It’s not just video games that have undergone a major transformation over the years. The evolution of online casinos has been incredibly impressive, and it provides an overwhelming sense of the agility of the industry. Online casino’s evolution stands out in an ever-changing and demanding digital, gaming and entertainment orientated world.
The Tech Evolution
The birth of the internet for public use, or the World Wide Web, in April 1993, led to a tech explosion which launched the traditional, land-based casino into cyberspace.
In 1994, the first online casino was established, offering traditional games such as roulette and slot machines. The graphics were basic and the functionality even more so, yet the market flourished.
As broadband and mobile connectivity expanded, a wider market was opened up, leading to increased popularity. The common use of mobile devices contributed to this success.
A more genuine casino experience was introduced in Live Dealer games in the late 1990s, where games happened in real-time through live streaming. This was made possible when internet speeds increased due in part to fiber optics, and video technology improved.
Other innovations quickly adopted in the online casino space include the incorporation of augmented and virtual realities so that users have more immersive experiences. Blockchain tech allows casino websites to offer transparency and security. AI and machine learning aid in offering tailored and targeted gaming to players.
Advancements in technology, including internet connectivity, software, and devices, have all been leveraged well in the industry.
The Market Evolution
It is no surprise that the market has evolved and grown exponentially if you consider the casino environment before the internet. Playing at a casino involved making time and arranging to go to a venue. Venues were restricted by floor space, limiting the number of games and tables available.
Online casino platforms do not have these limitations, being available 24/7, anywhere in the world, on a handheld device, in the comfort of a player’s home. On offer are a variety of games, tailored and marketed according to personal preference through AI. Participation is not limited to the number of spots available.
In addition to this accessibility, social media coverage, the creation of online casino celebs and digital marketing has broadened market appeal and diversified demographics. The inclusion of added data and payment security, and the legislative frameworks in place, have given many new players the confidence to enter the field.
Therefore, the expected rate of global growth in revenue of the online gambling industry, which includes sports betting and other online gambling operations, is between 7 and 12% for the next decade.
The Payment Evolution
With the advent of the internet in 1993, came the birth of digital payments and ecommerce, and coincidentally, in 1994, the arrival of the EMV card. The chip in EMV cards provides enhanced security and online casino operators were in a prime position to take advantage of this new secure payment method.
Since then, developments in cyber payment methods have included the use of eWallets, digital payment platforms like PayPal, mobile linked payments, bank transfers and prepaid vouchers. More recently, cryptocurrency payments have been accepted st trusted sites like Black Lotus.
Online casino platforms have absorbed many of these methods into their operations, providing their users with diversity and convenience.
Legal iGaming platforms have supported best practices to prevent data breaches and cyber-attacks. Using AI, online gambling operators are assisting banks and fintechs in identifying risk patterns and pseudo identities, to prevent criminal activity.
The Legislative Evolution
The complexity of legislature surrounding online casinos deserves its own book!
The licensing of online gambling was kickstarted in 1994, when Antigua and Barbuda passed the Free Trade and Processing Act. This led directly to the first casino website.
Since then, the industry has had to adapt to many legal threats and challenges.
Different regional legislation dictates certain responsibilities that licensed casinos have when it comes to social responsibility, especially in terms of minors and excluded persons.
Regulatory frameworks are stricter in certain areas, such as the European Union. This impacts data protection, consumer protection, electronic identification, and payment services to name a few. Individual countries in the EU have their own requirements affecting competition laws, advertising, and accessibility requirements.
The U.S. is especially complex due to Federal law and the interpretation of it in different states. There have been several attempts over the years at outright bans of cyber gambling platforms, but these have been successfully thwarted.
Most countries, however, understand that legalizing and regulating casino websites transform it into an open market that can be audited and taxed. As this happens on a global scale, it will create more opportunities for digital casino operators. The iGaming sector has demonstrated that they are able to navigate the intricacies of law effectively.
The Social Evolution
The global casino and gambling industry, which includes licensed online casinos, employed approximately 2 million people in 2023. There are additional employment sub-sectors in the cyberspace not accounted for, in respect to customer support and software development.
This means that digital casino platforms have a positive economic and thus, social impact. This can be for their hosting suppliers, employees, and tech developers, not to mention the tax revenues generated.
As the awareness of gambling addictions has been raised, the casino industry has proven to be supportive. There has been the introduction of various resources, tools, and support groups in an effort to promote responsible behavior.
This has included setting deposit, betting, and time limits, cooling off periods and encouraging players to self-assess or exclude themselves for a time.
Apart from this, the nature of certain games, like poker, are social, and there are associated chatrooms and groups created. In the digital casino setting, human networks are formed, and players are given the sense of belonging to a community.
The Casino Revolution
Over the last 30 years, online casinos have proven to be highly adaptable in the cyber world. The competition in the industry has led to better customer service, innovations in the casino experience and diversity of games on offer. What the future holds remains to be seen, but with so much evolution in a relatively short time, it’s clear that whatever happens, it will be exciting!
