Cryptocurrency market growth is slower than that of the iGaming sector.

October 26, 2023 World Blockchain iGaming & Gambling

SOFTSWISS, a well-established international provider of software and content for online casinos and sportsbooks, has published the findings of its research, revealing that the cryptocurrency sector has displayed slower growth compared to the entire iGaming industry in the first nine months of 2023.

SOFTSWISS conducted this analysis based on data gathered from over 530 online casino and sportsbook brands currently utilizing the company’s online gaming platform. Additionally, the study considered the in-game currency conversion options, as SOFTSWISS clients can engage in fiat-only games even when holding cryptocurrencies in their account balances.

The global iGaming market has consistently experienced growth in the first three quarters of 2023. The total amount of money wagered increased by 36.6 percent compared to the same period in 2022, and the number of bets also rose by 50 percent year-on-year.

However, cryptocurrency bets in the first nine months of 2023 only saw an 18.7 percent increase compared to the previous year. Nevertheless, the number of cryptocurrency bets surged by 66.4 percent compared to 2022. The share of cryptocurrency bets in the total betting volume decreased by 4.3 percent, ending at 28.5 percent.

SOFTSWISS’ analysis also highlighted that the sums of cryptocurrency bets exhibited incremental growth from quarter to quarter since the beginning of 2022, but their share in the total betting volume declined, primarily due to more substantial increases in fiat bets.

Andrey Starovoitov, Co-Chief Executive Officer at SOFTSWISS, pointed out that cryptocurrencies are displaying signs of weakness in other areas, such as fundraising, “where the third quarter showed its worst results since the end of 2020.” However, Starovoitov concluded that “the position of cryptocurrencies in iGaming could be evaluated as relatively stable at the moment.”

SOFTSWISS also disclosed the most commonly used digital currencies in the iGaming industry during the first three quarters of 2023. The top five remained unchanged since the beginning of 2022, with Bitcoin dominating the market with a 74.9 percent share. Ethereum captured 8.9 percent, Litecoin followed with 6 percent, Tether held 4.6 percent, and Dogecoin rounded out the top five with 3 percent.

Bitcoin managed to increase its share by 3.9 percent compared to the first nine months of 2022, whereas Ethereum saw a 6.3 percent decrease in its market share during the first three quarters of 2023.