How Can NFTs Be Used in the Gambling Industry?
Introduction
When in the late years of the 20th century the appearance of online casinos happened, they were the same wonder as NFT these years. NFTs appeared in 2014 and experienced a high surge in popularity in 2020-2021, during the COVID era (that locked everyone at home, so people started actively exploring Internet opportunities in an attempt to entertain selves). That was the period when many online businesses and phenomena came to popularity: online casinos were not an exception.
The modern day’s trend of a combination of online casinos and NFTs opens for many people (regular gamblers and casino owners) shiny new opportunities, which we’re exploring in this article.
NFTs in Online Casinos
NFT games started to appear in online gambling establishments in the late 2010s. Today, dozens of such venues exist, offering the best gambling NFTs to everyone interested. In addition to fiat money and cryptocurrencies, NFTs started to be a means of payment to gamble in various games, receive remunerations and winnings, used as avatars for the gamblers’ accounts in respective casinos, and also became an interesting option for investment not only as a separately held assets in user wallets but also in the accounts of casinos on the Internet.
Create Specialized NFT Casino Games
Owners of online gambling establishments start to update their venues to increasingly more include the opportunity of using NFTs in the gaming process. Thus, it became possible to bet NFTs in games, win them as a result of receiving successful combinations, and obtain as rewards for participating in various tournaments and contests.
All the NFTs can be stored not only on an account of a gambler in this or that NFT casino but also in a wallet of a person, which he or she opens on a third-party platform. There is a possibility to create unique NFTs, which will be inherent only to a specific online casino, which can potentially make them not only an internal currency of this gaming venue but also turn into collectible items for everyone interested. In most casinos with an embedded NFT feature, these are later exchangeable into real money, free spins (FSs), or sold at auctions. Given the natural capability of NFTs to fluctuate in value over time (which can both increase and decrease), they can be stored on accounts or wallets of people to be later sold for bigger money compared to the cost of their purchase or retrieval.
Reward Loyalty
NFTs can be minted by online casino owners to remunerate active and loyal gamblers. Depending on the level of a gamer in the internal VIP systems of casinos, the value of NFTs provided on each level can naturally be different, with the most valuable items given to high-level VIP players.
Give Players Share of House Edge
Another exciting opportunity, which turns regular gamblers into investors, is minting NFTs for the sake of their sale to gamblers of casinos to give them the right to receive some percentage of the house edge, which is gotten from other players in the casino. Thus, buying a certain NFT from a casino (for a pre-defined lump sum or during an auction) can make the holder of this NFT a kind of shareholder of this or that casino with annual or another periodic income received from the profits of this casino. Although such casino activity is not the case for the general market and is not supported in some casino jurisdictions, legal changes will surely take place in the world in the future to promise such an opportunity.
Create Online Casinos With NFTs
An entire NFT casino can be potentially created, where, instead of fiat or crypto money, only NFTs will be used in the entire cycle of gaming:
- bets
- winnings
- promos
- rewards
- and other remunerations.
This step can potentially displace the need to have other incentives for casino players, which today are FSs, bonus money, free play, cashback, etc.
Sell Merch to Loyal Fans
Any NFTs online casino can generate its own merch to be sold to everyone interested (given that a casino is large enough to have a fan base, which would provide interest to this merch). We’re talking here not only of usual pieces of merch such as apparel, mugs, or stationery but also of branded NFTs, which can be both collectibles and have commercial value. What will make the price and value of such NFTs rise is that their distribution can be limited, for instance, given only to high-profile gamblers, which can then set their own prices during the sale of these NFTs.
Betting With NFTs
The most obvious way of using NFTs in gambling is to make bets using them. For this purpose, to meet the demand of all groups of gamers, NFTs with different values can be minted, for instance, from $1 to several thousand dollars apiece. Both bets and rewards can be managed in NFTs, which are then either withdrawn from the casino’s wallets to the wallets of gamers to be involved in the general market of NFTs, including their sales and forms of investment.
To continue this idea, different NFTs can be created for different kinds of games. Video slots, card games, roulette, lotteries, table, and other games — all can have their unique NFTs, which can differentiate not only with their usage but also their value. This might prevent a big part of regular types of fraud connected to regular money and its laundering.
Metaverse and NFTs
While the question of where to buy NFT games is actual today for most casino owners, who’d like to add them to their gaming catalogs, not only games have the potential for exploitation of NFTs. Players can use them instead of avatars in the gaming world and metaverse. The same avatar and other properties of NFTs have the potential to connect the entire online activity of every person into one knot. For instance, a person can use the same NFT wallet to make transactions from and to an NFT online casino, make mundane financial transactions connected to this type of asset through the OpenSea or another platform, use it for creating their own NFTs as a side business or day job and applying for his metaverse’s general activity.
Final Words
NFTs are a new step in the development of human activity and are one of its latest successful brainchildren. There is a vivid potential to use them in casinos on the Internet to diversify people’s daily lives and bring more interest to things, which are conceived to be creative and entertaining.