Both the global iGaming and forex markets represent big business, generating huge revenues across the globe. On the forex market alone, we see daily trading volumes of $6.6 trillion, with this number having increased from $5.1 trillion in 2014.
The iGaming market is also growing exponentially, alongside the remote betting vertical. This growth is being inspired by crypto gambling sites, which enable you to register with 20bet and similar sites while providing minimal information.
But are there similarities between forex trading and gambling? We’ll explore this in the article below!
Why iGaming and Forex Trading are Similar
There has always been a crossover between investment and gambling, as both practices require the commitment of capital in pursuit of financial returns.
Both entities also carry the inherent risk of loss, even though traders and gamblers can take steps to mitigate specific risks and minimize their exposure in a particular market.
Of course, the balance between risk and reward also varies when investing and gambling, but the same rule applies to different assets, games and sports betting markets. So, there’s more that binds these practices than separates them, even when it comes to mindset.
Ultimately, professional bettors often adopt an investor’s mindset, which enables them to bet strategically, manage their bankroll effectively and identify key risks to their banking return.
This affords them the best possible chance of success when betting, while the same mindset will encourage them to seek out the best possible games and opportunities.
What Separates Online Gambling and Trading
Forex trading is a particularly speculative investment vehicle and one that has more in common with iGaming than assets like real estate and corporeal stocks.
However, there are differences between these practices. For example, trading and investing is carried out almost exclusively as a way of making money, whereas online gambling can be done casually and for fun when you wager responsibly.
Then there’s the enduring element of chance. As all investment vehicles and assets (even currencies) are governed by underlying, deterministic laws, there’s clear ways of pre-empting market movements and profiting accordingly.
Conversely, the outcomes in games of chance like roulette and online slots are completely randomized, so there’s no way of identifying sequences in results or predicting the next reel (or wheel) spin.
Instead, gamblers must focus on covering as many potential outcomes as possible while minimizing potential losses, with a view to guaranteeing a nominal profit where this is achievable!
Of course, gamblers can also focus on leveraging games of skill, such as poker. This affords them greater levels of control over outcomes, while the same is true when playing blackjack. Some variations of this card game also unlock RTP rates of above 99%, minimizing your exposure to loss over an extended period of time!
