If you’re used to regular online gambling but new to crypto gambling, you might want to know more about how everything works before you start playing. We’re here to help you.
In this comparative study, we’ll take an objective look and explore the advantages and disadvantages of crypto online casinos to see how they stack up against traditional online casino sites.
Pros
Bitcoin and other cryptocurrencies bring many benefits to the online gambling scene and has really helped develop the industry, introducing new features, payment systems, and ways to play. We’ll start by taking a look at some of these benefits before we cover the potential downsides.
Security and anonymity
Crypto casinos can potentially offer a higher level of security and anonymity than regular online casinos. Since cryptocurrency is decentralized and every transaction is recorded on a public ledger, there’s no need to provide personal information such as your name, address, or credit card details to the casino. This means that your personal information is kept safe from potential hackers and identity thieves, and also helps you stay anonymous.
Fast and easy transactions
Transactions using crypto are fast and easy and can be completed within seconds. Cryptocurrencies are designed to be used as a form of digital cash, which means that they can be sent and received instantly. This is a potential advantage over traditional online casinos, which often have slower and more complicated payment systems when using credit cards, for instance.
Provably Fair games
Provably fair games are exclusive to Bitcoin gambling sites. You can verify the fairness of each game they play by using cryptographic algorithms that ensure that the game isn’t rigged and that the outcome was completely random. While regular casinos have RNG games, you can’t actually verify it transparently as you can with provably fair crypto games.
Potentially lower fees
Since crypto coins are decentralized and there’s no need for intermediaries such as banks or payment processors, you can save money on transaction fees and other charges. This is especially true for withdrawals, which tend to come with transaction fees when using credit or debit cards such as Visa and Mastercard.
Cons
There are a couple of disadvantages to playing with crypto that you might not be familiar with if you’ve only played at regular online casinos, and in line with our goal of being transparent, we want to cover these as well.
Volatility
Crypto is known for its price fluctuations, which means that the value of your winnings can change dramatically from one day to the next. Those who want to cash out their winnings immediately may see this as a disadvantage. Of course, volatility could go either way, so it’s not entirely bad.
Less regulation
Some Bitcoin casinos aren’t regulated by traditional gambling authorities and in fact unlicensed, which means that you might not have the same level of protection you would at a traditional online casino.
Oftentimes, however, BTC casinos are regulated by the government of Curacao, via certain well-known gambling licenses. You’ll have to check this and decide what’s the best option for you, since some players may be concerned by the lack of a proper license.
Sources and further reading
This study and our research wouldn't be possible without the help of industry peers and reputable sources. Check out these links and references for further reading and information.
- https://www.investopedia.com/terms/c/cryptocurrency.asp
- https://coinmarketcap.com/
- https://www.imf.org/en/Publications/fandd/issues/2022/09/Regulating-crypto-Narain-Moretti