Everything About Bitcoin Gambling and Deposits and Withdrawals
Just a decade ago, Bitcoin gambling did not exist as Bitcoin itself got released in 2009 and came into the limelight in 2011. Bitcoin games and casinos were virtually non-existent, while cryptocurrency overall was mostly some vague term used by few. Today, Bitcoin is shown as an ever-growing currency, with more and more casinos opening their (online) doors to it.
This blog discusses critical segments of Bitcoin and online gambling, tips that will help you learn how to use Bitcoin, and other relevant instances of using this cryptocurrency.
What is Bitcoin?
Bitcoin is a virtual currency or cryptocurrency, a peer-to-peer payment system that uses electronic cash to make online purchases. The currency enables transactions between two parties without the requirement of a third party. Bitcoin is absent of government intervention, making it a relatively popular and increasingly endorsed crypto payment option.
Bitcoin Wallet Explained
It is a software program used for Bitcoin storage. Still, as Bitcoins are not actual coins but virtual currency, they aren’t technically stored anywhere. However, they do have a way of being kept safely:
Every individual Bitcoin wallet has a secret number (private key) corresponding to the Bitcoin address of that wallet
- Bitcoin wallets enable payment processes (sending and receiving) of Bitcoins
- Bitcoin wallets give ownership of the Bitcoin balance to the user
- They are also referred to as a Digital Wallet
- Anyone looking to trade in Bitcoins must have a digital wallet established. There are four main types of e-wallets, and they are:
Desktop wallets are users’ addresses that enable them to send and receive Bitcoins. They are installed on a desktop computer, giving the complete user control over the wallet and storing a private key. The few desktop wallets are Bitcoin Core, Armory, MultiBit, Hive OS X, and Electrum.
It have the same function as desktop wallets and are usually either iOS or Android system compatible. Mobile wallets manage to facilitate payments in physical stores by using “touch-to-pay” and NFC (near field communication) scanning of a QR code. It is advisable to research e-wallet options before deciding on one as there is significant malware posing as Bitcoin wallets.
Examples of mobile wallets are Bitcoin Wallet, Mycelium Bitcoin Wallet, and Hive Android.
Web wallets are a neat option for Bitcoin users as they facilitate access to Bitcoins from anywhere. A web wallet should do, whether you are “operating” from a mobile device or a specific browser. Since your web wallet stores your private keys online, you should be careful when selecting it.
At this time, popular web wallet providers are Coinbase and Blockchain.
The most secure type of Bitcoin wallet are hardware wallets, and they store Bitcoins on a physical piece of equipment and are virtually immune to virus attacks. Unlike other Bitcoin wallets, there are the only ones that are not free; if you are going for a hardware wallet, you’ll pay between $100 to $200.
Types of Bitcoin Casinos
There are two types of Bitcoin casinos that allow Bitcoin gambling.
Bitcoin casinos operate exclusively in Bitcoin. In these casinos, all deposits and withdrawals are processed in this cryptocurrency, with Bitcoin credit expressed in fractions of one Bitcoin, i.e. 0.0002 BTC, for instance. Bitcoin casinos offer the benefit of increased anonymity to players.
Hybrid casinos are typically standard casinos that accept Bitcoin deposits and withdrawals. This type of Bitcoin casino allows the player to deposit Bitcoins, but they are converted into fiat currency before they start playing. Not too commonly will an online casino enable a player to withdraw their winnings in Bitcoins back to an e-wallet.
Is Bitcoin Gambling Legal? Can You Legally Deposit and Withdraw?
Presently, there are no specific laws regulating Bitcoin gambling. As Bitcoin is neither officially prohibited nor allowed, players can legally deposit and withdraw.
However, there are a few things to watch out for where Bitcoin online gambling regulation is concerned:
- Cryptocurrency and blockchain-based services regulations across countries are openly discussed
- A few reputable gambling jurisdictions (notably, Curacao and the United Kingdom) already issue licenses to casinos accepting Bitcoin
- Bitcoin still not refer to as real currency by the majority of governments
- For the most part, the existing regulations around traditional (fiat) currency at online casinos are not applied to Bitcoin gambling websites
- Countries that strictly prohibit gambling may take strong measures against Bitcoin gambling, despite its grey-area (non)existent regulation
- Bitcoin is rapidly abandoning its initially semi-negative reputation and getting accept by more and more countries
How Bitcoin is used for Making Online Casino Deposits
If you are looking to deposit in Bitcoin, here are the steps to follow:
- Open an account at your chosen Bitcoins accepted casino
- Find the “cashier” section of the casino
- Select “Bitcoin” as your deposit method.
- You’ll instantly get a unique web address for your account
- Insert that address in your Bitcoin wallet, the tab for sending Bitcoin
- Enter the amount you want
- Confirm transaction
- In most casinos, it takes just a few minutes until the funds become available.
Advantages of Using Bitcoin in Online Casinos
Bitcoin has made its mark as a handy form of currency for both online purchases and Bitcoin gambling. Some of the advantages of using Bitcoin in online casinos are:
- Safe payment method
- Bitcoin is encrypted and backed with blockchain, guaranteeing no theft is possible.
- Transparent transactions
- Bitcoin transactions are virtually impossible to cheat, scam, or hack. Essentially, there is no way to fraud the Bitcoin system.
Low transaction costs
Bitcoin involves minimal costs in transacting over the blockchain, enjoying the status of a practically cost-free transaction option.
