Gambling Companies: First Massive Bitcoin Adopters

[Jating]

Bitcoin developers aimed the creation of this decentralized coin to avoid transactions going through financial institutions. Developers and its early investors and believers never expected that it would be the gambling companies that will start the massive acceptance of bitcoin as a currency. Gambling companies accepting bitcoin have two effects on people:

1. People will think positively on bitcoin because gambling companies are carefully and well-managed kind of business. They are built to entertain people and to earn money in return. And there are hundreds of millions if not a billion or billions of people that are into gambling and many of them are exposed to bitcoin and its potential. Investing companies also have no problem with this as investing is also related to gambling with both facing levels of risks.

2. Many people take gambling companies as something dirty. People might as well take bitcoin as something dirty too. And bitcoin's decentralized form as a good way to evade authorities and government regulations.

Still boils down as to how they are going to make money, and so they found that crypto gambling platform is a sure formula. So it is not something that other business savvy has reinvent, it's that in the infancy or crypto, they found a way to offer it to the public just like fiat based casinos.

So I doubt that many people are taking gambling companies as dirty, it is just business in another form, just crypto based. If that is the argument then we should look at fiat based casinos whether online or offline as dirty. But it's not there is a even a country, Macau that based their countries economy thru gambling.

[dunfida]

Bitcoin developers aimed the creation of this decentralized coin to avoid transactions going through financial institutions. Developers and its early investors and believers never expected that it would be the gambling companies that will start the massive acceptance of bitcoin as a currency. Gambling companies accepting bitcoin have two effects on people:

1. People will think positively on bitcoin because gambling companies are carefully and well-managed kind of business. They are built to entertain people and to earn money in return. And there are hundreds of millions if not a billion or billions of people that are into gambling and many of them are exposed to bitcoin and its potential. Investing companies also have no problem with this as investing is also related to gambling with both facing levels of risks.

2. Many people take gambling companies as something dirty. People might as well take bitcoin as something dirty too. And bitcoin's decentralized form as a good way to evade authorities and government regulations.

Still boils down as to how they are going to make money, and so they found that crypto gambling platform is a sure formula. So it is not something that other business savvy has reinvent, it's that in the infancy or crypto, they found a way to offer it to the public just like fiat based casinos.

So I doubt that many people are taking gambling companies as dirty, it is just business in another form, just crypto based. If that is the argument then we should look at fiat based casinos whether online or offline as dirty. But it's not there is a even a country, Macau that based their countries economy thru gambling.

Actually it do pertains on personal opinion but in overall if these businesses turns out to be dirty and people do share up on the same mindset on avoiding things which are dirty then it would be just common sense to say

that gambling industry wont really be become this big if people do end up on having the same impressions in overall.Doesnt matter if its crypto or fiat based yet offerings would really be just the same.

It do only differs on the payment options or choices whether its crypto or fiat or even having both.Its business and its just normal that they would be jumping into something which
they do saw that they could get more revenue.

[livingfree]

I have seen those early days that gambling industry is one of the huge adopter of bitcoin and made a lot of contribution to what it is right now. But there's more to it before that.

Those people that thinking gambling is dirty and will correlate it to bitcoin, they have their own belief but one day if someone gives them a little amount of bitcoin, they'll all be like defenders of bitcoin.

It's the money that talks and when they're against on it or have a bad impression towards it. Let them have it or encourage with it then they'll talk the most lovely things about bitcoin when they're also part of us and becomes an investor.

[OgNasty]

Gambling companies are definitely going to be extremely wealthy in the future if Bitcoin is successful.  They've got a ton of crypto income coming in via many different types of cryptocurrency and have very little overhead all things considered.  Establishing an income stream denominated in crypto instead of dollars is extremely difficult for any industry, but at the moment gambling and exchanges seem to be king.

[Kakmakr]

The casinos that started back in the days, like SatoshiDice and Freebitco.in did not ask for KYC verification...and this allowed for young and old and also people from restricted countries to enjoy online gambling. So it opened up a broad market for the adoption of this technology, where Fiat based casinos were heavily regulated and restricted to certain regions. 

So, in a way.... Bitcoin disrupted the Online casino industry too, because it opened the door for EVERYONE to enjoy gambling, even if it was not allowed in your country. 

Unfortunately, this also introduced gambling to kids, which is one of the disadvantages of a pseudo anonymous technology like this. Every known technology has it's advantages and disadvantages.... even Fiat (cash) is not immune to this. 

[davis196]

Gambling companies accepting bitcoin have two effects on people:

1. People will think positively on bitcoin because gambling companies are carefully and well-managed kind of business. They are built to entertain people and to earn money in return. And there are hundreds of millions if not a billion or billions of people that are into gambling and many of them are exposed to bitcoin and its potential. Investing companies also have no problem with this as investing is also related to gambling with both facing levels of risks.

2. Many people take gambling companies as something dirty. People might as well take bitcoin as something dirty too. And bitcoin's decentralized form as a good way to evade authorities and government regulations.

