The Bitcoin halving event that took place earlier this year has played a significant role in crypto betting in the igaming sector, according to operator SOFTSWISS.
During its ‘State of Crypto’ overview report, SOFTSWISS found that from around 250 crypto-friendly brands, the total bet sum for the first half of 2024 saw fiat and crypto bets increase by 46.6% compared to the same period last year.
Ongoing analysis since early 2022 indicates that fiat bets have experienced more growth compared to crypto bets when comparing the first half of 2024 to the first half of 2023, with the fiat bet sum increasing by 65.2%.
But crypto betting, despite not being as nearly as much as fiat, also grew. 2024 so far has seen a 2.3% rise in the crypto bet sum. However, the share of crypto bets noticeable decreased this year by over 20%.
Co-CEO of SOFTSWISS, Andrey Starovoitov, attributes the decline in crypto bets to the Bitcoin halving that occurred earlier in the year and believes it has led to a more cautious approach to crypto betting.
He said: “The anticipated impact of the Bitcoin halving, coupled with the strengthening of the Bitcoin exchange rate in the first half of 2024, may lead to a more cautious attitude among players towards using cryptocurrencies.”
Last April, Bitcoin miners went to work to re-engineer the cryptocurrency’s underlying technology to sharply reduce the mining rate by 50% in order to halt the rate so Bitcoin does not come close to exceeding its minted capacity of 21 million.
Bitcoin halving occurs every four years and whilst the event does significantly reduce the world’s largest cryptocurrency’s value, it is an essential part of Bitcoin’s long-term future and stability.
And whilst its value has taken a hit since the early record-breaking numbers it produced in the offset of the Bitcoin ETF ruling in the US, the same can also be said for its usage in the igaming sector.
SOFTSWISS reports that Bitcoin experienced a decline of around 23 p.p. in the first half of the year compared to last year. On the other hand, Litecoin and Tether demonstrated growth of 8.9 p.p. and 7.1 p.p., respectively.
Bitcoin still remains the most popular cryptocurrency in igaming, along with Litecoin, Ethereum, Tether, and Dogecoin.
Starovoitov concluded: “Confirming experts’ anticipations, the iGaming industry is experiencing active growth, with a fifth of all bets coming from the crypto segment. The intriguing fluctuations in Bitcoin’s position promises both increased profits and a more cautious attitude toward spending.
“However, every challenge brings its own opportunities. The key to success lies in adapting by investing in employee training and software development, integrating crypto processing, and ensuring your platform remains secure throughout the process.”