Metaverse, Meet Online GamblingPublished December 24, 2022 by Shane
The metaverse has grown tremendously, and some have already made this virtual world their entertainment space for gambling. There are many benefits to combining online gambling and the metaverse together, but there are also some very real constraints.
The metaverse is an enticing online universe where users interact with an abundance of digital worlds and with other players. The metaverse provides a wide range of activities, entertainment and game options. In addition, it offers a virtual reality where players can be anyone and do anything.
Non-Fungible tokens (NFTs) are digital assets designed for players to add real economic value to their virtual reality. Because of these digital assets, players can buy, sell, or gamble on items in the metaverse and convert them to fiat currency, making their virtual assets a reality.
Suddenly, playing a virtual game in the metaverse has the ability to make an impact on your life and fortune in the real world.
Metaverse Gaming meets Online Casinos.
Metaverse gaming and online casinos both allow users to play casino games with their friends and social network without the burdens of physical travel and interactions. However, unlike usual online casinos, the metaverse aims to create a virtual universe that transports players to a casino, where everything around them looks and feels authentic to an in-house casino experience.
Players create avatars that resemble them (or what they wish they looked like) while roaming the virtual world to explore digital representations of casinos using impressive technologies.
Users can explore using VR and play games, including all the favourites like slots, poker, roulette, blackjack and more. In addition, players can go to shows and nightclubs and purchase assets like a car or real estate - including an entire casino.
With the incredible advancements in technology, users can control their avatar's behaviour, similar to their own conduct in the real world. Users can customise their avatars in all areas of looks, personality, ethnicity, style, and the list goes on.
Essentially, avatars are digital representations of users – they physically walk around and engage with others, including making observations of other avatars' mannerisms, contributing to an authentic casino experience, all from the comfort of home.
Let's Talk Legality
We are now dealing with an extensive list of boxes to tick. Online casinos must be licensed with a regulatory body depending on which country, state or province it wishes to operate in. An operator that wants to offer a gaming platform in the metaverse still requires permission under the oversight of that country, state or province's gaming commission.
Since the metaverse only operates using cryptocurrencies, every country has the right to choose whether or not to regulate and legalise cryptos. However, with new cryptos popping up almost every day, certain countries will need to join the modern world and accept the fantastic benefits of this ever-growing online currency.
The other aspect to consider is the live content, streaming and on-demand video catalogues that feature in the metaverse. In addition, some games or activities may allow players to upload media of their own; this means that those providers may be eligible for media regulation.
There is obviously some crucial regulatory and legal uncertainty surrounding metaverse casinos. Questions that arise include: Which regulatory bodies have the authority to regulate and licence metaverse casinos? Do users face the consequences in the real world for the actions of their avatars in metaverse casinos? What about addressing safe playing and gambling addiction? How are players protected from unlawful conduct in metaverse casinos? Can operators be held responsible for that misconduct?
All of these questions will need to be answered before players can truly be safe in the metaverse.
Show Me The Money
The metaverse uses cryptos as a safe and secure way to accept and make payments within the virtual reality platform. Furthermore, using crypto simplifies the metaverse as no KYC process is required, nor is there any verification necessary because this is done by the crypto wallet players choose to use.
When converting FIAT into cryptocurrency, players can then buy, sell, gamble, invest or exchange in a safe, transparent and secure manner that cannot be tracked, securing your virtual assets (NFTs).
Let us look at America as an example of how gambling in the metaverse would be responded to: State gaming regulators would have jurisdiction over gaming activity being offered to their locals in the metaverse. This, along with other regulators, would include the United States Commodity Futures Trading Commission (SEC) and the Financial Crimes Enforcement Network, given the use of cryptocurrency and NFTs.
Each country, state or province has regulations about gambling and to what point it is regulated. Unfortunately, the same applies to cryptos; many countries worldwide have yet to accept and regulate cryptos as financial contributors.
What's the Verdict?
Looking at all the benefits and advancements in technology to provide players with an out-of-this-world experience, we need to remember one crucial thing: the metaverse does not have a stop limit nor a time-out function. As a result, players can literally spend days on end sitting in their virtual casino house, interacting with other avatars, talking about the weather and slowly losing track of the real world.
There is no provider-control or gamblers-assist in this virtual reality, only the user and their self-control. As a result, gambling in the metaverse will increasingly have real-world economic and social consequences for users and the businesses with which they engage. This will undoubtedly result in more regulatory scrutiny and legal disputes.
More providers are jumping on the bandwagon to give players what they want, but they are also responsible for giving players what they need. This contrast could lead to challenging times as regulators try to adapt traditional media legislation and to think in a completely foreign environment.