The growth of Bitcoin as a medium of exchange has opened a new world of internet gambling, gaming, and lotteries, where the Bitcoin, Ethereum, and other popular cryptocurrencies serve as a legitimate mode payment. This has raised the stakes for both players and gambling websites, while also improving aspects such as privacy and security. Here we look at all the major aspects of crypto casinos, and what makes them unique or popular in today’s world.
How Do Crypto Casinos Work?
Crypto casinos provide the same services as regular casinos, with the small difference in their methods of payment. If they use cryptocurrency as the only accepted currency, it may lead to some unique benefits for both the customers and the establishment. For instance, bitcoin can be used on:
- Gambling games
- Casino games
- Sports based lotteries
- Spread betting
- Online lotteries
The traditional model for operating casinos involves using a type of software to calculate the odds and determine how players win. Online casinos also use this kind of software in place of human dealers, but over time, the question of fairness has been raised; particularly with regard to odds, and the likelihood that some casinos modify algorithms to make it far more difficult for players to win games.
Additionally, conventional payment models present many problems to individuals who wish to maintain some level of privacy when getting involved in things like gambling. Cryptocurrency may offer a more unique and dynamic model of payment, attracting players who might have reason to avoid casinos entirely.
Due to the nature of blockchain and other technologies that support the cryptocurrency network, casinos may be able to offer a more transparent model while still offering players all the usual services. Here’s a quick look at the benefits of such as business model:
The Benefits of a Crypto Casino
1. Crypto Casinos Are Transparent
One of the things that’s making traditional casinos unpopular today is the bad reputation they have, particularly for concealing information about how they determine winners, or their habit of using obscure tricks to get an edge over players. Some casinos are notorious for delaying payouts and many have been accused of using unfair odds in their games in order to maximize profits at the expense of players.
Blockchain, the underlying framework behind all cryptocurrencies, forces casinos to set up a more transparent system in which players can be more assured that they have an equal chance over their opponents, and to show that they are not employing any clever tricks to gain advantage.
2. Cryptocurrencies Are More Secure Than Wire Transfers
Players who may be worried that their favorite casino doesn’t offer the highest level of security for money transactions can relax because bitcoin and other cryptos offer the highest security in terms of securing transactions against possible hacking. The old method of filling up endless forms and turning them over through medium-level encryption usually raised many risks for players, who could easily find that their financial information has been accessed by unknown entities online. Cryptocurrency eliminates the need for extensive paperwork, therefore reducing the risks for players.
3. Crypto Casinos Offer Anonymity
This is the most obvious element of cryptocurrency, as it relates to online gambling. If the idea of passing out your credit card information to gambling sites seems rather risky – and it probably is – then your next best option is to purchase crypto currency from an independent firm, such as a bank, and then use these bitcoins, or other cryptocurrency to sign up to gambling websites. This way, you will only make the purchase one time, and the gambling establishment won’t ask you for financial information. Check what services your online casino uses to help players exchange their real cash into Bitcoin or other crypto currency.
4. Crypto Casinos May Be Cheaper Overall
Online casinos tend to have higher fees for new players, especially with transaction costs, which must be charged; and also, with additional costs such as duties and taxes, which players must part with. This can have a significant impact on your winnings, which is why crypto casinos have a more appealing model. For starters, they are not regulated by any traditional financial institution, which means casinos can then reduce costs for transactions, or eliminate them entirely if it necessary.
Why Is Blockchain So Popular?
As we mentioned, the nature in which traditional financial transactions are handled means that players who don’t use cryptocurrencies expose themselves to the possibility of having their data stolen, and perhaps the casino using cheap tricks to set up systems that enable them to steal money from players. All this cannot happen where blockchain is used, and aside from the gambling world, where this tech is now commonly used, blockchain has shown tremendous promise as an emerging solution to many problems affecting the digital age such as privacy; and we can expect casinos to use it as a tool to promote online gambling as more transparent, and therefore safer than traditional casinos. Keep in mind that not all crypto casinos use blockchain, but the ones that do, provide a much safer environment where transactions cannot be manipulated, and players feel more comfortable with the systems used to determine odds.