Softswiss: BTC’s share of crypto gambling drops 9.4pc in Q1

Softswiss has published its latest quarterly overview of the crypto gambling market, revealing a decline in share for BTC as the currency's value rises

Use of Bitcoin (BTC) for gambling dropped by 9.4 percentage points in the first quarter of 2024, according to Softswiss.

In its latest quarterly State of Crypto report, the crypto gambling platform supplier attributed the marked decrease to the bolstering BTC exchange rate and, consequently, players exercising more caution.

In contrast, Ethereum and Litecoin showed growth of 4 and 3.8 percentage points, respectively, over the same period. Dogecoin rose to fourth place in the ranking, above Tether.

“As the Bitcoin rate is expected to strengthen after the Bitcoin halving, the average crypto bet and projected gains may see a notable impact,” said Softswiss chief operating officer Vitali Matsukevich.

Softswiss' first quarter analysis found that the crypto bet sum grew by 2.4% compared to the previous quarter, however the year-on-year analysis demonstrated a 20.8% increase. The crypto bet count remained unchanged over the quarter but increased by 21.3% year-on-year.

“The lack of a substantial increase in the number of crypto bets during Q1’24 can be partly attributed to the significant rise of the Bitcoin exchange rate during this period, leading players to be more cautious with their crypto bets. This trend mirrors the situation in the first quarter of the previous year when the Bitcoin exchange rate surged following a decline at the end of 2022,” Matsukevich added.

While growth was slow over the quarter, the average crypto bet increased to €1.71 from €1.66. Softswiss said the growth correlated with a strengthening of the BTC rate during the first quarter of 2024.  

Igaming market overview

By contrast, Softswiss found the average fiat bet remained steady at around €0.81 in the first quarter of 2024, and the last quarter of 2023. The average total bet has stayed constant since the second half of the previous year and is equal to €0.93.

Softswiss highlighted that the average crypto bet is double that of fiat, which it said indicates that digital currencies are preferred by higher-income players. 

Fiat bets were observed to be undergoing more substantial growth than crypto bets. In the first quarter of 2024, the fiat bet sum increased by 6.9% compared to the fourth quarter of 2023, while the crypto bet sum rose by just 2.4%. 

The growth of fiat bets led to a slight decrease in the share of crypto. In the first quarter of 2024, the crypto share decreased by 0.8 percentage points to 24.4%, compared to previous quarter.

The total bet sum in igaming grew by 5.8% over the same period. Year-on-year that equated to a 47.2% boost. 

Simultaneously, Softswiss reported that the total bet count, both fiat and crypto, saw a slightly larger gain in the first quarter of 2024 compared to the previous quarter, surpassing 6.1%. Year-on -year there was a 57.2% increase.

Softswiss’ analysis of the crypto betting market, which has been quarterly since 2022, is drawn from the activity of players on 220 brands using the supplier’s platform, which saw a rise of 12% compared to the fourth quarter of 2023.

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Written by Hannah

Hannah is editor of CryptoGamblingNews.com and has almost 15 years experience in journalism, including reporting on law, TV, gambling, crypto and alternative finance. She is particularly interested in the future of money, the transition of gambling from 'vice' industry to mainstream entertainment and the application of blockchain technology to wider society.

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