NFTs are all the rage, with the rise of Metaverse and the birth of “new internet”. Do they have a future in online casinos? Let’s discuss.
What Are NFTs?
In the web of things, a non-fungible token (NFT) is a unit of data that is unique and non-transferable. For example, photographs, videos, and audio files can be associated with NFTs. With NFTs, public certificates of ownership and authenticity are issued through a digital ledger, but the digital files themselves can be shared and copied without restriction. In contrast to blockchain cryptocurrencies such as Bitcoin, NFTs lack interchangeability (fungibility).
Due to the energy cost, carbon footprint, and frequent use of NFTs in art scams, NFTs have drawn criticism. Additionally, establishing ownership proof in an often unregulated market that is extralegal is criticized.
The Perspective of Online Casinos Moving to Metaverse
Consider playing an online poker event where you can see your opponents’ facial expressions and body language, even down to the chips they have and their chips in hand.
You can tune in as if you were in the crowd of a sporting event, see the horses, hear the atmosphere surrounding you, place real bets at real bookmakers with real money and receive real money back when you win.
Imagine yourself in an online casino where you can see the neon lights, hear the machines, and even see other players playing games. Indeed, you can even play slot games, blackjack, video poker, and similar games as if you were in Las Vegas.
Very shortly, imagine playing online games using cryptocurrency, in which you can not only play against the casino, but you also play against other players along with them.
Online casinos and sports betting sites can operate in the Metaverse only if they can develop a product that meets legal and imaginative requirements. For customers, that is a very exciting prospect.
How NFTs Can Be Used in Online Gambling
As you know, NFTs can be used in online casinos in several ways. However, we need to clear up some misconceptions first. Online gambling cannot be paid with NFTs. If you’d like to get started, you can go with more traditional methods like VISA, PayPal, and Skrill, or even choose cryptocurrencies like Bitcoin and Ethereum. NFTs in the online gambling market has a lot of creative uses. And while some might find this discouraging, others will probably be delighted to learn about them.
The designs on most NFTs are fun and catch the eye. The great thing about them is that they aren’t just pretty to look at. Utility NFTs tend to dominate in online casinos. It is evident from the name that players can benefit from this specific non-fungible token.
Online casinos first use NFTs as VIP tickets, which is the most popular! At specific online casinos, you might get perks that are exclusive to your NFT, depending on its rarity. If you happen to own one of these tokens, you have plenty to look forward to, from bonuses to free spins to cashback. Often, these NFTs are released directly by casinos or are part of a larger network of casinos. Rollbot NFTs made by Rollbit and Sloties are great examples of this!
Those who hold NFT tokens can also benefit from their tokens by owning some of the house edges in online casinos. NFTs such as Sloties allow owners to stake their tokens and earn rewards from their players when they try to win them! Slot games give players a chance to win NFT rewards one end of the spectrum. Players receive a percentage of all bets they place on the other. At the start of the NFT, a base price is calculated so that if your NFT is won, you receive a buyout.
NFTs are used in a few specific ways in online casinos, but that doesn’t mean there aren’t others. In addition to NFT slots and NFT loot boxes, you may even run into classic table games with NFTs as prizes from time to time.
How Ethereum’s Slotie NFT Generates Real Money From Gambling
The NFT hopes to disrupt the online gambling market using the Ethereum blockchain (CRYPTO: ETH). Elia Software released the Slotie NFT on Tuesday, which could be the first NFT to earn real money through gambling.
Due to the continued popularity of NFTs and the development of cryptocurrencies and blockchain technology, NFT projects continue to become more innovative. Our goal here isn’t just to create a cool piece of art but instead to invest for the long run here.
On Tuesday, 10,000 new NFTs were minted under the name Slotie. In the early sale, sloties cost 0.08 Ethereum, but in the public sale, they cost 0.16 Ethereum, which amounts to $6.9 million.
One hundred fifty casinos worldwide accept NFTs and “Exclusive Holders Rewards.” Each partner will receive a 12% commission from a Slotie-themed game for crypto casinos. Slotie holders will receive 80%. At participating casinos, Slotie NFT holders will also receive a 20% Rakeback benefit, which means they will get 20% of the casino’s take back.
Tokens are at the heart of this system’s economics, as they are used to transfer tokens to the owners of the NFT on the blockchain.
The Story of Rollbots and Rollbits
In the NFT world, innovation is happening at lightning speed, and another excellent NFT project has created some incredible utilities and art. The Rollbit platform, known for its cryptocurrency offerings, recently debuted the Rollbots collection of 10K NFTs.
As well as functioning as a VIP membership card, every Rollbot is an art piece inspired by Pixar that exists on the Ethereum blockchain. In the impressive NFT whitepaper, the benefits of membership are clearly outlined.
Rollbit offers a wide range of online gaming options, including slot machines, table games, game shows, and exclusive games that Rollbit itself has developed.
NFT projects will typically outline an initial blueprint of the road map they intend to follow after launching the NFT collection. After that, their product is essentially built using the funding received from NFTs sales to build it.
