South African company takes bets and pays out in virtual currency.
South Africa based entrepreneur Daniel Schwartzkopff has launched an online gaming platform BetVIP, which accepts bets through bitcoins.
The site claims itself as first licensed Bitcoin-only sportsbook which accepts bets and pays out the winners in virtual currency.
Schwartzkopff says though he does not require any gaming license to operate the site, he has obtained the license to bolster the credibility of the currency.
Schwartzkopff said that BetVIP will allow punters to benefit from the faster transactions and lower costs of Bitcoin exchange.
"Our gaming licence and strict bet acceptance policy demonstrates our commitment to the longevity of the currency," Schwartzkopff added.
"BetVIP is not a PR stunt, it is a long-term business venture."
Punters can make bets for different sporting events including curling and basketball, while Football World Cup is the main focus as the football mania grips the world.
"The main bets we have seen so far are either Brazil to win outright or the country that the user is from to win outright, Schwartzkopff quoted by Bloomberg.
"England, in particular, are popular here. We have seen a lot of sign-ups from the country and the team is also available at long odds."
BetVIP platform is powered by gaming solution provider BetTech. It allows online and mobile users to put bets on teams both pre-match and in-play with a minimum 0.01 bitcoin in odds.
It also offers first time punters, a 100% first deposit bonus as an incentive to players to place their bets for different sporting events.
"We might trade in an anonymous currency but we are providing complete transparency and accountability in order to build trust with our players," he says.
"Given the embryonic status of bitcoin, we understand that it is surrounded by concern and confusion. At BetVIP we are determined to help the growing movement of people that want to normalise the currency and bring it into everyday use. "
Schartzkopff had previously founded FSMS, which is an online platform that allows users to send text messages for free from their cellphones and PCs.