Gambling in China: Is Bitcoin the Perfect Solution?
China is not a hopeless case for the Bitcoin casino market.
Unlike the countries that banned the use of the digital currency, the Asian economic powerhouse presents promising future for the Bitcoin industries to prosper in the region.
Although Bitcoin is restricted in the mainland, as deemed appropriate by the People’s Bank of China, individuals are allowed to trade on exchanges like OKCoin and BTC China. This puts the country on the list of the big players on the Bitcoin market.
In fact, the Chinese people comprised 70% of the trading volume in September 2014. Add to this figure the growing industry of Bitcoin mining in the country.
However, it is a different story when it comes to the Bitcoin gambling niche.
China fosters restrictive relationship with gambling
China has strict policies against gambling. It has, however, a few exceptions that cover state-run lotteries and regulated gambling in Macau.
Macau, which transformed into a gambling haven, even outperformed Las Vegas in 2013 after generating $45.2 billion as compared to the strip’s $6.4 billion revenue. Despite the already high figures, reports showed that the country can still add several more billions of US dollars should it gain control over the online gambling sites that illegally operate on its soil.
The illegal online gambling market is believed to yield an estimate of $21 billion, which only strengthens the possibilities of money laundering activities taking place in China.
With skyrocketing revenue generated from land-based and online gambling, there are big hopes for the Bitcoin casino market in China, indeed.
Will Bitcoin gambling be the perfect solution?
The current state of gambling in China may be restricted, but Bitcoin can provide a solution that will both be operator and player-friendly.
With Bitcoin, anyone can gamble on the web anonymously and benefit from the provably fair concept. The transactions are transparent and are processed almost instantaneously. Moreover, buying the digital currency for the bankroll and exchanging them later for fiat money are easy with the different kinds of technology available today.
Bitcoin will transform the gambling market to a more transparent, cost-effective, and convenient industry.
Bitcoin casinos are active within and beyond the Asian markets
Despite the limiting powers of the Chinese government over the gambling markets, there are Bitcoin casinos that cater to online players.
Betcoin.tm is one of the oldest casinos in the industry, and it has grown into a large gambling platform filled with different games. Its design is oriental, but the betting products range from slots and roulette to a roster of other Bitcoin casino games.
However, this provably fair casino does not accept bettors from the US, but happily welcomes anyone from any country where online gambling is not against the law.
Another perfect example is Club178, a comprehensive Asian gambling site that accepts Bitcoin on top of real money. What makes it unique is the website is based on an actual legal land-based casino, and therefore it only serves as an online portal for players outside the country to place bets even if they are in Indonesia, Vietnam, or Thailand.
The Bitcoin casino market definitely has a future in China, and the very core technology of cryptocurrency will enable the gambling industry in the country to reach new heights without bordering on being illegal. But how soon will China and Bitcoin gambling become a perfect match is something to still look forward to. The common perception against the cryptocurrency due to Bitcoin scams like the MyCoin investment scandal, however, may come in the way of full adoption of Bitcoin in the Chinese iGaming domain.