Beyond Staking – Why You Shouldn't Rule Out Cryptocurrency Casinos

Guest  |  Apr 8, 2021

In the brave new world of decentralized finance and digital assets, investors who are wading into new sectors involving blockchain-based coins and tokens (and other fintech alternatives) have a lot of choices in how to grow their capital. It’s an exciting time for those who want to earn interest on money.

Traditional banking systems have been offering pretty weak interest on fiat currencies, especially the dollar, partly due to central banks slashing interest rates in order to prop up national economies. Now, though, cryptocurrency has changed the rules of the game in a big way, and one of the most interesting developments is the process of “staking” your cryptocurrency in order to rake in dividends and interest far beyond what investors can get in traditional markets. It’s also much easier to convert fiat to crypto, with Bitcoin ATMs on many streets.

The Staking Trend

Essentially, by utilizing frictionless transactions, consensus-based verification and new cryptocurrency models, counterparties are able to offer crypto-holding investors significant amounts of interest in practices called “staking.” The asset owner connects their cryptocurrency value to an active marketplace, pledges it to a handler, and receives interest, in much the same way that traditional investors get fiat currency interest from banks. There’s one substantial difference, though – this interest is much more than the average investor can get in savings, or even in equities or bonds.

The difference is that with crypto staking, capital gains aren’t eaten up by all sorts of administrative costs, some connected to traditional verification. New digital assets like cryptocurrencies are more transparent, more portable and more versatile than dollars or other national central bank backed currencies.

The Emergence of Crypto Casinos

At the same time, we’re seeing a boom in bitcoin casinos and gambling and wagering platforms, as players with money look for convenient ways to wager their funds online.

Interestingly, we’re also seeing that there could be a lot of benefit for both of these types of activities to go together – for cryptocurrency casino players to be able to park their earnings, and grow them through staking.

For a sort of direct conceptual view of how this works, imagine your traditional casino. You go to cash in your chips, but instead of converting them to fiat currency, you leave that value with the cashier, and sign onto a pledge that will grow those assets over time. The next time you come back to play, you have significantly more chips at your disposal. That’s sort of what it’s like to leave a digital gaming session, sliding gains into a digital wallet, and having staking attached.

Many experienced finance experts would say that the majority of players would opt into these kinds of frameworks if they could. Instead of carrying major amounts of cash around to banks, staking provides a convenient and lucrative alternative. It’s simple, and it’s immediately rewarding.

Looking For Progress

While many online cryptocurrency casinos do not currently offer staking, the potential is clearly there. Take FortuneJack, one of the best crypto casino operations in terms of player security and transparency. FortuneJack offers provably fair gaming (PFG) algorithms which ensure that player results are generated fairly. Then there are platforms like mBit, where players can get access to over 2000 games with BTC and LTC betting options, and 7Bit’s digital slots, roulette and much more, also with crypto-friendly betting options. 

So imagine a casino like this integrating an ever-growing menu of staking opportunities to its framework. Then players can grow their money in between gaming sessions, for a real financial synergy the likes of which we've never seen before! That’s what has investors and analysts buzzing about plans to attach staking to online gaming venues. It could be a big win for the average player.

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