrawal fees from the equation, let's say I hold XRP and then XRP pump, I tend to play more.

[Fesatmas]

Most likely when the price of bitcoins goes higher, gambling sites competitions are more in demand since those sites will offer good services for a period of time, just like what we have seen in recent months when the bull-run is still active. there are lots of campaigns and promotions. The only question here is when the price will go down suddenly after they promote those freebies and giveaways, that will hurt them economically but not their reputation. that's not totally bad for them I guess.

do we really need prices to drop suddenly and make it a reference to look at casino games that only provide free services during Bullrun time? I don't think it's the right thought for a casino that continues to operate in either a Bull market or a Bear market.

[Dread Pirate Roberts]

If it's a gambling site like that. it's part of their risk and advantage too. because the value of wagering also will increase and higher if compared to a few years ago. what more if directly with the coin is not converted in usd. that's why stable coins or any popular altcoin that have low value are also commonly used as optional.

[AmoreJaz]

As cryptos become more popular, so does crypto gambling, presumably. As for the specifics or the prices, I don't think they matter much. What's essential is the average transaction fee. If we're talking about a small-scale gambler, let's say this person deposits and withdraws sums like $50-$100 worth of Bitcoin. In that case, it matters a lot whether the fee is $2 or $20, and when it's $20, the gambler will probably abstain from withdrawing or depositing money, and stick to websites where the money is already available (until it's lost in bets). I keep my gambling money in BTC, no matter what happens, but I try not to deposit/withdraw when the fees are high.

or some will opt for other alts like trx or xrp or ltc with very cheap transaction fees. this is why some popular alts other than btc are getting popular in casinos because of their advantage in fees. but as we noticed, as btc and other alts are getting popular, the number of casinos here also multiply their number. so it means, even if btc increased a lot, still gamblers are gambling their money. so when it comes to the mindset of gambler, i guess there's no effect when it comes to price.

[dothebeats]

Crypto casinos need to keep some of their reserves purely in crypto, otherwise they wouldn't have anything to pay their customers if someone gets a juicy jackpot on one of their games. It's one of the risk that they need to accept since they are dealing with cryptocurrencies on their platform. They can convert some of their crypto assets to USDT or any other stablecoin to gain some $ profits, but they have to convert it back again in order to have something to pay for their players.

For the players, I don't think the change in $ price matters much, especially if the amount is on the low side. But then again, some of them are surely regretting that they spent much btc/whatever crypto on a casino rather than just playing with USD directly.

[Rengga Jati]

Every online gambling that accepts Bitcoin or other cryptocurrencies may have its own standard and consideration in using the coins.
Moreover about Bitcoin. They are not new in this world. They have known the progress and also development of the Bitcoin price from last to now.
Well, IMHO, they may have some diversification on how to cash out or convert to USD and how to hold. If they are Bitcoin believers and trust in Bitcoin as the future of currency, I am no doubt that they will save some of their Bitcoin for the future. And convert to SUDT of course they will also do it because they also need safe funds in their industry.

[Fesatmas]

Crypto casinos need to keep some of their reserves purely in crypto, otherwise they wouldn't have anything to pay their customers if someone gets a juicy jackpot on one of their games. It's one of the risk that they need to accept since they are dealing with cryptocurrencies on their platform. They can convert some of their crypto assets to USDT or any other stablecoin to gain some $ profits, but they have to convert it back again in order to have something to pay for their players.

For the players, I don't think the change in $ price matters much, especially if the amount is on the low side. But then again, some of them are surely regretting that they spent much btc/whatever crypto on a casino rather than just playing with USD directly.

Well, you are right that the risk will be much greater if the victory is obtained at the ATH of the crypto being played. It was really advantageous for players who had that kind of rare luck. Especially when you bet BTC when you get the Jackpot. On the other hand, it benefits the Casino who gets all the advantages in large numbers. Where they will immediately make a backup not only in crypto, in $ they will do it in order to minimize the occurrence of a bear market.

