Gambling with Bitcoin
By now, everyone knows about Bitcoin and its meteoric growth. Bitcoin’s almost exponential price increase has left many wishing for a time machine, so they could return to 2009, invest a few dollars, and end up millionaires some ten years later.
Since time travel isn’t an option, the best you can do is familiarize yourself with the technology. Not everyone knows the advantages of cryptocurrency getting worldwide acceptance. Bitcoin’s main benefits are its privacy and decentralized nature, which makes gambling with Bitcoin extremely convenient, especially for players with limited payment options.
What Is Bitcoin and Why Use It for Gambling?
Bitcoin is a digital currency that doesn’t require a financial institution to function. It works through the blockchain, which provides an additional layer of privacy compared to traditional banking. Bitcoin beginner guides perfectly explain the nuances of blockchain technology, but the main thing to know is that crypto-only casinos have significant advantages for players.
Bitcoin transactions are verified by Bitcoin miners and processed more quickly than regular payment options. For example, withdrawal times at crypto casinos are counted in minutes, not the usual days needed for the network to process your transaction.
The casino most often covers transaction fees for crypto transactions. The cost of running a cryptocurrency cashier section is far lower than for fiat options, so the operators have room to offer lower margins and better odds for attracting players.
Most countries have taxation regulations on gambling or lottery winnings, but Bitcoin is still largely unregulated. Some governments have implemented capital gain taxes that you have to pay when converting Bitcoin into fiat currency, but they are very much a minority.
The best Bitcoin casinos rarely implement “know your customer” (KYC) procedures. This is incredibly convenient for players residing in countries that forbid or heavily regulate online gambling.
You won’t have to save your payment details on the casino’s website to make a Bitcoin deposit. No data means practically no risk of your crypto wallet getting hacked.
In our experience, the best bonuses and promotions, particularly as part of the welcome package, are found on gambling websites that support cryptocurrencies exclusively.
Bitcoin is widely available and straightforward to store on a crypto wallet, be it hot or cold. Users have plenty of choices among free mobile apps, desktop programs, or hardware wallets.
Bitcoin gambling sites work great because deposit times and processing fees are negligible. However, to get started, you will need to get some Bitcoin, and most newcomers to cryptocurrencies are not familiar with how to acquire and store it.
There are two ways of getting Bitcoin. One of them is to purchase it directly from a cryptocurrency exchange; the other is to mine it. Since mining Bitcoin requires pricey equipment and other expenses, we won’t discuss it in detail. Buying Bitcoin from an exchange is faster and usually more affordable.
Still, before you start gambling with the Bitcoin you purchased from an exchange, make sure to transfer the funds from your cryptocurrency exchange account to a Bitcoin wallet. This step is crucial on exchanges directly prohibiting the use of their Bitcoin addresses to make deposits on gambling websites.
How To Make a Bitcoin Deposit
Using Bitcoin as a payment method is quite simple. There are plenty of different Bitcoin wallets out there, all operating on the same principles. You can use the following steps as a general guideline on how to make a BTC deposit:
- Create an account on the crypto casino or betting site.
- Find the deposit section.
- Select Bitcoin as your payment method.
- Send BTC to the address provided by scanning the QR code if you are using a mobile wallet; otherwise, use the public address.
- Select the amount you want to send.
- Check the information and confirm the transaction.
You can expect a balance update on your account within a few minutes.
How to Make a BTC Withdrawal
Making a withdrawal from a crypto gambling establishment follows a similar pattern:
- Find the withdrawal or cash-out page on your Bitcoin betting website.
- Select Bitcoin as your withdrawal method.
- Add your Bitcoin wallet address in the recipient field. Copy and paste it directly to avoid making mistakes.
- Select the amount you want to withdraw.
- Double-check the information.
- Confirm the withdrawal.
Receiving your funds is a matter of minutes, and your wallet balance will update automatically.
The Downsides of Using Bitcoin
Besides the obvious advantages, Bitcoin does have a few potential drawbacks you need to be aware of.
Since the technology is relatively new, users wanting to start gambling with Bitcoin need time to learn how to use it. Bitcoin transactions are all final, and there’s no third party to assist you if you make a mistake.
To say that the price of Bitcoin is volatile would be an enormous understatement. In the last ten years, Bitcoin’s price has been on a wild ride from 1 BTC being valued at less than a dollar to its current more-or-less constant upward streak. At the time of writing this article, one BTC was more than $54,000. Any BTC purchase could result in huge gains or equally significant losses, depending on the volatile market.
While Bitcoin is a safe payment method, Bitcoin casino sites are a much easier target for hackers or other bad actors. Storing large sums of cryptocurrency on a casino account can be unsafe. While those kinds of security breaches aren’t common, it’s better to be safe than sorry. For example, just deposit the amount you plan to use during the week.
A Crypto Gambling Guide
Like you would for a traditional gambling establishment, you need to do your research and find the most trustworthy operator. Licensing is pretty essential, so making sure that Bitcoin online casinos have approval from regulatory organizations is an excellent way to know if the games will be provably fair.
Some websites will suit playing poker with Bitcoin, while others will favor betting or other casino games. Depending on your taste, it pays off to do some research and find the best spot in cryptocurrency cyberspace for your game of choice.
Unlike traditional casinos, some crypto operators have launched their own cryptocurrencies for their establishments: The players can use the casino tokens as a stake in the casino or to play games.
- How does Bitcoin gambling work?
It depends on the casino. Some of them let their players gamble directly with BTC, with the balance expressed in BTC or a smaller unit of measurement like mBTC, µBTC, or SATS (Satoshi).
Some casinos ask players to choose a fiat currency such as USD or EUR to display their balance while playing games and placing bets. Players can afterward make withdrawals in BTC without issue.
- Is Bitcoin used for illegal activity?
Like with any currency, a certain percentage of people will use BTC for illegal dealings. However, according to recent reports, only 0.34% of the total trading volume of cryptocurrencies is related to a criminal element.
- Can you gamble with Bitcoin?
The short answer is “Yes.” The more comprehensive response adds that using it for gambling purposes has more advantages than conventional fiat currencies and traditional payment methods. Paying with Bitcoin is safer, faster, cheaper, more private, and accessible for most users.
Even if you cannot use regular gambling websites in your country, you could effectively gamble on any website that supports Bitcoin with a VPN service. More often than not, those casinos support other cryptocurrencies too, like Ether, Bitcoin Cash, Litecoin, Dogecoin, among others.
- Is paying with Bitcoin safe?
All players that want to start gambling with Bitcoin ask us the same question, “Is it safe as a payment method?” Because there is no third party involved in verifying Bitcoin transactions and no way of revealing private information, BTC is entirely safe for use. Transactions are processed and verified by the network of miners that check each other and verify that everything is properly executed.