Bitcoin vs. Ethereum at Online Casinos
The past few years have been an incredible and tumultuous time for the ever-expanding online gaming industry. Huge advances in mobile gaming technology, live casino gaming, online security, and many other spheres have radically transformed the industry for the better. Secure online payment options have also benefited from advances in web technology, particularly with regards new web-based currency options such as Bitcoin, Ethereum, and other so-called cryptocurrencies.
The biggest name in cryptocurrency gambling is still Bitcoin, which is understandable since this was the first blockchain currency to feature complete decentralization. The currency is also the oldest, most valuable, and as it stands, is available at more casinos in comparison with other cryptocurrencies.
However, Bitcoin is not the only web-based cryptocurrency available, and while it may currently be the biggest and most popular, Ethereum is a major competitor. One of the main reasons why Bitcoin needs to wary of being overtaken as the major player in the world of cryptocurrencies is due to more advanced technology and better features that Ethereum possesses, such as the Smart Contacts application it includes. While the acceptance of Ethereum isn’t as big at online casinos yet, it’s worth noting that there isn’t much deviation in the benefits of using either of these cryptocurrencies.
So, how do these compare with online casinos being the primary focus? Does the younger, less valuable Ethereum currency have what it takes to run alongside or even ahead of the major Bitcoin currency?
The only way to answer these questions is to compare them directly while considering how both have an impact on the future of online casino gaming.
Current Situation for Bitcoin and Ethereum
Bitcoin currently enjoys the success of being the first major online currently that’s completely decentralized. Bitcoin was first introduced more than ten years ago, giving it the upper hand in terms of popularity, value, and acceptance. In fact, Bitcoin was the first cryptocurrency at online casinos.
Bitcoin currency offers plenty of advantages when it comes to the all-important deposits and withdrawals portion of opening an online casino account.
By way of example:
- Bitcoin players no longer require personal casino accounts
- There is no need to sign up with your personal email address
- There is no need to provide proof of identification or address upon withdrawal
Many regular casinos accept Bitcoin but don’t offer the full anonymous platform. However, this still provides a better interface compared to other popular banking options such as credit cards.
Recent developers include transparency with Bitcoin casinos, offering a higher level of security, which has been a desire for players using Bitcoin casinos. With the new technology, the existence of fraudulent online casinos is decreasing as members have more secure options.
Currently, casinos accepting Ethereum are becoming more popular at a rapid pace, especially with the increase in demand. Even though Ether is much younger than Bitcoin, it provides new promise to the world of online gambling and decentralized currencies altogether. While Ethereum does not have the sharp increase in value as seen with Bitcoin, the fact that it uses new technology makes it understandable that slower growth will exist within the first few years.
However, in 2016 and 2017, the coin increased from $2 and reached the $500 mark, which shows faster growth than other new cryptocurrencies. Adding more fuel to the growth of Ethereum is its unique Smart Contracts application, which offers new benefits that Bitcoin simply can’t provide.
The Future of Ether and Bitcoin Gambling
While Bitcoin’s major growth and the acceptance at more online casinos is impressive, the current trend in the cryptocurrency market revolves around Ethereum’s Smart Contracts. Estimated to completely renovate the development of open-source for gambling, experts believe the introduction of Smart Contracts will overhaul the entire online gambling experience.
With the introduction of Smart Contracts, built into the protocol of Ethereum, much bigger platform functionality is available. Regarding online gambling, the Smart Contracts functionality provides a much bigger platform of usable features, which further relates to anonymity and trustworthiness within the gambling industry.
While Bitcoin doesn’t provide the features of “Smart Contracts,” the development of an “off-chain” application provides similar features. However, many experts believe the Rootstock application won’t provide the same usability as that of Ethereum. From this point of view, it would seem that the future of online gambling with cryptocurrencies lies with Ethereum more than it does with Bitcoin, even though Bitcoin remains the most popular for the time being.
Casinos that incorporate the Smart Contracts feature can create an entire casino platform by simply using a series of these Smart Contracts. DApps (decentralized applications) provide additional functionality on top of platforms, and with the contacts being programmable to move the currency from one wallet to the next via programming, the features are completely unlimited.
Since the Smart Contracts code is auditable publicly, it also introduces true transparency while decreasing the overall costs of development, which could ultimately decrease the house edge.This decrease would be similar to that seen with the introduction of online casinos, as they provide much lower house edges than land-based establishments due to lower overhead costs.
The overall benefit of Smart Contracts for online gambling is the elimination of third parties altogether. With the programmable applications, players can place bets with programmable code, and any winnings return directly to your wallet. Not only does this eliminate the requirement for deposits and withdrawals, but it also offers safer gambling with fewer hassles.
Choosing Bitcoin and Ethereum Casinos
Both the currency options provide incredible benefits for all forms of online gambling and investing. Bitcoin is by far the most valuable, and if you seek a bigger platform of casino options, it’s definitely the way to go. However, if you’re seeking the latest technology and growth within the online industry, Ethereum has great promise with the introduction of Smart Contracts. Not only does it provide growth in in terms of value, but it also offers new opportunities for fairness, responsible gambling, and anonymity.