Essential Differences Between Bitcoin and Other Online Casinos
Bitcoin Casinos Essentials
Bitcoin has the potential to change the way we shop and play games online – particularly in view of the rise of in-app purchases for mobile devices. One of the biggest barriers to online gaming has been currency conversion. Many banks charge interest and an administration fee for converting a local currency into the currency of the gaming site (typical American dollars) and Bitcoin has made this easier. However, there are some major drawbacks about the currency about which people need to be aware.
The Advantages of Bitcoin Casinos
Anonymity: The anonymity of using bitcoin is one of the main advantages of the currency. For those concerned about identity theft and fraud it adds an extra layer of security –a lower risk way of processing transactions for online games and gambling. There is also very little comeback for government or any corporate entity to freeze or withhold assets.
Faster and cheaper transactions: if you play on an international site, the security involved and the time it takes to process a payment, as well as the extra costs involved can put many people off even trying. Bitcoin casinos making playing easier and cheaper; what’s more, many do not impose a daily limit to the transaction value as occurs on sites using regular currencies. There is much less regulation at present than there is with traditional currencies.
Quick pay out: When you win on a bitcoin casino, you want instant pay out on your winnings – this is perfectly understandable. When you process transactions through your back or credit card, these can sometimes take time and dealing with international payments, can be frustrating. The lack of barriers in making and receiving bitcoin payouts is its greatest advantage.
The Drawbacks of Bitcoin Casinos
Price volatility: As Bitcoin is not a normal currency and all the financial regulations that means, the price can vary quite wildly from day to day. It also means the price of games on some sites will also vary wildly. With normal currency, there is fluctuation but not a great deal – particularly with the currencies of the developed world in which you might normally play and trade.
No financial protection: It has been well-documented that some big winners have had their bitcoins seized and lost everything. There is no protection for bitcoin transactions (unlike with credit or debit cards) and therefore a greater capacity for fraud. The anonymity of the currency is a benefit to some, but this also includes criminals; in the world of online gambling, this is a potential and critical drawback. Casinos that don’t use Bitcoin, such as Vera and John, have better protected methods of payment. It’s always worth bearing this in mind before you start putting down the big bucks.
No casino regulation: Casinos that deal in regular currency, whether they are on-line or off-line are subject to tight regulation on professional practice and payouts. As yet, these laws do not apply to Bitcoin casinos. Any action that would have a license revoked for a regular casino is not punishable because no provision exists for cryptocurrencies. There is nothing to stop Bitcoin casinos acting illegally or unethically.