The gambling industry is becoming more regulated and licensed around the world. There are strict guidelines in place at most gambling authorities, which are there to ensure player safety. Customers of online casinos and betting sites can now play without fear of their data being collected and sold to third parties. However, as we move into the realm of crypto gambling and cryptocurrency casino platforms, the issue of regulation begins to become more complicated. How Does Cryptocurrency Gambling Work? Generally, blockchain-based gambling occurs in two ways: on-chain and off-chain. The off-chain cryptocurrency gambling industry includes both physical and online casinos that accept cryptocurrency. To convert Bitcoins or other cryptocurrencies into local fiat currencies, these establishments will often use third-party custodians, such as BitPay. It is possible to find online casinos that operate exclusively without fiat currency and payout in Bitcoin. A decentralized application that runs on a blockchain network, rather than traditional centralized servers, is the basis of on-chain gambling on a blockchain. Off-chain casinos are much easier for governments to pursue. The IP addresses of certain countries are often blocked by crypto casino websites. Users from the United States will likely be banned from accessing Bitcoin-accepting gaming sites. The Netherlands and Crypto Gambling Only a few countries are taking steps to regulate ...
