A significant number of Bitcoin enthusiasts choose the relative safety of investment, and others prefer the quick thinking necessary to perform day trading. However, there is a third category: those who try their luck in Bitcoin casinos, whether their game of choice is roulette, blackjack or other popular games or even sports betting.
Up until recently, gamblers all over the world were limited to normal banking options and were restricted from funding their accounts via regular banking transactions. Unfortunately, due to the nature of banks, this could affect your credit or other day-by-day aspects, as the bank had full knowledge of where your funds were going. This lack of anonymity can prove annoying to anyone, especially to the people who choose to invest in cryptocurrency exactly for this reason.
Bitcoin have always prided themselves on their independence from any state or bank in the world, the result being that gambling with cryptocurrency can provide customers with an extra layer of privacy.
It’s pretty well known that the gambling industry has been closely following the evolution of cryptocurrencies for two main reasons.
First off, those that are dealing with Bitcoin are more predisposed to take risks in order to go home rich, as cryptocurrencies are notoriously very volatile. Furthermore, whoever is investing in cryptocurrencies usually has enough extra money to spend attempting to increase their capital, and as far as online casinos are concerned, these potential customers are good for their business.
In essence, a bitcoin casino is simply a casino or sports betting broker that will accept Bitcoin as a payment or payout method instead of or alongside the usual banking methods.
Recently, there has been a massive spike in Bitcoin casinos taking the gambling world by storm, and innovative developers have even created new types of casino games made specifically for people who are interested in cryptocurrencies.
In Bitcoin casinos you can find not only the household name, traditional games such as roulette,but we can also find plenty of sports betting opportunities, lotteries and even spread betting. Due to the current sky high value of Bitcoin, also known as BTC, most casinos use the term mBTC, a term that stands for millibitcoin, referring to one-thousands of a Bitcoin or 0.001 BTC.
Aside for the currency used to make deposits and withdraw winnings (these operations are now being done with Bitcoin or other cryptocurrencies instead of traditional currencies), the majority of new Bitcoin casinos are pretty much the same as traditional casinos. For those whose interest has been piqued and would like to check out this new opportunity, bear in mind that new Bitcoin casinos usually supply new customers with a site specific wallet that can be used to transfer their Bitcoins to.
The wagers taken by the casino are, as usual, based on the amount of money that the customer has stored in their wallet. In an effort to attract as many customers as possible to their new Bitcoin casinos, an ever increasing number of new online Bitcoin casinos have been the voice of innovation and are offering gamblers huge ‘Bitcoin jackpots’, where users have the opportunity to win amounts larger than 400 BTC. Catch one of these and you’re pretty much set for life! We’ve come a long way from the time a programmer bought two pizzas for ten thousand Bitcoins, haven’t we?
Once a game is over, all the winnings earned from the game are returned to the user’s in-house wallet. From that point on, the user can either transfer their new amount of Bitcoin to their private wallet or keep on playing. Bear in mind that most online Bitcoin casinos have withdrawal limits in place, in order to avoid users cashing out everything they won at once. It is therefore very important to always check the terms and conditions of the new Bitcoin casino before starting to place wagers.
As stated previously, Bitcoin casinos are mainly gaining in popularity due to the easy and relatively cheap transfers. Besides, Blockchain guarantees that once a transaction is done, it cannot be undone, guaranteeing an extra level of protection against scammers.
There have even been Bitcoin casinos that have decided to offer zero transaction fees with unlimited free daily transactions in order to show the world the advantages of playing in a Bitcoin casino vs a traditional online casino that is using a fiat currency. Cryptocurrency has overtaken PayPal and Skrill when it comes to the speed of transactions, so let’s let them shine!
In addition, since the scope of customers attracted to cryptocurrencies is still somewhat low, far less than in traditional casinos, new Bitcoin casinos have the liberty to create huge jackpots to go for, therefore becoming more attractive to potential customers.
In a way reminiscent of ordinary online casinos, Bitcoin casinos are in an interesting spot where regulations and sanctions differ from nation to nation, as gambling can be a tricky topic when it comes to regulating bodies. Admittedly, like most gambling sites, they do pose more of a challenge for international regulators than other casinos, owing to the fact that Bitcoin are not linked with a central authority and as such no transactions can be stopped, due to the way Blockchain functions. With that being said, several international regulators have sadly decided to issue strong stances against Bitcoin casinos. For instance, Bitcoin casinos have been banned from operating in the USA, for now.
Since American citizens cannot use a Bitcoin casino in their home country, many Bitcoin casinos bar access from the USA. There have however been some Bitcoin gambling sites that have permitted new users to register by using a pseudonym; in this case, new registrations do not require proof of their identity. This is, however, a risky thing, as any legal authority would be able to look at Bitcoin transactions and potentially find out the origin by using chain analysis tools. If you fall into this category, use your better judgement. Complying with the laws of your country is the best way to stay out of trouble.
Only time will tell, but recent events have been pushing cryptocurrencies into the spotlight more and more every day.
Care to try our curated list of Bitcoin casinos?