Bitcoin transactions take anything from a few seconds to a few hours, unlike traditional deposits and withdrawals that can take up to a few days. The most extended Bitcoin transaction recorded is 24h.
Blockchain transactions are fully anonymous and un-attributable, with no paper trail on bank statements confirming transactions. This play is highly beneficial for players who like to keep their online gambling discreet.
Disadvantages of Using Bitcoin in Online Casinos
Like any other currency, Bitcoin has its disadvantages. Here are some most mentioned disadvantages when using Bitcoin in online casinos:
- A limited number of Bitcoin casinos
- Although Bitcoin’s popularity is increasing, a limited number of Bitcoin casinos are still on the market. Not every casino and software provider offers Bitcoin games.
Uncertain legal status
Bitcoin’s legal status is still uncertain, which is why many countries have not yet approved this currency.
Potentially slow transactions
Paradoxical to claims of Bitcoin instant transfers, there are situations recorded of withdrawals with Bitcoin taking even longer than withdrawals to credit/debit cards. It usually happens with websites that manually process Bitcoin withdrawals for security purposes.
Bitcoin may be much more expensive than traditional currencies due to its volatility, making its results somewhat risky.
No chargebacks or refunds
Unlike fiat currency, Bitcoin has no refund or chargeback policy established, which may deter players from using it. Check out this guide to casino payment methods for more information on what currencies you can use when playing at online casinos.
Also, give our podcast on cryptocurrencies and casinos a listen for more insight into the world of cryptos.
Bitcoin Gambling Promotions and Bonuses
While a commonly overlooked perk of Bitcoin online gambling, Bitcoin casinos typically have lucrative bonuses and promotions and well-rewarding Bitcoin games and benefits.
Traditional online casinos and other gambling platforms offer approximately double amount bonuses for profits up to a few hundred dollars. Bitcoin casinos, however, extend rewards ranging from 1 BTC to 5 BTC.
The best Bitcoin casinos are known to design attractive promotions to attract non-Bitcoin believers to their gambling platforms.
Bitcoin Gambling FAQ
Do casinos accept Bitcoin?
Online casinos around the world typically accept Bitcoin, but there are still those that don’t. Whether a casino will buy and encourage Bitcoin gambling depends solely on the casino itself and the general laws and regulations of the country where the online casino is registered.
Is paying with Bitcoin safe?
Due to its blockchain structure, Bitcoin consider one of the safest currencies presently available on the market.
Is Bitcoin gambling legal?
Bitcoin gambling consider neither legal nor illegal. However, recent years have seen many global talks officially regulating this currency.
Can I also withdraw my winnings in Bitcoin?
You can withdraw your winnings in Bitcoin only if a casino you are/were gambling at is a Bitcoin casino. If your goal is to withdraw winnings in Bitcoin, make sure you read the casino’s terms, conditions and policies on Bitcoin gambling, deposits and withdrawals before playing.
Can I deposit/withdraw less than one whole Bitcoin?
The amount you can withdraw and deposit depends on the Bitcoin casino you are playing at. Check with the casino itself. Typically, you should be able to deposit/withdraw less than one whole Bitcoin.
Why do gambling sites use Bitcoin?
Bitcoin is actively increasing in popularity which is why gambling platforms of various types are including Bitcoin gambling in their offer. This is an example of a supply-and-demand occurrence we see daily in virtually all aspects of the trade, gambling included.
For more information on why more and more gambling sites are using Bitcoin, please refer to this blog’s Advantages of Using Bitcoin in Online Casinos section.
How do you gamble with Bitcoin?
Just like fiat currency gambling, Bitcoin gambling comes attached to a few steps the players should follow. If you want to learn how to deposit Bitcoins, i.e. gamble with Bitcoin, please refer to the How to Use Bitcoin for Making Online Casino Deposits section of this blog for more information.
Are there any fees for depositing Bitcoins?
Bitcoin depositing fees are usually minimal and depend on the amount gambled. Before playing, please check with the casino what fees they include in the transactions.
Which games can I play with Bitcoin?
You can play any Bitcoin games specified by the casino you are playing at. Regarding their placement, some of the most popular Bitcoin games you can tackle are video games, classic slots, roulette, blackjack, and video poker.
Some popular titles in 2020 are Satoshi’s Secret, Book of Dead slot, Lara Croft: Temples and Tombs, Battle Royal, Space Wars, Casino Hold’em, and many others.
Please note that not all casinos feature the same types of Bitcoin games.
Will I be playing in Bitcoins, or will they be converted?
That depends on the casino. Hybrid casinos tend to convert Bitcoin to a fiat currency, although they should highlight this segment in their Terms and Conditions. Bitcoin casinos operate in Bitcoin only.
Does the Bitcoin exchange rate fluctuate a lot?
The Bitcoin exchange rate fluctuates a lot, so you should always check the Bitcoin rate on the day of your play.
Which e-wallet is the best?
Depending on your needs, choose between desktop wallets, mobile wallets, web wallets and hardware wallets. By far, the most popular type of e-wallet is a hardware wallet. However, if you’d like to learn more about types of e-wallets, please refer to the Bitcoin Wallet Explained section of this blog.
Final Thoughts on Bitcoin Gambling
The future of Bitcoin is bright. With its increasing popularity in both the crypto and fiat currency world, Bitcoin is slowly, yet steadily, growing into the preferred currency of many. While we may not have the exact date of the Bitcoin regulatory framework getting further defined, we are optimistic that all cryptocurrencies and their equivalents won’t have their place in online casinos shattered in the times to come, not one bit.