The introduction of cryptocurrency into gaming has created valuable opportunities for both sectors. Cryptocurrencies used in gambling are gradually revolutionizing the industry and attracting new users by offering benefits that are generally not available with non-crypto gambling. With crypto, users benefit from privacy, increased security, transaction transparency, fast transactions, and cheap fees, among other factors. Some of the best gaming cryptos to watch in early 2024 include:
Bitcoin (BTC)
Bitcoin is the most commonly used cryptocurrency on gambling platforms. It is the world's largest cryptocurrency by market capitalization and the asset with the highest level of adoption among the more than 11,000 active cryptocurrencies on the market, according to CoinGecko. Bitcoin was originally designed as a peer-to-peer cryptocurrency and is not intended for use in industries like gambling. However, its growing recognition and use cases have encouraged online casinos to accept crypto customers, expanding their customer base beyond traditional fiat users.
As the de facto cryptocurrency of choice, all cryptocurrency gaming sites accept Bitcoin. Most require blockchain confirmation before the deposit is credited. This means waiting around 10 minutes (source: https://readwrite.com/cryptocurrency/best-bitcoin-gambling-sites/).
Bitcoin's global acceptance and high liquidity make it a top choice for online casinos, strengthening its position as the leading crypto asset for gambling.
Enjin Coin (ENJ)
Established in 2017, Enjin Coin is recognized for its focus on blockchain technology and non-fungible tokens (NFTs). Although the token was initially launched specifically for gaming, its NFT solutions are also applicable to gambling to promote transparency and ownership.
ENJ facilitates the tokenization of assets and can help represent those assets using NFTs on blockchains. This design helps tokenize in-game assets such as digital chips, giving players a strong sense of ownership through true ownership of the assets. Additionally, ENJ supports provably fair gaming, a type of cryptography-based technology, which ensures that online casinos operate fairly and reduces the risk of unfair play.
Beyond simply supporting the tokenization of gaming assets via NFTs, the design of the ENJ ecosystem facilitates interoperability. This expands the general online casino network, allowing users to interact with each other across platforms, trading NFTs and other crypto tokens. Through ENJ, users and service providers can design platforms and tokens that serve multiple purposes, helping to create a robust gaming community and ecosystem.
Ethereum (ETH)
Ethereum is the second largest cryptocurrency, running on one of the most versatile blockchains in the industry. The asset is the native token of the Ethereum blockchain, popular for its smart contract functionality. Gaming platforms can use these self-executing contracts to automate deposit, staking, and gaming processes while using ETH tokens for user deposits and withdrawals. Through smart contracts, service providers can also ensure transparency and lack of trust.
Another advantage here is the token standards on the Ethereum blockchain. Online platforms that accept Ether indirectly support one or more token standards, such as ERC-20 and ERC-721. Support for token standards allows these platforms to seamlessly integrate new compliant gaming tokens and facilitate play with existing ones, which can be useful for live games or special tournaments between casinos.
Chiliz (CHZ)
CHZ is the native token of the Chiliz ecosystem, popular for enabling fan engagement and user participation. Running on the Chiliz proof-of-authority (PoA) blockchain, the ecosystem has popularized fan tokens – digital assets that fans use to interact with their favorite sports events or teams. These tokens give users early access to events, special privileges, and can be used to purchase merchandise.
The Chiliz platform operates Socios.com, its own exchange for trading CHZ and fan tokens. While the exchange provides an easy way to acquire these assets, it also provides an excellent source of liquidity for fan tokens. Additionally, the platform provides a great way for gambling service providers to offer sports fans and players a great way to interact, join sports or gaming communities and bet on their teams favorites.
Theta token (THETA)
The Theta Project was launched in 2018 and was designed to solve problems related to streaming and video delivery in general. It is a decentralized video delivery network focused on affordable and efficient video streaming, leveraging shared bandwidth and computing resources.
Theta's ecosystem can significantly improve gambling, especially sports betting, where live event streaming is essential. Additionally, the protocol is excellent for streaming other casino games, including poker, baccarat, and roulette, which can be played in real time. The decentralized nature of the network makes this easier by solving the latency, buffering, and general image quality issues typical of centralized options.
Theta also operates a revenue model that encourages users to share their computing resources for better video streaming. This method keeps the ecosystem functioning and contributes to its scalability. The more scalable the network is, the more it can stream videos and attract punters looking to win big through gambling.