How Blockchain is Transforming Sports Betting Payments?

Sports Betting Game

Osiz is the most eminent Game Development Company that excels in offering various gaming solutions. The very term "sports betting" evokes a feeling of excitement, adventure, and entertainment all in one. One of the highly prevalent types of lottery is sports betting, wherein participants bet on events happening and try their luck at winning some money. Sports betting is permitted on a wide range of sports, including horse racing, cricket, basketball, football,  golf,  etc. As the internet sweeps younger generations off their feet, online sports betting platforms are gradually joining land-based sports betting. This blog post will explain the fundamentals of blockchain technology, discuss problems with online sports betting, and show you how blockchain is transforming sports betting payments.

Overview Of Blockchain Technology

Blockchain Technology is a sophisticated database system that makes it possible for information to be shared transparently inside a company network. Most importantly, it is totally impossible to hack or steal the information. Blockchain technology can be thought of as an extremely safe means of exchanging information within a company. All of the data is kept in blocks connected by a chain. Without everyone's consent, it is impossible to alter the chain. For this reason, it's ideal for tracking orders, payments, and accounts as the records are unchangeable. It also ensures that everyone sees the same thing and prevents anyone from adding false data or information.

Common Problems In Online Sports Betting Games

Even though the sports betting game has become more famous in the industry, it has its own difficulties. Let’s break down the common problems raised in online sports betting games. 

Long Payment Process: A traditional sportsbook typically requires many steps and actors before making the ultimate payoff. This covers the customer's involvement, the company's involvement, KYC procedures, and, last but not least, payment gateway involvement. As a result, it takes a while for the final payout to occur after a withdrawal request.

High Cost: Operators are facing decreased margins as a result of rising costs associated with business operations, many of which are related to financial reporting. Increased expenses may make it harder for novice bettors to get started, especially if they don't have much money.

Liquidity: A significant challenge for the players and the bookies has been liquidity. The majority of conventional sportsbooks operate centrally, requiring customers to fund their account wallet with a set amount of money before they can place a wager. Users' funds are thus frozen without interest for an unspecified amount of time.

Deduction In Fees: The payment gateway takes a hefty cut of the money sent during the transaction as a charge. Moreover, the player loses money in their account since they have to pay taxes on the money when it is returned to them. The gamer ends up with far less money than what he or she was entitled to because of this convoluted process.

How Does Blockchain Provide Solutions?

Having these major issues for the sports betting game, Blockchain technology comes as a life savior. Here are the significant ways in which Blockchain technology helps sports betting gaming solutions. 

Token Payments: Blockchain enables tradable tokens for commodities, loyalty points, and cryptocurrency to facilitate efficient payment processing. To increase their profit margins, online sports betting companies can designate unique tokens for transactions, which will be appreciated as they are used. 

Speed Transactions: Blockchain technology enables nearly instantaneous transactions, users and players don't have to wait as long for deposits and withdrawals.

Less Money Deduction: In certain regions, players that use blockchain transactions do not have to pay taxes on cryptocurrency payments.

High-End Security: Sports betting platforms on blockchain technology are extremely safe due to their decentralized nature. It stops financial transactions, game results manipulation, and fraud.

Winding Up

Osiz has been a top-tier online sports betting game development company with more than 15+ years of experience. Also, we have successfully delivered more than 1500+ projects to different global countries organically. In this blog, you have gained knowledge about how blockchain technology prevents third parties from manipulating information by storing it in blocks that are connected in a chain. Numerous advantages can result in a higher number of specifically targeted consumers and their prolonged stay on sports betting platforms. There are a few problems with online sports betting with traditional platforms, including payment delays, liquidity problems, and more. Nonetheless, all of these problems will inevitably be properly handled and resolved now that sports betting is included in the blockchain.