Complete Betting Guide about What is Cryptocurrency in Sports Betting? Bitcoin, Ethereum, Dogecoin & Litecoin
One of the biggest trends in the online casino and sports betting industries is the rise of cryptocurrency. Casinos and sportsbooks are quickly adapting to this evolution by accepting the use of crypto for making deposits and withdrawals and using this currency exclusively. As online sports betting cements itself as one of the biggest industries on the internet, cryptocurrency growth gives bettors even more flexibility than they ever had before when placing bets online!
If you are unfamiliar with cryptocurrency, you may wonder what they are and how to use them for betting on sports. With so many sports betting sites offering cryptocurrency, it is vital to stay informed and know all of your options so you can make the best decisions for your needs.
In the article below, we will look at everything you need to know for betting with cryptocurrencies, types of cryptocurrencies, and how to get started. This will arm you with everything you need to know for getting started betting with cryptocurrency!
What are Cryptocurrencies
A cryptocurrency can be best explained as a form of currency that does not require a central monetary authority like a bank or even government. Cryptocurrencies use a technique called cryptography that gives people the opportunity to trade, sell, and buy them in a secure environment.
One of the most crucial technologies to mention when on the subject of cryptocurrency is blockchain. While crypto is most commonly used for investment purposes, supporters can now buy services, goods and even gamble online. They have also become a significant component of the decentralized finance networks where the coins are an essential tool for completing transactions.
Blockchain
Blockchain technology is a form of recording data that makes it nearly impossible to cheat, hack, or manipulate the underlying system. A blockchain can be best described as a digital recording of duplicated and replicated transactions across a network of systems that reside within that blockchain. Transactions are stored within each block of the chain. Once a new transaction has occurred on the blockchain, a record of this transaction is recorded among each participant’s ledger.
The participants manage this decentralized database and are known as decentralized ledger technology. A type of decentralized ledger technology is blockchain, one of the main components of cryptocurrency technology. Some other characteristics of blockchain include:
- Programmable
- Anonymous
- Unanimous
- Distributed
- Time Stamped
- Immutable
- Secure
Advantages of Crypto Betting
Betting with cryptocurrency has many advantages over traditional currency. Otherwise, why would it be overgrowing in popularity? Below, we will look at some of the cryptocurrency’s most significant benefits in the gambling and sports betting industries.
- Security – Security is a significant advantage cryptocurrency has over traditional currency when betting online. Typically, when you sign up for a crypto betting site, you will only be required to add your wallet information compared to personal information. The fewer times you put your personal information online, the lower the risk of having your identity stolen. Additionally, cryptocurrency transactions are immutable and once completed, they are final. These transactions cannot be taken back, canceled, tampered with, or modified in any way.
- Privacy – The beauty of how to bet on sports with cryptocurrency compared to traditional currency is that no one has to know unless you decide to tell people about it. Banks frown upon sports betting and online casinos, with stories of mortgages being turned down for this reason with even minor usage. The more private you can keep your sports betting hobby with banks and financial institutions, the better, and this is where cryptocurrency shines.
- Faster Transactions – Traditional currency casinos and sportsbooks abide by financial regulations and limit standard sports betting websites. This is the main reason why you experience such slowness and inefficiency when placing bets, making deposits, and withdrawals on these sites. While cryptocurrency betting sites are regulated in most cases, the regulations are much less invasive and easier to handle. Some of the top sports betting crypto sites even allow no limits on deposits and withdrawals, which is unheard of for standard betting sites. You can also receive your winnings almost instantly as blockchain is lightning fast.
- Fewer Restrictions – Another great advantage of sports betting with cryptocurrency is that it provides options for bettors in countries where sports betting is restricted from getting involved. While it is still vital to adhere to your region’s local laws and regulations, some of the top sports betting sites will allow bettors from almost any country throughout the globe to sign up. With a crypto wallet and a VPN, you will have a good list of options for sports betting online anytime, anywhere.
- Keeping the banks out of it – When depositing standard currency into sports betting, you have the potential of running into problems. It is no secret that banks do not love or appreciate sports betting and casino sites online. Some have even reported having their bank account frozen upon adding credit cards and making deposits into online betting sites. Cryptocurrency leaves the banks out of it and prevents you from explaining these things to a bank or getting your accounts frozen.
- Your assets could grow – Unlike traditional currency, cryptocurrency could increase in value as you play with it. However, this could also be a disadvantage in the scenario where the opposite occurs.
Disadvantages of Crypto Betting
While cryptocurrency has many significant advantages for betting on sports, some disadvantages are important to note as well. Below are the most significant downsides to cryptocurrency for sports betting.
Volatility – As we discussed with the advantages of crypto, the value has the potential to increase as you are betting with it. However, it also has the potential to lose value as well. As the value fluctuates, it is crucial to stay aware of its current value, as you could be betting with higher or lower values than you realize. This will save you from being surprised when it comes time to collect your winnings.
Legal Standing – As we had briefly discussed above, cryptocurrency offers privacy and fewer restrictions regarding your geographic location. If you are located in a country where sports betting would be challenging to get into, cryptocurrency allows you to find sites and create accounts. However, you must always adhere to local laws and regulations to create sports betting accounts online. Additionally, some sites will lock or freeze the accounts of users from countries they wouldn’t typically allow.
Types of Cryptocurrencies
There are many different coins out there for betting on sports. When researching a site or sportsbook online, find out what currencies are accepted, ensuring it aligns with what you have. Below, we will look at some of the most common forms of cryptocurrency found and accepted on most sports betting sites.
