Bitcoin Casinos – How Safe Are They?
Some industry watchers believed Bitcoin and online casinos are a match made in heaven; the reason at a closer look is not far-fetched.
You see, the gambling industry has struggled for a long time to get rid of a long history smeared in bad rep and publicity. And players over time have learned to seek out discreet, secure and safe gaming houses to satisfy their itch.
So, it is not surprising that the gaming industry was the first couple of businesses to adopt Bitcoin and its underlying Blockchain technology in their operation.
Now with several casinos running on Blockchain technology players can be safe in the knowledge that their personal information, transaction histories, and banking details are secure, encrypted, and anonymous.
What is a bitcoin casino?
These are new generation online casinos that rely on Blockchain technology and cryptocurrency such as Bitcoin to handle deposits and withdrawal on their platform.
In other words, the player has to fund their account using digital currency and also withdraw their winnings as a cryptocurrency. No need for fiat currencies, no need for financial houses.
This obviously benefits both the operator and gamer. One of such benefits is the elimination of transaction fees.
Now, for online casino operators using traditional payment platforms, they often pay a transaction fee for each transaction conducted on their system; these extra charges are often shifted to the final gamers.
Compare that to the Bitcoin casinos with little to no transaction fees. The operator can offer more enticing mouthwatering perks like improved welcome bonuses, side freebies, and the player doesn’t have to pay any transaction fees too.
Another attractive feature of a bitcoin casino is the opportunity for anonymity. You see, when a player decides to enjoy a game on conventional online casinos, they are often required to fill in personal details like banking information, names, contact addresses, and perhaps other personal identification information.
That’s not the case playing a bitcoin casino; you are only required to provide an email address that way your privacy is protected.
That said it is essential to note that you’re likely to encounter any of these three types of bitcoin casinos online.
One, there’s the full bitcoin casinos – these allow you to play anonymously with Bitcoin as currency only. They don’t have options for other payment methods.
Then, there are the hybrid online casinos – these lists bitcoin as one of the payment options available. You can deposit, play, and withdraw using the digital currency.
Finally, there are the online casinos that accept bitcoin deposits then convert it to fiat currencies to play with. They don’t support Bitcoin withdrawal.
But, how does bitcoin casinos work?
Just like traditional casinos, a bitcoin(BTC) powered casino needs a system to handle and process its transaction; and a medium to accept deposits.
However, instead of the regular fiat currencies – think: dollar, Euro, Yen, pounds, get the idea? The platform uses digital money but in this case, Bitcoin.
Also, most bitcoin casinos, especially for those with a large user base, operate the self-developed software. These programs manage and run the game, even taking on the role of dealers for all-human games.
Are they safe?
Be rest assured, your private information is safe and also your activities are anonymous. However, concerns exist about whether bitcoin casinos are fair or not; this arises from the fact that both the operators and users are anonymous and can hardly be tracked.
To address the challenge of fairness, build trust and show transparency, most of these operators publish how their algorithm works and how the random number generator operates – this way anyone that cares can run a check on the website.
Digital currencies have come to stay, and with the rave for foolproof security measures online, businesses including online casinos will have no choice but to adopt or integrate the technology with their platform.
For players searching for a bit more discretion, Bitcoin casinos offer the best option