How Digital Currency is Influencing the Online Poker Industry

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The creation of the first Bitcoin block on January 3, 2009, ushered in a new world, and despite being met with massive skepticism, the technology has grown to become one of the most significant inventions of our century. There were other digital currencies like HashCash developed and used since the 90s, but none found Bitcoin’s level of success. Now, almost all of the world’s major industries are using some form of digital currency.

In 2020, the Bahamas made history when it launched the first central bank digital currency in the world. Countries like Nigeria, China, and India have since joined the trend. Digital currencies are gradually changing the norms in most industries, one of which is the online poker industry. Every month, millions in Bitcoin and other cryptocurrencies are deposited and withdrawn at major gambling sites globally.

Whether you want to play with cryptocurrencies or real money, the first step to playing online poker is choosing a credible site. You can find the listed poker sites at Top10pokersites.net and sign up with one to play and win real money. Digital assets have had a massive influence on various aspects of the online poker industry, and this article will explore some of the ways it has and is currently impacting the industry.

Understanding Digital Currencies

Too often, people hear or read about digital currencies and have little to no idea about them. Even those that know don’t fully understand the concept. Before we explore the impact of digital currency in the online poker world, we’ll briefly try to explain the concept.

Basically, digital currencies are the opposite of the physical currency we know. They purely exist online and don’t have a physical form. Digital currencies are created using computers and software connected to the internet or a specific network. Like physical currencies, they can be used to pay for services and purchase things. Even better, they can be used to stake in online poker sites.

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Cryptocurrency is the most popular type of digital currency, but there are others. There are also virtual currencies owned by developers/companies and central bank digital currencies owned by countries. This article will focus more on cryptocurrency, as it’s the digital currency that most online poker sites accept.

Four Ways Digital Currencies are Influencing the Online Poker Industry 

Here are some of the ways digital currencies have impacted the online poker industry.

1. Increased Interest Due to Faster and Cheaper Transactions

One of the biggest advantages of cryptocurrency is the speed at which transactions are completed. Due to the lack of a central regulating body, transactions don’t have to go through checks from different parties and are completed instantly. This speed has massively increased the interest in poker as most players no longer want to wait days before they receive their online poker winnings.

Also, since cryptocurrency operates on a decentralized network, players are now charged lower fees compared to other payment methods. This serves as a boost to poker players’ bankrolls and allows them to spend less on charges and more on enjoying poker.

2. Players Can Now Play Anonymously 

Some players want to enjoy poker privately and hidden from everyone, including their bank and financial provider. However, this is almost impossible with traditional payment methods like bank transfers, credit/debit cards, and some e-wallets. You’ll have to share your personal information with these providers in order to make transactions, and sometimes, this can affect your chances of getting loans or applying for certain financial aid in the future.

Luckily, digital currencies like cryptocurrency have made it possible for players to enjoy their favorite games privately. Most crypto wallets don’t require personal information to create, and transactions are done anonymously. There are no third parties; transactions are strictly between the player and the online poker site.

3. An Added Layer of Security 

Cryptocurrency runs on blockchain technology which is very safe and reliable. This is an added layer of security for online poker players as the transactions are openly recorded on the blockchain database and shown in a public ledger that can be viewed online.

This reduces the chances of shady/duplicate transactions and scams. Also, blockchain is heavily encrypted and safe, making it difficult for hackers to access players’ funds. Ultimately, digital currencies have made online poker safer for players.

4. Bypassing International Restrictions 

Despite the popularity of online poker, it’s still illegal in many countries around the world. Online poker has been illegal in most US states since Black Friday over a decade ago. In most cases, the major financial institutions in these countries reject transactions related to online poker.

Players in these countries have to rely on offshore poker sites, and sometimes, they also have to deposit, stake, and withdraw using non-traditional banking methods. With cryptocurrencies like Bitcoin, Ethereum, and Litecoin, players in restricted countries can now transact in offshore accounts without worries. This has led to a massive increase in the number of online poker players and revenue generation.

The Bottom Line

Since the rise in popularity of digital currencies in early 2010, almost all of the world’s major industries have incorporated it into their systems. One of those industries is the online poker industry. Over the years, digital currencies like cryptocurrency have changed the online poker world and have led to massive improvements in the industry.