1. Have you ever heard of all those cases of crypto casinos scamming their players? There are many legit casinos, but the amount of scam casinos is pretty big. I can't generalize the gambling business as a "well-managed kind of business". There are good companies and bad companies.

2.Many people view the act gambling as a something dirty, not just the gambling companies. These people aren't the target audience for the gambling business anyway.

3.Investing in not gambling. You can't compare luck-based games with the process of analyzing the markets and carefully choosing where to put your capital. Betting money in a casino is NOT investing.

[Don Pedro Dinero]

The casinos that started back in the days, like SatoshiDice and Freebitco.in did not ask for KYC verification...and this allowed for young and old and also people from restricted countries to enjoy online gambling. So it opened up a broad market for the adoption of this technology, where Fiat based casinos were heavily regulated and restricted to certain regions. 

So, in a way.... Bitcoin disrupted the Online casino industry too, because it opened the door for EVERYONE to enjoy gambling, even if it was not allowed in your country. 

Unfortunately, this also introduced gambling to kids, which is one of the disadvantages of a pseudo anonymous technology like this. Every known technology has it's advantages and disadvantages.... even Fiat (cash) is not immune to this. 

You have just touched on a key point here. The fiat casinos were, and still are, heavily regulated, and more and more cryptocurrency casinos are implementing KYC procedures and buying licences, even if they are from tax havens. If we add to that the disadvantages that the absence of KYC has, such as allowing gambling by minors or less control of gambling addiction, I believe that cryptocurrency casinos will tend to be increasingly regulated in a similar way to fiat casinos.

[goldkingcoiner]

Bitcoin developers aimed the creation of this decentralized coin to avoid transactions going through financial institutions. Developers and its early investors and believers never expected that it would be the gambling companies that will start the massive acceptance of bitcoin as a currency. Gambling companies accepting bitcoin have two effects on people:

1. People will think positively on bitcoin because gambling companies are carefully and well-managed kind of business. They are built to entertain people and to earn money in return. And there are hundreds of millions if not a billion or billions of people that are into gambling and many of them are exposed to bitcoin and its potential. Investing companies also have no problem with this as investing is also related to gambling with both facing levels of risks.

2. Many people take gambling companies as something dirty. People might as well take bitcoin as something dirty too. And bitcoin's decentralized form as a good way to evade authorities and government regulations.

Unfortunately, there are and always will be Bitcoin adopters who are the "bad apples". But just because they invested in Bitcoin and try to use it for socially/legally shady reasons does not make Bitcoin itself the culprit.

As far as casino regulation goes, the very point of regulation should be fairness and protection, not just different ways for the government to exert power or cash in on taxes. The community holds casinos responsible and good casinos adhere to their responsibility.

If anything, the transparent nature of Bitcoin transactions makes corruption more difficult not less.

And casinos themselves are centralized and registered. So either way they won't escape responsibility.

[ethereumhunter]

It is undeniable that the crypto gambling business makes crypto adoption work so many people think that crypto is a currency for the gambling business. Many investment programs carry the name crypto as their currency and many of these programs eventually become scams and give crypto a bad name for investors.

But nowadays, with a lot of information about crypto, people are starting to understand that crypto is an investment available on the internet and anyone can get started easily. Meanwhile, cryptocurrencies can also be used as an alternative means of payment and this is what gambling businesses use to evade government authorities and regulations. So now, many casinos are implementing KYC for their members.

[Leviathan.007]

2. Many people take gambling companies as something dirty. People might as well take bitcoin as something dirty too. And bitcoin's decentralized form as a good way to evade authorities and government regulations.

Since bitcoin and cryptocurrencies are decentralized and since these are not getting controlled by any organization or government many regulated companies will show interest in accepting bitcoin and cryptocurrencies for their business but because of these reasons, unregulated gambling companies will have the opportunity to use bitcoin and cryptocurrencies, and that's mostly because of the regulation laws of gambling companies in different countries, so people sometimes think that way.

[Peanutswar]

To those people or organization who seeks the bitcoin as one of the good adaptation is looking forward in the future use of it and also the blockchain technology because it now becomes transparent to their users at the same time to make sure it is already public seeing by the transaction but of course, because of the market volatility there's a chance it might have trouble with the value of the coin unless the use of the bitcoin-only is for the fast and convenient transaction and not for holding.

[Despairo]

Since bitcoin and cryptocurrencies are decentralized and since these are not getting controlled by any organization or government many regulated companies will show interest in accepting bitcoin and cryptocurrencies for their business but because of these reasons, unregulated gambling companies will have the opportunity to use bitcoin and cryptocurrencies, and that's mostly because of the regulation laws of gambling companies in different countries, so people sometimes think that way.

Cryptocurrencies are mostly centralized, don't mix with Bitcoin which is 100% decentralized.

Most of trusted gambling companies are having gambling licenses and associated with gambling providers, this will make them get regulated since they're need to follow the rules and the regulations as the requirement to have licenses and providers. More importantly when you're deposit your Bitcoin to the casino and you did KYC your account, they will know who're you and where you coins goes too.

IMO if you're using Bitcoin to play in KYC casino, you're kill the Bitcoin decentralization.

