As online gambling continues to grow across global markets, operators are adapting to major shifts in player behaviour, technology, and payment infrastructure. The rapid adoption of cryptocurrencies, the expansion of esports betting, and the increasing use of AI tools are reshaping how platforms engage users and manage risk.
Esports betting is projected to account for over 25 percent of the total online betting market by 2027, according to data from Statista, driven by younger audiences and always-on digital engagement. At the same time, blockchain analytics firm Chainalysis reports that crypto gambling transactions exceeded $25 billion globally in 2024, with decentralised wallets and stablecoins playing a central role.
These shifts are also prompting regulators to respond, with national-level crypto oversight increasingly influenced by major economies like the United States. At the same time, operators are navigating new challenges around user segmentation, volatility management, and compliance in both fiat and digital asset ecosystems.
Conversion from esports to casino
Christoffer Andersson, Chief Operating Officer at 500 Casino, speaks exclusively with SiGMA News during the SiGMA Euro-Med 2025 summit in Malta. Andersson talks about how digital assets, shifting player habits, and evolving regulations are changing the way online betting works. 500 Casino operates across both fiat and crypto gambling markets.
Converting esports bettors to traditional casino games presents unique challenges due to platform limitations. “It’s tough to tell exactly how much from esports betting because we are using one platform that is only for sports betting,” Andersson explained. However, the overlap between esports and casino audiences is noteworthy.
The conversion pattern suggests complementary usage rather than complete migration: “The average Joe of our casino that is playing esports is also playing casino, so I wouldn’t say that they are being completely moved over to casino, but they are doing both products,” he said.
This dual-product engagement aligns with broader industry trends, as the several reports global esports betting market is projected to reach $2.8 billion in 2025, representing approximately 15 percent of the total betting market.
Crypto-native vs traditional fiat users
The behavioural differences between crypto-native bettors and traditional fiat users are substantial. Andersson remarked, “Being in the fiat space before, you have one way of thinking about customers, they want to use this game provider, this is their deposit thresholds and so on, but when it comes to crypto, they want everything fast-paced”.
Crypto users operate without traditional banking restrictions, creating a broader spectrum of betting behaviours. “You can get a transaction for 10 cents one day from one player, and you can get it from 1 million in one go from one player,” Andersson observed. This volatility extends to game preferences, where “they want volatility, they want everything to happen fast, they want the bonus buys, and they want money fast”.
The crypto gambling industry has experienced explosive growth, expanding from $50 million in 2019 to $250 million in 2024, with Bitcoin accounting for approximately 73 percent of all crypto gambling transactions.
Cryptocurrency volatility management
Casino operators face challenges managing cryptocurrency volatility while maintaining stable operations. “We keep it in some stablecoins and in some regular crypto that are in stablecoins,” Andersson confirmed, though he declined to reveal specific allocation percentages for competitive reasons. This hedging strategy reflects broader industry practices as operators navigate the inherent volatility of cryptocurrency markets while maintaining operational stability and revenue predictability.
Andersson also cited how political changes in the United States impact global cryptocurrency gambling regulations. “When the Democrats were in power, they were talking about regulating a lot of things regarding crypto. Now, since they have changed and the Democrats are in, they are becoming much more open-minded with crypto”.
The ripple effect extends internationally: “As soon as the US starts to regulate crypto, the rest of Europe wants to do it. And as soon as they want to ease up, the rest of Europe will do that as well”. This interconnected regulatory landscape creates both opportunities and challenges for operators across different jurisdictions.
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Cryptocurrency regulation challenges
Future cryptocurrency regulation faces fundamental challenges due to the decentralised nature of digital assets. “Since crypto is based on freedom, the whole concept of crypto is that it’s non-custodial. No one is going to tell you that you cannot send crypto to another address”.
This inherent characteristic creates regulatory complexity: “It will go completely against crypto to regulate it”. While national-level regulation through exchanges remains possible, the existence of non-custodial wallets and alternative tools provides users with options to circumvent restrictive measures.
AI implementation in responsible gambling
Despite AI’s potential in gaming operations, Andersson expressed caution regarding its application in responsible gambling initiatives. “My personal view is that I would refrain from working with, let’s say, responsible gambling with an AI”.
The concerns centre on AI’s limitations in emotional intelligence: “An AI won’t be able to really pick up the tone of a player. They won’t possibly be able to judge if this player is either suicidal, or he’s just angry because he lost money and doesn’t even have a gambling problem”. This perspective emphasises the continued importance of human oversight in sensitive player interactions.
Future of esports betting
The esports betting sector shows remarkable growth potential. “We actually have higher revenues on esports than on traditional sports. Mainly because we have the brand identity of esports”.
Geographic expansion drives much of this growth: “Before it used to be, for example, Europe. Some in the US, maybe some in South Korea. Now you see, for example, Mongolia is one of the bigger esports”. Emerging markets, including Saudi Arabia, the Middle East, and India, represent opportunities, with “esports projected to be around 25% of the betting market within just a few years”.
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