The year 2024 marked a remarkable milestone for the crypto casino industry, with revenues soaring to $81.4 billion - a fivefold jump from the previous year.
This explosive growth, as reported by the Financial Times, is largely attributed to the lack of regulatory oversight on offshore platforms and widespread use of VPNs, which allow players to bypass regional restrictions. Many of these platforms are licensed in jurisdictions like Curaçao and Malta, enabling them to compete directly with established names in traditional gambling.
Key Players Driving the Boom
At the forefront of this rise is Stake (get $7 Free until the end of May 2025!), a cryptocurrency-based betting platform that reported $4.7 billion in gross gaming revenue (GGR) for 2024 - an 80% jump since 2022. With figures that rival major industry players such as Entain ($5 billion) and Flutter ($14 billion), Stake has become a formidable presence in the global gambling space. The platform combines classic casino games such as roulette and blackjack with a wide range of sports betting, all powered by crypto transactions. Even after suffering a $41 million cyberattack in 2023, Stake has continued to expand its global footprint, drawing millions of users.
Other notable platforms such as Roobet have also seen rapid growth. These casinos offer diverse gaming experiences - from slots to live dealer games - cementing their place in the fast-evolving online gambling landscape.
Navigating a Grey Regulatory Landscape
Despite its growth, the crypto casino sector operates in a murky regulatory space. Many countries, including the U.S., U.K., and China, restrict or outright ban online gambling. Yet users continue to access these platforms using VPNs, mirrored websites, or redirected domains. According to the Financial Times, it has become alarmingly easy for users to evade geo-restrictions, aided by step-by-step guides readily available online.
The appeal of these platforms lies in their flexibility: fewer betting limits, looser regulations, and higher potential payouts than their licensed counterparts. In countries like China, where online gambling is entirely prohibited, crypto casinos have become a go-to for players seeking alternatives outside state control.
Aggressive Marketing and Influencer Partnerships
Crypto casinos have leveraged aggressive digital marketing and strategic partnerships with celebrities and influencers to attract users. Platforms like Stake have secured sponsorship deals with high-profile sports teams such as Everton FC, while Roobet and Rollbit have collaborated with clubs like Chelsea and Leicester City.
However, this marketing approach has drawn scrutiny. Promoting unregulated gambling through social media platforms like Instagram and Facebook has sparked concerns among regulatory bodies. The UK Gambling Commission, for instance, has initiated investigations into these practices, although enforcement proves difficult due to the global and decentralized nature of the internet.
Risks and Ethical Concerns
While these platforms offer enticing incentives, they also pose significant risks. The absence of thorough identity verification processes and the volatility of cryptocurrencies raise red flags, particularly for underage users and individuals struggling with gambling addiction. Advocacy groups warn that these sites often attract vulnerable players who are barred from accessing regulated alternatives.
Adding to the concern is the spread of misleading information, particularly from influencers who claim that crypto casinos offer "fairer odds" than licensed platforms. Though such claims may attract new users, they rarely reflect the actual risks involved, further clouding the industry's legitimacy.
Source: Financial Times: Crypto casino takings top $80bn as gamblers bypass blocks
Image: Freepik
