Crypto casino industry booming - in Germany too?

The international crypto casino industry is growing and growing. According to a recent report by the Financial Times, the industry is said to have generated over 80 billion US dollars in gross gaming revenue worldwide last year alone. But what is the reason for the extreme increase compared to previous years?

Almost exactly a year ago, we at GambleJoe asked ourselves whether it was realistic to be able to deposit with Bitcoin in a German online casino in the near future. The result: In the foreseeable future, it will not be possible or permitted to use cryptocurrencies for deposits or withdrawals in licensed online casinos in Germany. The German State Treaty on Gambling (GlüStV) clearly prohibits cryptocurrencies such as Bitcoin or Ethereum as a means of payment. Nevertheless, crypto payments have enjoyed enormous popularity, particularly in online casinos.

Crypto casino industry reached over 80 billion US dollars in gross gaming revenue in 2023

As the Financial Times reported a few weeks ago, the international crypto casino industry is expected to have generated over USD 81.4 billion in gross gaming revenue (GGR) in 2023 alone. Compared to the previous year 2022, this represents an impressive five-fold increase.

The popularity of crypto payments is primarily due to the fact that payments of this type can be processed anonymously to the greatest possible extent. Cryptocurrencies such as Bitcoin, Ethereum, Dogecoin and Litecoin are therefore bet on with above-average frequency, especially in the unregulated gambling market. Players can process payments quickly and easily without having to disclose their personal data such as name, address or bank details.

Many users use VPNs to access the mostly unregulated gambling services. In many countries, crypto gambling sites are generally blocked. In addition to the USA, this also includes the UK and China. The numerous crypto casinos are now even competing with well-known industry giants. Crypto industry leader Stake.com alone achieved a gross turnover of 4.7 billion US dollars last year - 80% more than in the previous year.

Just last fall, we at GambleJoe reported that crypto use in casinos in Singapore is being significantly restricted.

How high is the turnover in the traditional online gambling market?

It is particularly interesting that the crypto casino industry is likely to have "overtaken" the traditional online gaming market in terms of turnover for the first time in 2023. While the crypto casino industry had a global turnover of USD 81.4 billion in 2023, the traditional online gaming sector was only estimated at USD 69.12 billion. Even the estimate for 2024, at USD 76.79 billion, was still below the gross gaming revenue of the crypto casino industry in 2023.

How widespread are cryptocurrencies in Germany?

According to Statista, around 13% of the German population aged between 18 and 64 currently use or own cryptocurrencies. Just two years ago, this figure was only 9%. The trend therefore shows that the acceptance of cryptocurrencies among the population is increasing - but slowly. In comparison: in Brazil, around 27% of the population already used or owned cryptocurrencies in 2023. In India and South Africa, it was 23% each, and in the USA 17%.

Source of the image: https://pixabay.com/de/photos/handel-block-kette-kryptowährung-6531134/