How the cashless casino idea emerged
As you already know, online cryptocurrency casinos have taken off, but there’s currently no place you can go to physically spend your cryptocurrency to gamble.
Online casinos can be fun, but nothing compares to the true casino atmosphere as you and your friends cheer each other on in your favorite action-packed casino games.
Land based gambling vs online gambling?
In 2015, an interesting thesis emerges that looks at the distinctions of Offline and Online Gambling where the action of gambling offline is characterized by social interaction, a physical location that the individual travels to in order to gamble.
Players value the easily accessible recreational activities and amenities when gambling at a casino. These include alcohol, food, hotel rooms, and other forms of entertainment available to a consumer or tourist, such as “shows”, pools, and shopping, to name a few.
These forms of entertainment are dependent on
(a) the location of the casino
(b) the type of casino they choose to gamble at
On the other hand, the thesis proposes the notion that individual gambling on Internet websites generates new unintended negative consequences and exacerbates the existing externalities associated with offline gambling. In turn, these create market inefficiencies that cannot be corrected.
Furthermore, an economical and mathematical model is tested on that hypothesis in which the author concludes that indeed, Internet gambling “market” fails from the creation and exacerbation of negative externalities associated with one individual’s choice to gamble online. A solution is put forward which proposes that rather than attempting to impose a governmental policy that will help regulate the Internet sites, casinos should instead provide an experience similar to that of online gambling in order to properly incentivize users. The author finally states that it could certainly be interesting to impose this solution of “anonymous” offline gambling in a physical casino to see if it could actually cause a significant change in demand for that type of game.
We truly understand that as much as cryptocurrency has gained widespread use it still has not been embraced and used to its fullest capacity and that is actual consumption and expenditure.
On the other hand, online gambling, where cryptocurrency has been embraced, accounts for only a small percentage of the whole industry revenue.
Based on the reports from the European Gaming & Betting Association, the European online gambling and betting market is a successful and dynamic sector, representing almost half of the worldwide market. However, this market is still only 17% percent of the total EU gambling market indicating that a large proportion of players prefer the traditional physical casinos.
The adoption of the blockchain
Nevertheless, in the real world, physical casinos remain highly exploitative to the players with the establishments playing the gatekeeper’s role. As such, there is need for decentralization of the gambling industry as a whole which can be now achieved through blockchain technology as seen in the massive velocity this already has in the online segment. Through the adoption of cryptocurrency, there is the possibility to eliminate some prevalent issues in the traditional gambling industry including the need for trust.
The adoption of the blockchain will help automate some of the crucial elements that have enhanced online gambling while at the same time reducing the risk of fraud in the physical casinos. Some of those are laid out in the FATF reports and include indicators like employee complicity in fraudulent activities, especially in cases where supposed winnings do not correspond with recorded winnings. (Lack of transparency and auditing).
On the business side, the adoption of the blockchain will help develop a more sustainable model that minimizes operational costs and overheads which in turn can be translated to higher payouts to the players.
For instance, the reduction in credit card charges & fees currently incurred by players in converting fiat into casino chips and for payment of services within the premises will become a very welcome cost saving in Providence.
We therefore, propose a hybrid casino that combines the blockchain and the real life gambling experience in a truly amazing manner. It is our aim to bring you the world-class casino experience in true blockchain form. Never before has there been one stop to spend an incredibly fun time with friends and family, all in cryptocurrency.