The wave of skepticism and unjustified criticism of cryptocurrencies seem to have passed. Now, more and more people are getting aware of the benefits of investing in crypto and using this innovative mean of payment for various needs. But before getting down to cogitating over the subject at hand, let’s have a quick overview of the concept behind cryptocurrencies.
What can you buy with cryptocurrencies?
Certainly, cryptocurrencies are still years away from getting the mass adoption the community is longing for it to have. But, the scope of use is growing each passing day. Have a look in this Cryptocurrency Merchant List to see a number of different merchants accepting cryptocurrency as payment of its goods and services. Leaving aside such things as pizza, ice cream or gift cards, crypto is now being used for purchasing much larger assets as well. These assets include real estate, vehicles, or precious metals. But the question remains, is investing in crypto for speculative purposes equal to gambling? Or is it something else?
Investing in Crypto vs. Gambling
Cryptocurrencies have one main feature that makes them both appealing and dangerous as an investment tool. This feature is called volatility. Volatility is a finance term that describes how much the price of a certain asset varies from time to time. High volatility is generally also equal to high risk. So when you invest in cryptocurrency, the risk is quite high.
But does a high risk equal gambling? In our view, it depends on which type of gambling.
A comparison with roulette or dice is wrong. Because roulette and dice are both quite random. Picking a promising ICO-project is not random. Read this guide on investing in ICOs in order to find out how you can be more successful than average when investing in ICOs.
However, you can compare investing in cryptocurrencies with poker. As in Texas Holdem poker, where you can never be really sure that a good hand (Ace of spades and ace of hearts), will ultimately make you win, you can never be really sure that an investment in a very promising and resourceful ICO-project will be a good investment. Too many outside factors play an important part. In texas holdem’ poker, the remaining five cards determines whether you win or not. In cryptocurrency investments, the progress of the development, financing, regulatory environment, authority actions etcetera can affect the final outcome.
However, you can make certain decisions based on experience and skill. For instance, in poker you can calculate probability and decide whether or not to fold or call (or bluff). And in ICOs, you can read a white paper, technical road map etc., to properly analyze whether the ICO-project is likely to be successful or not.
Types of gambling sites that accept cryptocurrencies
As of now, there are three main types of gambling platforms that use cryptocurrencies in their day-to-day operations. These are sports betting platforms, online casinos, and poker rooms. However, the majority of well-known sites list crypto only as a supplementary payment option, giving preference to the conventional means of deposit/withdrawal, whilst only a few gambling platforms that built their entire work concept around the all-encompassing use of cryptocurrencies.
One such site – that focuses solely on cryptocurrency – is 1xBit.
Whether you want to invest in crypto or use it for betting purposes, it is necessary to always be aware of all risks described above and choose a reliable platform. 1xBit is a credible sportsbook and online casino that incorporated more than 20 cryptocurrencies in its operations. You can place bets on more than a dozen sports and play in an ultra-modern live casino using Bitcoin, Ethereum, Dash, Litecoin, and a host of other cryptocurrencies, deposit/withdraw funds immediately at little to no fees through the partner crypto exchanges.
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