[FanEagle]

I remember VERY clearly that satoshidice was built and then it was built into blockchain.info as well, so it was a big bigbig deal. So gambling websites, aka the casinos, realized the benefit of bitcoin long before any other sector. The biggest difference was, people weren't sure if the casinos they played scammed them or not, there wasn't any proof, they could say they were legit but there wasn't any proof.

With the provably fair innovation, we realized that blockchain could be used to double check if the casinos scammed you or not, and since we knew that there wasn't anything wrong, we gambled in crypto a lot more because it was fair and we all could prove the fairness.

[romero121]

It is Laszlo Hanyecz that gave value to bitcoin, but it was the gambling sites that kept the circulation of bitcoin providing real-time spending access. Apart from those gambling sites, many faucet providers allowed people to claim bitcoins solving CAPTCHA. Someway the market grew better with time and the gambling sites had a big contribution in the growth of bitcoin. Even if bitcoin weren't used in the past, we might've experienced bitcoin with a different approach.

[jrrsparkles]

Before the gambling the Bitcoin is is widely adopted for donations across the borders with complete anonymous and no need to go through any screening process and that is the first move towards adoption then gambling sites accepted bitcoin and other cryptos and due to the anonymous nature again it spread widely and now gambling industry got maximum share of cryptocurrencies in the actual utility because trading exchanges are not really serves the purpose of currency in my opinion.

[xSkylarx]

I can really say that bitcoin made a huge impact for gambling businesses to thrive. But as these businesses become more popular, they become more regulated. They are required to comply to the AMLC that they implement KYC verification which contradicts the purpose of bitcoin which is decentralization.

Even though that's the case, if not because of these gambling websites then I don't think bitcoin and other crypto will be that popular to what it is now. Those who are really interested to it found out that it is not only used by the criminals but it can give you the opportunity to earn some money by doing different tasks that involve crypto.

[Webetcoins]

Before the gambling the Bitcoin is is widely adopted for donations across the borders with complete anonymous and no need to go through any screening process and that is the first move towards adoption then gambling sites accepted bitcoin and other cryptos and due to the anonymous nature again it spread widely and now gambling industry got maximum share of cryptocurrencies in the actual utility because trading exchanges are not really serves the purpose of currency in my opinion.

We only have paypal before but btc is more suited to that (donation purposes) because people won't be embarrassed anymore if they will only donate smaller amounts. Now donating small amounts using a bitcoin is hard due to the increase in fees but luckily they invented altcoins and tokens which works best in micro payments. Before bitcoin gambling came in I think bitcoin is also being used as a currency in the deep web.

Many people (including me) then find out bitcoin this way because we are also interested on digging deeper about the deep web. There are also crypto exchanges and they are the ones who got more share in crypto compared to gambling.

[jrrsparkles]

Before the gambling the Bitcoin is is widely adopted for donations across the borders with complete anonymous and no need to go through any screening process and that is the first move towards adoption then gambling sites accepted bitcoin and other cryptos and due to the anonymous nature again it spread widely and now gambling industry got maximum share of cryptocurrencies in the actual utility because trading exchanges are not really serves the purpose of currency in my opinion.

The thread emphasized massive bitcoin adopters because donation that time is not huge since there’s no enough metrics to measure the total value donated at that time while Bitcoin market value on casino during 2012 when it boom was already provide millions of revenue. Donation that time is not a trend since Bitcoin is still low and not all people is a donator while you can clearly see on this forum that there’s a lot members that use Bitcoin for gambling purposes on early days until now.

I remember that dice game is the most popular game in crypto until the full casino type games introduced but dice game is already a hit even before.

Ofcourse there is no metrics to show how much Bitcoins were donated but as per the history it gave the first push to bitcoin before anything then gambling industry obviously identified the potential of Bitcoin and implemented into their payment system as early as possible, even now lot of old casinos are running and some of them were closed. We can't conclude on which game the cryptocurrencies are used more and no need for that as well because everything comes under gambling either its dice or sports betting.

[Artem Sereda]

Actually, it was probably the drug sellers/users, right? On the darknet markets. And it totally makes sense — the fact that your money cant be locked up and is pseudonymous.

Seems to be a lot less viable today though, with chainalysis and such.

Agree, that most organizations with a black reputation like casinos evade taxes, it is convenient for them to use bitcoin in terms of anonymity, reliability, and speed of transactions.

[Invester]

Actually, it was probably the drug sellers/users, right? On the darknet markets. And it totally makes sense — the fact that your money cant be locked up and is pseudonymous.

Seems to be a lot less viable today though, with chainalysis and such.

Agree, that most organizations with a black reputation like casinos evade taxes, it is convenient for them to use bitcoin in terms of anonymity, reliability, and speed of transactions.

I haven't included the underworld activities of course.

These casinos are with legitimate licenses. But I also find it strange that these countries that provided crypto casino with their licenses do not have laws calling bitcoin and other cryptocurrencies as medium of exchange. Or are they letting casinos to just operate and use whatever kind of currencies or forms of materials and digital stuffs they deem acceptable?