The NFTs of Rollbots did it the other way around. As of February 2020, the Rollbit casino is fully operational, and Rollbots NFT provides immediate utility once it is launched. One of the most exciting features is that it allows holders to create their RollBox, giving players a chance to win high-value NFTs.
Using the Rollbots NFTs, one can set up a Rollbox similar to a slot machine. Easily transfer NFTs from the holding account to the Rollbox and create a Rollbox. They can then compete for NFTs on the Rollboxes and win them. A considerable portion of the wagered amount is paid as profit to the creator of Rollbox.
Playing with the Rollbox is fun because one can set its price and winning probabilities. To make your Rollboxes more lucrative, you can also add cash prizes (paid by Rollbit). It could be an interesting puzzle to solve for math lovers with a high-risk appetite.
Every Rollbots holder can take advantage of the following utilities right from the start:
- Earn a passive income from NFTs by creating custom rollboxes
- Use of the NFT marketplace (described in the following section) and a portfolio of new Rollbot-related games (to be announced)
- Rollbit offers a rewards program designed to reward customers for their casino and trading accounts
- Get tickets for rolling into Rollbot Lottery, where Rollbot owners earn tickets for the weekly draw (to be announced)
How Sports Industry is Using NFTs
There is a lot of talk about NFT on the web. How does it work? NFTO is an abbreviation for Non-Fungible Token, which describes a digital object that is irreplaceable. It doesn’t make much sense that way, so let’s give an example: imagine you are a big fan of football stickers, so you collect stickers for your football album. There are a thousand variations of the Manchester United logo, and you can easily replace the one you own with another, identical version.
Consequently, this sticker would be fungible, meaning it could be replaced. This Lewandowski sticker is irreplaceable since there is only one, and if you swap it with another sticker, you will receive something completely different, making it non-fungible. The sticker in your possession has a certificate proving it is unique and only exists once.
NFTs are certificates that prove the object you own is yours, that it only exists once as an original, and that all other copies are copies. Reuters explains how a decentralized directory called blockchain works to store that kind of information in this article. According to Reuters, “one of the most attractive things about NFT is its transparency.”. Saorabh Sharma, Director of Global Business Development at SPORTFIVE, points out that blockchain technology makes it very easy to verify ownership. In addition to his extensive knowledge about NFTs and Blockchain, he has worked on the topic for many years.
The NFT phenomenon has also penetrated the sports world – but you don’t have to be a billionaire to take part. NBA Top Shot, for example, has been a huge success. The American basketball league and blockchain game developer Dapper Labs have devised a way to buy highlights from NBA matches through a trading card game.
The Top Shot Moments are available on either the online marketplace where users can sell their Top Shot Moments or in packs resembling the old trading card packs from childhood. Similar to collecting football stickers, some clips are extremely rare and therefore extremely desirable. For example, the most expensive video clip sold to date is a LeBron James moment from the 2020 finals. There are almost 1.1 million registered users, and NBA Top Shots has generated 700 million US dollars in sales in less than a year, according to Dapper Labs CEO Roham Gharegozlou.
Another case is Sorare. Using Ethereum, you can buy and sell NFTs, which are players’ cards in this blockchain-based football manager game. It makes it more interesting and fun for investors to invest in NFT since the classic trading cards have been digitized and connected to a game.
In addition, users can win prizes and progress through the levels. According to Sharma, getting better cards and winning money becomes much more likely when you spend more. Borussia Dortmund, Bayern Munich, and Real Madrid are among the 198 licensed clubs currently participating. In this game, players fall into four categories: Common, Limited (with 1000 of each player per season), Rare (100 per season), Super Rare (10 per season), and Unique, where only special players are available, such as Erling Haaland or Robert Lewandowski. You may also resell your cards at Sorare for very high prices: in March 2021, Cristiano Ronaldo’s “Unique” card sold for just under 265,275 US dollars.
A growing number of clubs have jumped on board the NFT bandwagon. For example, a club in Switzerland, such as Young Boys Bern, sold digital autograph cards as NFT through its merch store for the first time. The merch can be bought as classic merch without using cryptocurrency. In addition, some of the cards can be collected for rewards, such as match tickets for those who have collected certain sets or even all of them.
NFT has also been the subject of deals brokered by SportFIVE. NFL running back Christian McCaffrey and NFTSTAR, the new NFT platform, have reached an exclusive licensing agreement through the agency. In collaboration with NFTSTAR, McCaffrey will create exclusive collections available to fans.
The long-term impact of NFTs on the online gambling industry is still too early to tell. NFTs are divided among players, so it’s difficult to predict if they’ll have a bright future in the online casino industry.
The potential of these tokens is almost limitless, and that much is certain. Our heads can spin with countless examples of using these cards on sports betting sites, as loyalty rewards for high rollers, as game assets, and more! Even though some of these may seem too far away to be considered, we wouldn’t be surprised to see some already in development, considering how rapidly the NFT craze is developing.
SiGMA/AIBC Dubai in March 2022 will consist of panels discussing topics related to NFTs and future of online casinos.