How to Start a Bitcoin Sportsbook
From using notebooks where bookmakers used to write bettors and their betting amounts to automated bets online, sportsbooks have come a long way. With the integration of innovative technology, sportsbooks are offering bettors more convenient and better ways to wager on sports events. Using cryptocurrency is one of those ways.
Share at:
Table of Contents
If you are planning to enter the gambling market, you can start with a crypto sportsbook. Starting a crypto or a Bitcoin sportsbook involves understanding the market, ensuring legal compliance, developing the technical infrastructure, and focusing on user experience. Read ahead to learn how to start a Bitcoin sportsbook.
Why Choose Bitcoin for Your Sportsbook?
Before diving into why you need to choose Bitcoin for sportsbooks, let’s find out what a Bitcoin sportsbook is.
A Bitcoin sportsbook is an online sports betting platform that allows players to place bets using Bitcoin instead of traditional fiat currencies like USD or EUR. To provide flexibility, some sites also support altcoins like Ethereum or USDT.
In a Bitcoin sportsbook, players can deposit Bitcoin into their account, place bets on sports events, such as football, basketball, or esports, and withdraw winnings in Bitcoin.
There are several reasons and benefits to choose Bitcoin for sportsbook, including
Anonymity
One of the best reasons to invest in a Bitcoin sportsbook is anonymity. There is no need for the players to provide any personal information. They just have to provide an email address and a cryptocurrency address that ensures privacy and anonymity.
Faster & Cheaper Transactions
As compared to regular card and bank transactions, crypto or Bitcoin transactions are faster. Players can make and receive deposits in their accounts almost instantly. As there is no middleman, players do not have to pay many transaction fees, keeping more of their winnings to themselves.
Security
Besides anonymity, the use of Bitcoin in sportsbooks also comes with powerful security features. You can provide your players with advanced encryption, two-factor authentication (2FA), and blockchain transparency to keep their data secured and tamper-resistant.
Appeal to the Crypto Community
As the value of Bitcoin and other cryptocurrencies is increasing, more players are inclining towards using them. This growing base of crypto-savvy bettors has led to a strong marketing advantage over fiat-only sportsbooks for the operators.
How Does Bitcoin work for Sportsbook?
A Bitcoin sportsbook lets players bet on sports using Bitcoin instead of traditional money. Players can register on the platform, deposit Bitcoin into a secure wallet, and place bets on live or pre-match events.
Odds are managed automatically at the backend, and winnings are paid out instantly in crypto, without banking delays.
The Bitcoin sportsbook platform integrates with crypto payment processors and secure wallets. Blockchain transactions make deposits and withdrawals fast and transparent.
Moreover, strong encryption, cold storage, and security audits protect player funds and data. These aspects promise a modern, borderless betting experience that’s faster, safer, and more private than fiat sportsbooks.
Does Volatility Matter in a Bitcoin Sportsbook?
Yes. The price of Bitcoin volatility can affect both players and sportsbooks. When players deposit Bitcoin, the value can rise or fall quickly, changing the real-world worth of their bets or winnings. So, as long as they do not convert their winnings to fiat currency, there will be no impact on their winnings due to fluctuations.
For operators, sudden swings can impact profit margins if payouts are held in crypto instead of being converted to stablecoins or fiat. Therefore, operators can either adjust the betting limits or go for offering bonuses in stablecoins to keep the players motivated to play.
How to Start a Bitcoin Sportsbook: Step-By-Step Process
The steps for how to start a Bitcoin sportsbook are simple. Here is a brief overview of the steps.
Research the Market
Market research includes the analysis of the market as well as the competitors. You can start by understanding who you want to target: casual bettors, high-rollers, or crypto enthusiasts. Besides, identify the most popular sports and leagues in your target regions. Study your competitors closely to see what works for them and where gaps exist.
Finding the Best Provider of Sportsbook Business
The sportsbook software provider plays an important role in the success of a business. You can choose between a white-label, turnkey, or bespoke sportsbook software development based on your budget and timeline.
A good provider should offer essential features like
- Secure crypto wallet integration
- Real-time odds management
- Live betting options
- Mobile-friendly design
And more. Do check the reviews and level of technical support before making your final decision.
Getting the License
To operate your Bitcoin sportsbook without any legal issues and fines, you need a license. You can choose a reputable gambling jurisdiction, such as Curacao, Malta, etc. Each has its own application process, fees, and compliance requirements. A valid license helps you build credibility in the market and ensures fair play
Feature Integration and Customization
Once you are done from the legal point of view, you can integrate the necessary features into the platform and make customizations as required. Add all the essential features like
- Live betting
- Real-time odds
- Multi-currency support
- Secure Bitcoin and altcoin payment systems
- KYC tools
- Bonuses and loyalty programs.
Whether your niche is mainstream sports, esports, or regional markets, customize your sportsbook to fit your niche to stand out from the competition.
Launch and Promote
Now that your Bitcoin sportsbook is ready, it is time to launch the business. Besides, a successful launch depends on strong marketing.
Develop an SEO-friendly website, run digital ads, join crypto betting communities, and launch an affiliate program to bring in traffic. Offer attractive welcome bonuses, loyalty rewards, and promotions to entice new players and keep existing ones engaged.
Security and Support
Once your sportsbook is out there, you have to keep checking on its security and improve it. Have all the crucial measures in place, such as SSL encryption, cold storage for crypto funds, and fraud detection tools.
Other than that, focus on offering reliable 24/7 customer support, as it is vital for building trust. A secure, responsive support team helps resolve issues quickly and keeps players loyal to your platform.
Conclusion
As the sportsbook market and Bitcoin are rising, it is a smart choice for operators to invest in a Bitcoin sportsbook. You must ensure that you are aware of the market and which sports and leagues will have the maximum exposure in the future. Besides, to carry out the steps of how to start a Bitcoin sportsbook successfully, you will need assistance from a professional sportsbook provider.
TRUEiGTECH is a renowned provider and developer of Bitcoin and crypto sportsbooks software. We provide ready-made software as well as build bespoke sportsbook software for our clients. Backed by an experience of over 10 years, we have built over 15 sportsbooks for our clients. If you are up for starting your sportsbook operations within minimum time, contact us to hire our team.
Written by: Prish K
Prish K, Head of Marketing at TRUEiGTECH, holds an experience of more than 10 years in the iGaming domain. Starting from strategic planning and digital marketing to team leadership and cross-functional collaboration, he is a master of his domains. For more than a decade, he has shown a promising commitment to fostering result-driven and creative work outputs. Beyond guiding newcomers and established iGaming operators with the right software solutions for their business needs, Prish also wants to share his industry expertise and knowledge through insightful blogs and articles