The world is ever-changing, becoming more digitised with each passing day. In recent years, cryptocurrency and decentralization have become key talking points for technologically-minded people worldwide. It seems that, as technology evolves, more industries are seeking ways to get involved with the emergence and popularization of cryptocurrency. Today, we’re here to address one of those all-important verticals, discussing decentralized gambling and teaching you everything you need to know about the topic.
If you’re interested in decentralized gambling, crypto betting, or blockchain-powered betting technology, this guide is for you.
What is ‘decentralized gambling’?
When something is ‘decentralized’, it’s simply not attached to a central authoritative body. If we work with the literal definition, the term ‘decentralized’ means:
“… the process by which the activities of an organisation, particularly those regarding planning and decision making, are distributed or delegated away from a central, authoritative location or group.”
In the vast world of business, this can relate to things such as hotels, supermarkets, car showrooms, and many more types of businesses, including crypto betting. Where these businesses are concerned, each operates according to local management and isn’t necessarily acting by one central body. For instance, a supermarket – will look different, stock different things and even display different prices based on location, footfall and demographic. It’s because of this reason that a supermarket can be considered ‘decentralized’.
However, when we come to decentralized gambling – or anything to do with cryptocurrency for that matter – what do we mean by ‘decentralized’?
Firstly, it’s important to understand that there’s no one governing body or regulatory agency overlooking the world of cryptocurrency. It’s inherently decentralized, and the blockchain isn’t ‘owned’ by one, centralized organization. It isn’t connected to any major financial body or government agency, and it’s immutable by nature. Therefore, decentralized gambling is the act of betting on a platform that isn’t connected to a central, regulatory body, but instead, relies on the anonymous, decentralized nature of the blockchain.
Why is decentralized gambling a good thing?
If you’re interested in crypto betting, you may be wondering why it could possibly be a good thing? In the last few years, many crypto betting sites have popped up online, and they often grow rapidly in terms of popularity and the overall user base. But why are so many people turning to decentralized gambling, and what’s the benefit behind doing so?
Firstly, a decentralized anything is an attempt to wrench away the monopolization of any industry from the ‘behemoths’ of that vertical. In the world of gambling, there are features such as licensing, regulations, and statutes that are in place to ensure that the industry is restricted and somewhat exclusive. It’s an expensive world to break into as an operator, and the top-tier platforms can strip any operating potential from smaller, less well-known platforms.
With decentralization, anybody can get involved with the industry, working in a self-regulated manner, using the power of the blockchain. Furthermore, any geographical restrictions imposed by regulations are stripped away. With a decentralized gambling platform, bettors can log in and place wagers from anywhere in the world. When you’re using a decentralized gambling platform, you’re breaking away from restrictions, endless know-your-customer processes, waiting times, and any financial restrictions, such as currency requirements.
Ultimately, while there are some limitations and caveats to the world of decentralized gambling, there are many pros to fight against the cons.
What does “decentralized” mean in crypto?
Having addressed this term in the wider context, let’s narrow the focus a little here to take a look at what this means for crypto betting. As the world of crypto betting gets larger and more popular, understanding these concepts can be key to making sure you know how the process is going to work. It can take time to get to grips with, but we promise it’s worth it!
So what does “decentralized” mean in crypto? Simply, it means that the decision-making power is taken from the centralized organization and transferred to the network on a larger scale. This helps to ensure the legitimacy of the blockchain and reduce any weaknesses.
How to take advantage of decentralized gambling
There are many ways to take advantage of decentralized gambling practices. For instance, you could use a decentralized crypto casino, which is exactly what it sounds like. While you can place traditional bets and utilize crypto betting tips, a crypto casino is a place where you can use cryptocurrency to play slots and other casino games.
However, if you want to bet on traditional markets, such as sports, you can use a decentralized gambling platform. There are many out there, but there’s a difference between ‘decentralized platforms’ and a betting site that just offers crypto options. With the latter, you can make deposits (and often withdrawals) using cryptocurrency like Bitcoin. However, for the most part, these platforms are centralized and governed by regulatory bodies. This includes the likes of the Thunderpick crypto betting site and Sportsbet.io.
When you’re using a truly decentralized gambling platform, you’ll find many more options available to you. For instance, platforms like Augur, Ethereum, and Kryptium offer users the ability to bet entirely with cryptocurrency on a totally decentralized platform. Typically, these websites will offer diverse markets, covering sports, esports, economics, world events, cryptocurrency performance, and more.
There are markets on these platforms that you won’t see anywhere else. That’s one of the key ways that you can take advantage of decentralized gambling practices. Ultimately, you should remember to only use reputable, popular platforms, and do your homework before you start experimenting with decentralized gambling.