As crypto casino engagement continues to elevate across Europe, Mike Danshin, 1w Crypto CMO, revealed the key elements that are enabling the sector to thrive, citing a lack of clear regulation for creating significant risk for operators.
Danshin also warned that the snap decision taken by India is a prime example of why iGaming operators have to be able to adjust in challenging regulatory climates.
Can you tell us more about how blockchain-based features can boost the iGaming experience for players?
The iGaming sector encompasses such diverse segments that player experience varies significantly. Tier-3 players prioritise slot loading speeds, while tier-1 crypto users want to influence product development through DAO mechanics. This means even niche blockchain features will find their audience with the right marketing approach.
Regarding mass adoption, there’s significant demand for on-chain in decentralised prediction markets. Smart contracts provide transparency in these products. Full-on-chain casino games or slots do exist in traditional iGaming as well, but based on current market trends, user demand remains relatively low. It’s a feature that is still necessary to be sold properly.
India’s snap decision to prohibit online was massive for the industry. What does it mean for crypto betting across India?
This is another reminder that iGaming markets may shift rapidly, requiring operators to adapt quickly. Beyond the online ban, cryptocurrency taxation also changed for the worse, but the need for the thrill of gambling can’t be replaced. People will seek alternative products like social casinos. The ban has significantly impacted influencers, many of whom are afraid of promoting iGaming now.
Can you tell us some of the key factors that are enabling crypto casinos to grow within European markets?
The key factor is over-regulation in certain European markets and the lack of unified gambling policies across the EU. Crypto casinos have it easier in this environment because there is no necessity to adapt their product to contradictory regulations in countries with populations of three to five million. They can target all of Western Europe at once. Moreover, many of the responsible gaming measures are unreasonable, such as limits on the maximum spin amount.
Why will hybrid crypto casinos play a significant role in the growth of the sector and the growth of crypto betting engagement?
Hybrid crypto casinos, combining both crypto and fiat, allow operators to attract young crypto audiences on one hand, while on the other hand, onboarding traditional web2 players to web3. For crypto users, fiat options provide an additional access route. What surprises me is that even crypto degens, followers of crypto traders, often make their first deposit in fiat before switching to crypto. For web2 players, this means increased spending. It’s no secret that the average bet size in web3 is higher.
How can the utilisation of crypto and cross-border accessibility be used to engage with new markets globally?
Crypto enables access to new markets that were previously unavailable or had poor fiat payment processing. Beyond that, everything depends on the traffic channels you connect to that geos and whether those channels deliver ROI. Success is driven less by the product and payments and more by effective marketing.
What needs to happen for larger operators to further embrace crypto iGaming and casino betting?
Clearer regulation is needed. The absence of it creates reputational risks for larger operators. As this vertical matures, operators don’t yet understand the unit economics of crypto casino features. How does launching a token impact ROI? How do NFTs or loot boxes affect LTV? This data is closely guarded within the industry, but over time, as new products are launched, the impact of these features on unit economics will become as clear and predictable as changing RTP from 96% to 94%.
Can you tell us more about the importance of the SBC Summit Tbilisi in Georgia and what you’re hoping to learn from the event?
I regularly attend SBC Summit Tbilisi; this will be my third conference in a row. I’m particularly excited this year because it’s my first time speaking at SBC. I’ll be on the panel “Cryptocurrency Adoption in iGaming – Balancing Risks & Rewards”.
It’s always a pleasure to connect with colleagues from Georgia and Armenia, as well as international guests. SBC Tbilisi is an excellent conference, and I appreciate being able to skip endless small talks and get straight to business with the right people.
