4 Obvious Ways Bitcoin is Influencing the Online Gaming Industry
As Bitcoin has already reinforced its stay as the leading digital currency, it's important to look into how it has affected several industries on the internet. An industry that seemed ostracized for long is actually leading the charge in the adoption and use of Bitcoin.
The gaming industry has a particular flair for anonymity -- a future Bitcoin happens to overtly promote. The legitimacy of Bitcoin as a very strong and bankable crypto-currency, with the features that accommodate an industry like gaming, has made both a match made in heaven.
Bitcoin has grown to become a selling point for businesses in the online retail and eCommerce businesses, airlines and hotels and many lucrative lifestyle businesses. But for the gaming and industry, it's a totally different ball game.
How has Bitcoin influenced the online gaming industry? Let's explore.
- Anonymity
Upon hitting the mainstream in the Fintech arena in 2009, what quickly drew many adopters to the now high-valued crypto-currency was its anonymity feature. Given that many online transactions leave the buyer exposing too much personal information just to make a purchase left a lot of people uncomfortable. Given the lack of choice, making a payment on the internet meant you're willing to part with valuable personal data.
What the data end up being used for remains unknown to the buyer. This mere fact has made the mystery behind the success of Bitcoin attention-worthy.
But Bitcoin's anonymity features favours online gaming for a very different reason. Gamers often have a very serious issue of addiction -- some it runs through their career, and as seen with these athletes, it may ruin an illustrious career.
Hence, an online gaming website will strongly favour a crypto-currency as it gives its players the assurance that their engagements are anonymous and secure back-to-back.
- Price and Fees
Crypto-currencies are usually determined by the currency they are modelled after. This, however, is not the case with Bitcoin. When traded against almost every real currency, Bitcoin comes out as a very high priced currency to possess. Certainly, this could also be a downside to its holders -- especially large quantity holders.
But given the fact that most online gamers prefer to transact their affairs in figures unimaginable to people, a crypto-currency that weighs a lot in a single scoop would be the preferred choice.
For the fees, unlike other payment gateway platforms from ACH payment transfers such as PayPal and other checkout processors that charge merchants upward of %5 per transaction and some fees, Bitcoin only charges merchants %1 of their transactions. Consumers on the other hand are absolved of any fees.
- Legitimacy
It has to be legitimate. This is the most important aspect for Bitcoin as a digital currency. After suffering several crackdowns from governments who felt the currency threatens the position of their countries' actual legal tender, and the never-ending berates from speculators that keep beating the price up and down, Bitcoin still stays legitimate.
In a 2015 telegraph report, the Bank of England thinks the revolution of Bitcoin is the next internet. Virgin Galactic's announcement of six confirmed Bitcoin space travel customers only affirms that the crypto-currency is a real deal.
This only makes the position of Bitcoin in the gaming industry more appealing. When the industry itself is hoping to get some form of the legitimacy of its own, isn't embracing a winning lone fighter a great step in the right direction?
- The Rate of Acceptance
With Bitcoin finally successfully breaking through in China, acceptance of the crypto-currency is soaring. And acceptance of the virtual currency means its value will go up, and this makes it lucrative for online gaming and betting businesses. The more value the currency has, the more profit a betting business is able to fetch from players.
As Bitcoin continues to gain more grounds and recover as a virtual currency, my assumption is that Bitcoin can have a powerful effect on any business online.
What do you think? Since 2009, have you mined or accepted Bitcoin in your business? How has your decision to hold or stay away from Bitcoin influenced your business? Let us know in the comment section.