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Cryptocurrencies and non-fungible (NFT) tokens are both based on blockchain technology, but apart from the technicalities, there is no similarity. If you want to keep up with the latest developments in cryptocurrency, then this is the place to start. Crypto gambling trends, you won’t find them here as the approaches NFTs and cryptocurrencies take towards gambling are largely divergent.
The difference between NFTs (not fungible) and cryptocurrencies is evident. The simplest way of describing fungibilityExplain it using the dollar or any fiat currency. Each dollar note is the same as any other, as it has the exact same value. Each unit of the same cryptocurrency is worth the same and can be traded for another. However, this is not true for NFTs. Each NFT is unique and personal, which dictates their use in gambling.
This backstory is crucial because it allows you think beyond what you’re used to when gambling with fungible currencies. This prepares you to accept that NFT games, while they can be considered gambling, take on a completely different approach. Continue reading to discover this new approach as well as other ways NFTs could be deployed.
If you’re already familiar with gambling, you can easily switch to NFTs if you are. At first, it might seem customary, but when you wager your first NFT against someone else’s, that’s when you begin to see the vision behind NFT gambling.
NFT gambling continues to be popular due to the personalization of items and the possibility to win something as rare, if you don’t win it, than what is being staked. You can choose the NFT you want to bet on and have a shot at winning at random. Since literally anything can be turned into a NFT, you could win items from Smurf NFTsRare Starbucks Odyssey NFTs.
NFT gambling is similar to regular gambling. It offers unpredictability, excitement and thrills that will get players who are already tired of the usual hyped up and ready for their next bet.
Why is it affecting the gambling industry?
Many people have become skeptical about the role of NFTs. They were initially marketed by influencers as a quick-rich scheme. Popular NFT projects such as the Bored Ape Yacht club losing nearly 90 percent of their valuePeople are still hesitant to pitch their tents using NFTs. This is what makes the resurgence NFTs have in the gambling sector so impressive. It has been able convince many people because of its properties:
• NFTs are programmable:
These are also called smart NFTs, and they can be automated. They can be designed so that they carry the identity of platforms where they’re wagered, and can automatically transfer ownership to the players. This ensures brand continuity for the platform, and simplifies the transfer process.
• Adds levels of unpredictability:
The addition of NFTs allows for a more unpredictable gameplay, as opposed to what has become the standard when gambling with fungible currency. People are more likely sit up or crumble when they have valuable, customizable personal items at stake. It creates an enhanced gaming experience for those who enjoy gambling on the edge.
• True ownership:
You have purchased a stake in the token, even though the creator or author retains the rights to copyright and licensing. If you read between lines, it’s clear that you do not own everything related to the NFT. However, this is a much better situation than before. If you lost your login details or couldn’t access the platform where you won gaming tokens, you had no way to claim them.
• Cross-platform compatibility:
How else can you prove that you own an item if you cannot use it on the platform of your choice? Players were hesitant to move in-game items because they worried about losing their progress or having to start from scratch. With the acceptance of NFTs by more platforms, players are able to access their tokens on any platform. This allows for greater interoperability. The Metaverse is being adopted across all industries and it makes it easier to interact, use, and move your NFTs.
• It paves the way for collaborations
The introduction of NFTs in the gambling industry has led to some of the most unexpected and interesting collaborations. It increases exposure for major stakeholders and excitement for players. You can create custom dice that feature insignias or skins from your favorite video game or movie.
• Anonymity and security
NFTs are built using the same blockchain technology that cryptocurrency users have come to trust. Since NFTs can be staked, players do not need to attach any bank or card details to their preferred gambling platform. This information is not required, which results in a relaxed requirement for the Know-Your-Customer (KYC)Players may not be required to provide personal information.
NFts can also be used in other ways
So that’s how NFTs can be used in gambling and why it is becoming preferred by players and operators alike. NFTs are used in other ways than just being wagered. These roles include:
Do you ever have a lucky day when gambling in brick and mortar casinos? Do you have a personal ritual that guarantees you a high percentage of wins? If you play online there is no way to manipulate or program luck.
It turns out there’s such a way, and it can be done with unique NFTs. NFTs, like power-ups in console games, can be used to boost your gameplay, or hexe your opponent, depending on which NFT type is in your stack.
One clever way operators use NFTs to access online casinos is by using them as an entrance pass. It is a great way to keep minors out without asking for their information. It can be used to grant access to VIP sections in casinos or to offer exclusive games for players who possess the NFT.
Reward loyal customers
NFTs are not just for gambling. Players can also use any currency they want and still be rewarded with NFTs. These NFTs are branded by online casino operators and can grant players perks for their loyalty or expertise at playing their favorite games. This is a great way to collect NFTs. How to get free NFTs.
These platforms can use NFTs to commemorate your achievements and wins after you have invested a lot of resources and time on your favorite platform. This can take the form of badges that show you are part of an elite group of players, or virtual avatars that show your rank and expertise to other gamers. You can sell virtual avatars and badges that are rare on the NFT marketplaces. OpenseaBeing one of the most popular.
What is the law saying?
The law surrounding NFTs and cryptocurrency is largely speculative. Moreover, there’s no uniformity across the different regions, making it challenging to determine whether NFT gambling falls under the same category as crypto and fiat gambling.
France is leading the way with regards to defining NFT in relation to gambling. It is expected that other countries will follow suit or adopt similar measures. The French are doing so in the name of a digital law voted through by the Assemblée Nationale on October 18, 2023, called the loi [visant à] sécuriser et réguler l’espace numérique (SREN), which translates as the ‘law [aiming to] secure and regulate the digital space.’
The SREN law creates a distinction between crypto/NFT and gambling. It introduces regulation of monetisable, digital games. This includes NFT-based and blockchain-based games, called JONUM. jeux à objet numérique monétisable. The Jonum Regime, as it is called, or the Sorare law, distinguishes Jonu from games that are currently regulated by the National Gaming Authority (ANJ), France’s gaming regulator, as long as the proceeds from these games remain digital and are not exchanged for fiat currencies. This framework is being implemented in order to protect users without stifling innovation.