The online casino industry is set to grow by 10% annually through 2030. Here are the technologies that are making this impressive expansion possible.
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The online casino industry has grown from a minor form of entertainment in the 1990s to a rapidly growing $100 billion industry with annual growth projections in the double digits, in line with other forms of entertainment that have shifted from the physical to online realm.
Casinos have expanded to all corners of the globe as they attract a new generation of gamers in both the developed and developing world.
Understanding the Evergreen appeal of the casino industry, and the factors that have contributed to its explosive growth is essential for both investors and players themselves. This article unpacks some of the main factors that are driving growth in the sector in the age of rapidly increasing internet access around the world.
Online casinos ride a wave of internet expansion
One of the fundamental reasons for the expansion of online casinos is the massive growth of the internet over the past decades. Over 5 billion people currently have access to the internet worldwide, against 4.5 billion in 2020 and 1.9 billion in 2010.
With an expansion of over 250% over less than 15 years, the internet has spawned a plethora of services and online transactions that simply weren’t possible less than a generation ago.
- The online casino industry is a perfect example of internet driven growth, with an estimated current market valuation of $100 billion.
- This market is expected to grow at an annual rate of over 10% through 2030, with the potential to almost double in size by 2030.
Emerging markets are increasingly going online and are becoming a major factor in the future growth of the industry as players from Africa, Asia Pacific, and South America explore the vast array of casino offerings available on the internet. The demographics of these regions, which are in stark contrast to those of mature economies, bode well for the market’s future growth prospects.
Mobile devices let players bet on the go
As players embrace online casinos, they’re increasingly choosing to place their bets and enjoy the excitement of slots and live dealer card games on their mobile devices with the prospect of winning progressive jackpots. These games are interlinked across sites, allowing the top prize pool to rapidly escalate into multi-million-dollar territory from tiny wagers made by countless players, contributing to the wider prize pool.
Nowadays, traditional casino games like slots and table card games are all transitioning to mobile-friendly formats compatible with touch displays. This means thrill-seekers can now chase seven-figure jackpots on their phones.
In terms of convenience, mobile casino games offer portability, as well as full integration with a variety of payment methods, including credit card, virtual, money, and cryptocurrencies which can all be transacted easily using the same device.
Thanks to this, casino games are joining the ranks of popular mobile games like fortnight and minecraft as players discover the excitement of betting on the go.
Players can also enjoy their favorite games during lunch breaks at work or when traveling, in a discrete manner that may not be possible with large screen devices like laptops. This additional layer of privacy makes mobile devices the first choice for today's casino players.
Blockchain and crypto expand payment and cashout options
As online casinos become increasingly popular and players discover the convenience of placing bets on mobile devices, blockchain and cryptocurrency are making it even easier to fund online casino accounts and receive payouts quickly with competitive processing fees.
A variety of online casinos already accept Bitcoin, Ethereum, and other crypto coins as payment. This functionality makes them increasingly popular with crypto investors who currently number over 400 million worldwide.
Blockchain technology, including smart contracts, is being rapidly adopted by crypto casinos in order to process payouts quickly and efficiently.
This method offers a distinct advantage over traditional credit card and bank transfer payments which tend to take longer and incur additional fees.
As cryptocurrencies recover from their recent dip and attract even more fans around the world, the ability to use crypto trading profits at online casinos will become a major deciding factor for players.
Analysts expect more online gaming providers to accept crypto in the near future as alternative currencies become more widely used in the economy as a whole.
Conclusion
Online casinos have proliferated hugely, along with the expansion of the internet, to every part of the world. With an expected compound growth rate of 10% annually over the next decade, the number of casinos available to online users both on traditional and mobile devices is expected to keep growing - especially as players from the developing world discover the excitement of online betting.
Mobile devices, which offer seamless integration with a variety of payment methods and a truly astounding range of gaming options, appear to be the future of the online casino industry.
With cryptocurrencies being excepted by major online casinos, and Blockchain being integrated into the payout settlement process, technology continues to play a key role in the fast-growing online casino industry.
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