[qwertyup23]

I can only speak for myself. Actually if I could only turn back time, I think I wouldn't have used my precious Bitcoin or even Ethereum and other major altcoins for gambling. Those crypto amounts I had squandered on gambling used to be small amounts. But now, they are already worth a fortune to me. Having said this, I think the fast rise of crypto prices could somehow discourage some gamblers from spending their crypto. However, with the features unique to crypto, other gamblers might still stick to it.

I definitely agree with this statement.

This is true- if I could also turn back time, I would not use my BTCs as the currency for my online gambling spree. When I joined this forum last 2017, some of the proceeds that I received from participating in campaign signatures went straight to some gambling websites. To cut the story short, I lost like 0.05 BTCs before. If we were to convert its price now, 0.05 BTCs = $2,000 but before, it's converted USD price was below $100.

Lesson learned- if possible, always avoid betting your precious BTCs since you will never know that its price may skyrocket again 5-10 years from now.

[mindrust]

I don't think it affects casinos that much unless they use super valuable coins like bitcoin because transfer costs of that coin also rises when its price rises. Otherwise, it wouldn't affect the casino very much especially when the price rises.

If the price goes down however, the casinos bankroll would also go down and big USD holders may try to bankrupt the casino by wagering big amounts. It is an unlikely situation but not impossible.

[KTChampions]

I noticed a significant difference in two things - firstly, faucets and free chips stopped being issued in satoshi. Now you can get only virtual chips for free. The fees for depositing and withdrawing funds have changed significantly, earlier they were even more than now if you count in cryptocurrency, but if you evaluate it in dollars, now they are clearly higher than before.

[dunfida]

I don't think it affects casinos that much unless they use super valuable coins like bitcoin because transfer costs of that coin also rises when its price rises. Otherwise, it wouldn't affect the casino very much especially when the price rises.

If the price goes down however, the casinos bankroll would also go down and big USD holders may try to bankrupt the casino by wagering big amounts. It is an unlikely situation but not impossible.

Not all the times on where high price would indicate high fees but it would be always depending on the network condition but most likely it would really be on that situation because people would definitely be that busy
on trading out bitcoin on that particular time specially on bullish run.

When it comes to USD matters or talking generally with volatility then of course it would really be affecting in all angles no matter how it moves neither you would be earning in usd
or would be losing if it goes to other side.

For sure majority is really been awared with that possibilities and it isnt something that they would be shocked.

[imstillthebest]

on some gambling sites their minimum amount to bet is lower than 1 sats but to some thier minimum amount to bet is fix at 1 dollars  .
 i think higher minimum bet amounts like 1 usd does have an effect to a gambling business because not all players can afford it . when it comes to players profits they remain unchanged .
the numbers that we saw can be lower now but the value of them is also adjusted and they are higher now . im not a casino representative but i think most of the casino's cryptos are remain untraded because they are using it for thier business . they chose this business in the first place so they should know the risks of volatility

[harizen]

I don't think it affects casinos that much unless they use super valuable coins like bitcoin because transfer costs of that coin also rises when its price rises.

It's 1:1. Gambling sites have large reserves (they should have) of certain coins e.g bitcoin on their respective cold wallet so regardless of BTC up or down, the fees used will still be in BTC value.

If the price goes down however, the casinos bankroll would also go down and big USD holders may try to bankrupt the casino by wagering big amounts. It is an unlikely situation but not impossible.

I don't know where you got that idea but that is unlikely to happen.

What's the connection of price decline for casino bankroll to go down? The gambling on that platform will still be on their usual operation regardless of the price up or down. There are big losers, there are gainers, etc. as usual.

And I doubt a great number of big whales will attempt to bankrupt the casino. Why should they? What if they lose? That was a worst idea providing the fact that it's impossible to beat the casino 100% in the long run.