Bitcoin
Bitcoin (BTC) is the world’s first and the most popular form of cryptocurrency today. Bitcoin is ubiquitous and accepted by many online casinos and sportsbooks. A decentralized digital currency employs the above-mentioned digital ledger known as a blockchain. The ledger was opened in January of 2009 and created by Satoshi Nakamoto.
Ethereum
Ethereum (ETH) is the second most popular form of cryptocurrency within the sports betting industry and is especially popular in Europe. ETH is quickly closing the gap on bitcoin, and many believe that it will one day be equally as popular, if not more popular. Also using blockchain, ETH was created in July of 2015 by Vitalik Buterin and Gavin Wood.
Dogecoin
Billy Markus and Jackson Palmer created dogecoin (DOGE) in December of 2013. What makes DOGE so unique is that it was designed primarily as a joke and is the first of what is now known as “meme coin” or “dog coin.” Since its initial release, dogecoin has rapidly increased popularity, even amongst celebrities.
Litecoin
Litecoin (LTE) is almost identical to bitcoin and is one of the first spinoffs of the popular coin known as “altcoin.” It was formed in October of 2011 by creators at the Litecoin Core Development Team. Litecoin is also popular and accepted amongst many sportsbooks and online casinos.
How to bet With Cryptocurrencies
As cryptocurrency grows, getting started betting with it has never been easier. Here are the standard steps you will need to take to sign up and start placing bets with cryptocurrencies.
Open a Wallet
With dozens of wallets and coins to choose from, research the best options that suit your needs and sign up for an account. Once created, you will receive a digital address that should store somewhere safe that you can easily access. You must never lose this number, ever!
Purchase Coins
Once you have your wallet, it is time to exchange your standard currency for some coins. Choose the coin you have settled on purchasing and make the exchange. Your account will then be funded, and you can move on to the next step.
Choose a Site
Now that you have a funded wallet, you can research the best site for sports betting. It doesn’t need to end with one, and you can create accounts on multiple sites to personalize the experience to suit your needs. There are many things to consider when picking a site and plenty of options of which to make a decision.
Make Deposits
After choosing the site or sites you plan on betting with, you can make a deposit. Most importantly, you will need your wallet’s digital address, and the process is quick and straightforward. Some of the top sites even give you credit until the deposit reaches your account.
Start Betting
Finally, pick your favorite sports to play and start placing bets!
Cryptocurrency Betting
Betting on sports with cryptocurrency is no different from traditional currency regarding the bets and options available to you. Regardless of what sport or currency you settle on, the bets will typically be the same. Below, we will look at the most common bets you will encounter with crypto betting.
- Straight Wager or Single – This is one of the most straightforward bets to make, and you choose which team will win the game. Straight bets could also include prop bets, totals, and future outcomes as well.
- Totals – When betting on totals, you are placing a bet on either the combined score of both teams or the total score of just one single team. This is also known as the Over/Under.
- Prop Bets – Prop bets are typically fun bets you can make on virtually any aspect of an event, such as the coin flip of a football game or which team will score the first points. These are easy bets that don’t take a lot of experience in sports betting to participate in or enjoy.
- Moneylines – A Moneyline wager is a bet on the winner of the event that you are wagering. A negative Moneyline is the amount of money you need to make $100, while a positive Moneyline is the amount you win with a $100 bet.
- Point Spreads – The purpose of point spreads is to make an even playing field between teams that are unevenly matched. Once you have your point spread number, the favorite will need to win by more than the spread number, while the underdog can’t lose by more than this number.
- Futures – Placing a futures bet means you are betting on the outcome of a championship or season before the start. For example, you might say Team X will win the title this year.
- Parlays – Parlays are when you string together multiple bets into one. If one of the bets within the parlay does not work out, your total bet is lost.
Popular Crypto Betting Sports
Similar to the bets you can make with cryptocurrency, the most popular sports to bet on with crypto is no different from traditional currency. Below is a list of the most common sports when betting with cryptocurrencies.
Is it Legal to Bet With Cryptocurrencies?
One of the most important things to consider for people who are new to cryptocurrency and betting with crypto is its legality. It is a perfectly accepted payment method in most places and gambling sites. However, some governments do not recognize cryptocurrency as a legitimate form of currency. Understanding your local laws and regulations around online gambling and cryptocurrency will ensure you are safe from breaking any laws. Want to learn more about What is Cryptocurrency in Sports Betting?Follow us on Twitter.
Sports Betting with Cryptocurrency FAQs
Do I need to pay fees when betting with cryptocurrencies?
While one of the most appreciated features of cryptocurrency is the absence of any fees, you still need to consider this when choosing which site or casino you plan on using. Typically, you can find this information easily when looking over a site before creating an account.
What are the best cryptocurrencies for betting sports online?
As we mentioned above, the most popular currencies for betting with crypto are Bitcoin (BTC), Litecoin (LTE), Ethereum (ETH), and Dogecoin (DOGE).
How do deposits work for crypto betting?
Most sports betting websites will have instructions or documentation listed on their site for making deposits using crypto. You will often need to find the address or a QR code available for sending your crypto deposit. Some other steps would include creating an account on the site and choosing your preferred method of currency.
Are sports betting with cryptocurrencies safe?
Sports betting with cryptocurrencies is safe and the preferred method for many bettors. The secure and speedy transactions and confidentiality and anonymity are some of the biggest perks of crypto sports betting.
Can you bet on esports with cryptocurrency?
Many sportsbooks are now offering esports as an option for sports betting. You now have the opportunity to choose amongst some of the popular sports such as counterstrike, DOTA, and more.
