Bitcoin and other cryptocurrencies have made a big splash during the last decade. What’s more, most observers agree that the 2020s may well be when they truly become a mainstream technology. However, one central question remains – whether these digital currencies are mainly liquid currencies, used by real consumers to buy real goods, or long-term investment assets?
Why crypto gambling is important for Bitcoin’s risk profile
The difference between these two types of assets may seem trivial, but is in fact significant. Specifically, liquid currencies are mainly a means of monetary exchange. However, unlike this, long-term investment assets will likely appreciate substantially in coming years.
As such, the classification of Bitcoin and other cryptocurrencies will determine the assets’ optimal use cases and risk profiles. Although observers have long tried to determine whether Bitcoin and cryptos in general are merely liquid currencies or investment assets, the answer is still that they are both.
No matter what is the most appropriate classification of Bitcoin, it is clear that cryptos disproportionately attract risk-friendly investors. Moreover, these mainly seek short-term gains and rapidly appreciating assets.
However, a case could be made that this is about to change. The cryptocurrency industry is no longer as volatile as it has previously been known to be. Furthermore, the price of Bitcoin – and other cryptos – is become less risky by the week, as multiple industries embrace digital currencies.
2020 will be an exciting year for the crypto casino industry
One of the best examples of this rapid embrace of cryptocurrencies can be seen within the casino industry. Industry spectators will have seen a swift emergence of crypto-powered casinos and other games over that past few years.
Moreover, these developments can have a substantial impact. Concentrating relatively swift gratification and so-called quick-fire outcomes in a gaming construct, one could argue that crypto-powered gaming will likely absorb many early Bitcoin adopters.
Additionally, if the risk profile and valuation profile of Bitcoin – along with other cryptocurrencies – continues to stabilize over time, it would seem even more likely that it could become more attractive with Bitcoin gambling and crypto games.
Crypto gambling in general is a new and exciting field, which opens up many new possibilities for both gamblers and cryptocurrency adopters alike. However, it is also important to keep in mind that it is just one of many sectors that can benefit from cryptocurrencies.
Nonetheless, the coming decade could very well see crypto-powered casinos and gaming become the next big thing within the entire digital gambling sector.