One of the worldâ€™s largest poker networks has said its players currently prefer bitcoin to fiat money for payouts.
Winning Poker Network, which operates a number of online poker sites, said has been forced to buy millions in bitcoin a day to meet the demands of exiting players.
As reported by Bloomberg on Thursday, 90â€“95% of Winning Pokerâ€™s payouts are in bitcoin because of the recent price rises, said the companyâ€™s CEO, Phil Nagy. â€œWe are constantly having to go out and buy bitcoin, lots. Lots. More than weâ€™ve even had to before.â€Â
According to Nagy, the business is clocking over 60% of its transaction volume in bitcoin, roughly $100 million a month. Geographically, the majority of the bitcoin demand derives from the U.S., despite online poker being illegal in most states.
So far this year, bitcoin has risen 155%, buoyed by bullish cryptocurrency fundamentals, inflation of fiat currencies and the global coronavirus pandemic.
Nagy noted that his company doesnâ€™t hold bitcoin instead preferring to convert to fiat without delay due to the digital assetâ€™s volatility. However, he also said that when bitcoin is down, players will pay with the cryptocurrency as a way to liquidate quickly, meaning his company has been â€œkind of stuck with it.â€