Bitcoin has revolutionized the online gambling industry. Bets with Bicoins are legal all over the world, are settled instantly and are very easy to place. Just as before playing in a casino where real money is played, the player must research thoroughly before depositing money into a gambling site. Because not all websites are the same and some are obviously fraudulent.
Gambling With Bitcoin
Bitcoin has only recently become part of the world of gambling, which is why online casino operators are just beginning to offer Bitcoin and other crypto currencies as payment options. A quick Google search delivers many different results – some providers look amateurish, others resemble traditional online casinos. A good comparison will help you to find the best casino. Very popular games for bitcoin betting is pocket dice, see also www.bitcoindicegames.com/en/games/pocket-dice/.
Since Bitcoin is anonymous and handles transactions immediately, the industry’s casinos have developed the “provably fair” system to underline the seriousness of the casinos. Since these casinos do not require a gambling license, it became necessary to use verifiably fair software. When searching for a Bitcoin casino, one should therefore make sure that the provider either has verifiably fair software or a gambling license.
Another factor that should be considered is anonymity. Although some real money gambling casinos have begun to accept Bitcoin as a payment method, they still require that all personal information be provided in order to play on the site.
Therefore, it is preferable to choose a casino that uses only crypto currencies. It doesn’t matter whether the player has something to hide or not – the main advantage of Bitcoin casinos is that they do not require hours of verification of the players’ identity. This allows you to start playing immediately after the account has been opened. Deposits and withdrawals are processed immediately, which means that no proof of identity needs to be sent to customer service if large winnings are made.
How can I buy Bitcoins?
Now that it is clear that Bitcoins are the future, the next step is to buy Bitcoins. But how? In this guide we present everything there is to know about buying Bitcoins.
Bitcoins can be bought on regulated exchanges or directly from other people who sell them. You can pay for them in a variety of ways, including accepting cash and money transfers – it all depends where the Bitcoins are bought and where the buyer lives.
First, the buyer needs a Bitcoin Wallet
The buyer first needs a place where he can store his new Bitcoins. In the Bitcoin world, these places are called “wallets”, but you can imagine them as a kind of bank account.
- The two most common options are: (1) a software wallet that is stored on the hard disk of the computer or (2) a web-based online service.
- Both options have their weak points: if everything is stored locally on the computer, the user should make sure that the wallet is backed up regularly – after all, the hard disk could be damaged. Web wallets on the Internet apply a variety of security measures against hackers, ranging from very good to very bad. It is up to the user to decide which method he trusts most.
- CoinBase is a popular wallet service that also switches dollars to Bitcoins and offers web apps and mobile (Android) apps.
Blockchain.info is another popular online wallet that doesn’t change normal money, but offers a mobile solution for Android. To the chagrin of iPhone/iPad users, the iOS wallet was recently banned by Apple when the company from Cupertino decided for unknown reasons to no longer offer wallets via the Apple Store.
Exchange/Online Wallets
The range of options seems to be growing every week, with new companies emerging on the Internet all the time, targeting new markets. Some are complete exchanges where normal money and several other digital currencies can be exchanged, while others are simpler wallet services with a limited number of trading options. Many store digital and/or normal currency for the client – just like a normal bank account.
Exchange/Wallets are the best option for those who want to trade and speculate regularly, do not need complete anonymity and accept longer bureaucratic account opening procedures that usually include proof of identity and detailed contact information. This is required by law in most countries. No regulated exchange can avoid this, as every company associated with the current financial system must meet the “Know Your Customer (KYC)” requirements and anti-money laundering (AML) requirements.
The best exchange for a particular need also depends on where the user is located. When this article was written, the largest complete trading exchanges were Bitstamp (US), BTC-e (unknown), Kraken (US), Huobi (China), OKCoin (China) and BTC China.
Once the user has opened his account, he will probably need a connection to an existing bank account to transfer money between the bank account and the new exchange account by wire transfer. There is usually a fee for this. Some exchanges also allow customers to make personal deposits into their bank account (through a customer service representative, not an ATM).
Although people in most countries can transfer money to foreign accounts, the fees are much higher and there may be long delays (if any) in switching from Bitcoins to normal money. If a bank account needs to be specified in order to use the exchange, only banks from that country may be permitted (for example, CoinBase only accepts US bank accounts).