Cryptocurrencies and sports seem to have been made for one another. Cryptocurrencies and blockchain technology have the potential to provide sports with new tools and methods to improve the overall experience.
Basketball fans can look forward to cryptocurrencies playing a prominent role in the NCAA tournament this year and beyond. In short, cryptos are here to stay in the sports world as a whole, not just March Madness.
Cryptocurrencies’ Impact on March Madness
The following list shows how cryptocurrencies have impacted the March Madness industry thus far.
Payment Methods
Cryptocurrency can provide an alternative payment method for sports bettors, particularly those who are looking for more anonymity, security, and speed in their transactions. As such, sportsbooks that accept crypto may be able to attract more customers who prefer this payment method.
Prize Pools
Cryptocurrency has the potential to increase the size of prize pools for March Madness brackets and other sports betting contests.
With cryptocurrency, it’s possible to facilitate larger transactions and payouts without intermediaries or banks, which could allow sportsbooks to offer larger prizes.
Sponsorship and Advertising
As the use of cryptocurrency becomes more mainstream, there may be opportunities for crypto companies to sponsor or advertise during March Madness and other sporting events. This could bring in additional revenue for the March Madness industry.
Data Analysis
Cryptocurrency and blockchain technologies have the potential to provide new ways to analyze and understand sports betting data.
This could help March Madness analysts and bettors make better predictions and more informed decisions about their bets.
Examples of Cryptocurrencies in the March Madness Industry
The following examples highlight how cryptocurrencies have impacted the March Madness industry:
Bracket Contests
Some sportsbooks and March Madness pools now accept cryptocurrency as a payment method for entry fees and payouts.
For example, the BitPay-sponsored NCAA March Madness Bracket Challenge allowed participants to pay their entry fee with Bitcoin or Bitcoin Cash in 2019.
Sponsorship and Advertising
In 2021, Crypto.com became the official cryptocurrency and NFT sponsor of the 2021 NCAA Men’s Basketball Tournament.
This partnership allowed Crypto.com to showcase its brand and products to a wide audience during the tournament.
Non-Fungible Tokens
Non-fungible tokens (NFTs) have become increasingly popular in the sports world, and there are several examples of March Madness-related NFTs.
For example, the NBA’s Top Shot platform released a set of NFTs featuring iconic March Madness moments in 2021.
Online Betting
Some sportsbooks now accept cryptocurrency as a payment method for March Madness betting. For example, the online sportsbook BetUS accepts Bitcoin, Litecoin, and Ethereum as payment methods.
Adoption Barriers to Cryptocurrencies
While cryptocurrencies offer a unique opportunity to harness cutting-edge technology in the sports world, there are three key adoption barriers cryptocurrencies must overcome in order for the March Madness industry to truly take advantage of this emerging technology:
- Cryptocurrencies generally face a scalability issue. In particular, widespread adoption may prove challenging, particularly with users who are unfamiliar with how cryptocurrencies work.
- Usability issues may prevent the sports industry from fully taking advantage of cryptocurrencies and blockchain technology. Thus, sports and tech experts must work together to determine the best ways to make cryptocurrencies useful throughout the sports world.
- Security remains the biggest concern among users. In addition to anonymity, users want to get increased security when conducting transactions, ensuring their payment and personal information is secure from cybercriminals such as identity thieves.
The Future of Crypto and March Madness
The overall adoption of cryptocurrencies is expected to grow. While there may be more regulatory oversight into the uses and applications of cryptocurrencies, their adoption will continue to grow throughout the March Madness industry and sports in general.
Additionally, increased competition among cryptocurrencies will lead to new projects emerging while existing ones continue to evolve. Only time will tell how cryptocurrencies stand to revolutionize the sports world and life in general.