The expected growth in online gambling is seen to provide significant opportunities to Bitcoin and cryptocurrencies, according to a new study by ResearchAndMarkets.com.
In a press statement, the researchers estimate the global online gambling market to grow at a CAGR of 10.5% during the period 2018-2022.
“One trend in the market is the introduction of Bitcoin gambling. Bitcoin is a type of cryptocurrency that allows peer-to-peer payments on the Internet. With the growing popularity of bitcoins, many vendors are adopting gambling with the use of bitcoins as a currency. This is due to advantages offered by cryptocurrency over normal currency,” the statement reads.
According to the researchers, the gambling industry is one of the growth drivers of the economy with its significant contribution to the market. It added that the gambling industry is a major contributor to the rise of the host country's economy.
In 2017, gambling contributed 0.91% to the US GDP (gross domestic product). It added that the lottery industry, a significant segment of the global gambling market, has contributed to job creation.
However, the report recognized the market is faced with the challenge of high-risk factors. “Although the profit margins are high, one of the major factors hindering the growth and expansion of the online gambling market is the huge risk involved in running the business,” the statement added.
A separate article by ThirtyK said lotteries could provide the “winning ticket” for the eventual mass adoption of cryptocurrencies, with the appeal of big prizes will attract more people to virtual currencies.
Nick Almond of CryptoMillionsLotto told the publication in a recent Q&A:
“The path to crypto adoption will start to happen when people see a real-use case that they know and understand. “It won’t get much easier to understand than this.”
Unfortunately, criminals are also aware they can use cryptocurrencies for their illegal activities.
Early this month, the police in Maoming, in southeastern China’s Guangdong province, arrested several people in a series of raids for cracking a gambling gang operating an illegal online soccer gambling website on the World Cup and using digital currencies totaling $1.5 billion (CNY 10 billion).
We reported that six members of the gang were arrested by the Guangdong Provincial Public Security Department in Shenzhen and Guangzhou and in close coordination with local law enforcement in the southwestern cities of Chengdu and Guiyang, and central Changsha.