Online iGaming sites and the technology-focused industry behind them represent an area of gaming that is showing massive growth. Global growth projections for the industry are very buoyant, with a value recorded in 2021 of $178 billion, to an estimate of £268.8 billion in 2025. This gives investors in the industry the confidence to spend money on the development of technology to improve the industry further in the future.
Blockchain is one of the most promising technologies currently being developed and implemented by the industry and has the ability to significantly impact the future of slot and Slingo sites.
What Is Blockchain?
Blockchain is a virtual ledger, it is decentralised and shared, and it provides an incorruptible method to record transactions. This gives users of the technology an instantly accessible, up-to-date record of their transactions in a secure method that is not susceptible to outside interference or tampering. This simple requirement is hard to fill using other methods and blockchain shows great potential for the iGaming industry as a whole in many of its key areas.
The Benefits Blockchain Brings To iGaming
As blockchain is rarely mentioned outside the scope of Cryptocurrencies and their development, its potential to bring huge benefits to the iGaming sector is not well understood.
Blockchain technology powers the cryptocurrency industry, but it is separate technology and has a bright future for other industries too.
iGaming is clearly a growing sector, as with all industries, problems will always emerge and solutions must be found and integrated into the industry’s business models and products. Maintaining fairness and retaining customer trust is the number one priority for the industry. As can be seen, there are many facets to the industry, from odds calculations to customer payments and accurate incorruptible records are needed. With digital security being such an essential need for the industry, blockchain has the potential to offer many solutions.
Security
Security is crucial to many online industries. iGaming has as high a need for the best digital security available. Blockchain is being integrated by the industry to provide enhanced levels of security not easily achievable by other means.
iGaming companies have to maintain security for their millions of global customers. Blockchain offers this ability by making it impossible for online fraudsters to interfere with smart contracts or intercept secure information that could be used illegally. This is because of the way the blockchain is linked and provides customers with the reassurance they need to be happy entrusting their personal details to an iGaming operator.
Responsible Gaming
Responsible gaming, looking after the industry’s customers and ensuring players are well protected is an area that blockchain implementation is benefiting all in the industry. With the industry open to very substantial fines from Anti Money Laundering and mistakes during know-your-customer procedures, the impetus required to seek the best solutions is constantly present. The careful implementation of blockchain technology like the Kenses data integrity platform on the industry’s iGaming platforms can have minimal effect on the necessary internal processes while providing the credibility and transparency needed to keep customers’ confidence levels high. Of course, this is of benefit to the industry’s regulators in simplifying the analysis of their business transactions and customer records.
Maintaining Provable Fairness
Proving an operator’s fairness is crucial for both customer confidence, but also for regulatory requirements and obligations. All iGaming companies know they must maintain their customer’s trust, as it is critical to their own success. Blockchain provides this ability with transparent public ledgers recording the games played, bets placed, and all the needed details easily accessible. The data is trustable with no possibility it has been altered or tampered with. Easily provable fairness can be easily provided by smart contracts that require each bet to be subject to the digital agreement and eliminate fraud.
High-Speed Transactions
iGaming needs high-speed transactions, this is nowhere more apparent than in the sports betting industry. Slow transaction speed has the inherent risk of causing missed bets or failing to secure specified odds. Blockchain integration speeds up transactions and reduces the possibility of a failed deadline. Of course, this is often combined with cryptocurrency as the payment method supports high speed and brings with it a low transaction cost. The lower costs Crypto offer in completing transactions are down to blockchain systems being utterly independent of the traditional banking sector and its FIAT transactions.
Maintaining Anonymity
Despite iGaming and gambling being completely legal in a large number of countries globally with more legalising the hobby each year, the majority of players still expect total anonymity and place a high value on a company maintaining their confidentiality. Blockchain offers everything they are looking for, with users being identified only by a unique key. This code or series of characters offers the ultimate in anonymous transaction ability and is welcomed by the majority of customers as a perfect solution.
Higher Possible RTP
Odds are carefully calculated by iGaming companies, it is not a simple calculation of purely sporting odds. The calculation is required to generate a profit for the iGaming operator. Blockchain technology offers operators a method of decentralised person-to-person transactions that removes the need for a traditional bank. These savings translate to better odds for the players and ensure iGaming operators who have invested in the required blockchain technology remain some of the most competitive companies in the gambling sector.
Easier Auditing Processes for Regulators
Forte Labs and similar companies that provide secure blockchain platforms for iGaming operators are helping simplify the process of industry regulation. With simple auditing processes available regulators are able to quickly complete the required checks and be sure the data remains untampered with.
What Trends Will We See in 2023?
This trend of blockchain adoption by the industry is set to continue shaping the industry in the future as more iGaming operators integrate it within their products and general record keeping. The benefits it brings are being felt across the industry by operators, regulators and players alike.
