Cryptocurrencies and gaming are considered to be a ‘mix and match’ case, where the outcome is such that it makes each of them separately seem like it is missing something. Cryptos and eSports have actually demonstrated so much fit and such a good match between them, that some might wonder whether they can be thought of as potential “complementary” products.
Of course this is an edgy perspective, but the truth is that there is so much overlapping and intersection between those two worlds, that they seem to be fuelling each other’s growth.
The applications of cryptos in the lives of people have been mostly relating to transactions, investments and purchases in specific industries. The sports betting industry has been one of the first ones to embrace and integrate the use of cryptos into its own ecosystem. That explains why there is an increasing number of crypto bookmakers or casinos accepting cryptocurrencies today, which greatly outweigh the integration of cryptos in other industries, besides the financial trading and investment systems.
Sports betting has opened up new avenues for cryptos to get mixed with the world of sports. At the present, cryptocurrencies have come so close to eSports and gaming that people often believe that they are one or at least that they are very much codependent.
What do they have in common? Besides the most obvious factor that has to do with the demographics, which other things explain their intersection and match?
Their demographics overlap. That’s something that it is easy to see. Those who play video games or who are likely to engage, watch, follow and bet on eSports are younger generations – probably Millenials and Gen Z users who are extremely tech-savvy, digitally literate and ‘continuously-connected’.
Those who are more likely to use cryptocurrencies share the same demographic profile with the gamers and the eSports bettors and this explains why the eSports’ audiences and the crypto users are from the same pool.
In-game purchases
Another thing that fuels the co-dependent relationship between cryptocurrencies and eSports is that the cryptos are largely utilized for in-game purchases by gamers. The digital nature of cryptos coincides with the digital world and ecosystem of eSports and makes the in-game transactions such as buying skins or other in-game assets, easier, faster and more transparent when cryptos are used.
Rewards and gifts
Many video games provide incentives to gamers and offer rewards to promote loyalty. And in most cases the game developers and the game publishers offer crypto rewards and gifts, which the gamers earn for completing tasks, doing certain things in the game or simply playing some games for a specific period of time. Sometimes the more time they spend playing the game, the more they earn such rewards and gifts.
In this way they achieve optimum fans’ and gamers’ engagement, which would not be made possible without the likes of bitcoin, litecoin and dogecoin. In other cases the rewards are tokens or other digital assets which make the game more valuable for the players.
And as gamers get crypto rewards, they are essentially encouraged to use them in other transactions and for other means as well – whether to exchange them, trade, invest them or even convert them. The use of cryptos as rewards and in-game gifts, in the end fuels further use of cryptos and expands their application, creating a bigger ecosystem.
eSports betting
We simply can’t forget the contribution of sports betting to the intersection of eSports and cryptocurrencies. We are talking about crypto sports betting! With eSport tournaments becoming hyped and having a global reach, cryptos become the only viable, feasible and efficient way to bet on competitive video gaming.
It’s fast, secure, safe, cheap and above all it doesn’t stop where regulatory frameworks concerning geography or other financial institutions may pose obstacles. With cryptos, sports bettors can actually wager on an event without having to conform to specifications such as geography. They can bet from anywhere in a quick and easy but also secure and transparent manner.
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