Gambling with bitcoin on certain gambling sites has become quite popular — but is it worth the risk for you?
Bitcoin gambling sites offer you the benefit of depositing and playing with bitcoin various casino games, poker games, and sports betting too.
However, there are several risks you should be aware of.
You should also consider these risks and think about whether or not they outweigh the benefits of playing on these sites versus traditional online casinos, poker rooms, and sportsbooks.
Many of the best bitcoin gambling sites will also go extra lengths to prove to their players that the games on their platform are fair, not manipulated to give the house a bigger advantage.
Provably Fair can be summed up like this:
“In the case of online gambling, provably means the odds and outcome of a bet can be proven, through code and blockchain transactions, to have not been manipulated. Being provable is a new concept for online gambling and is only possible because of the invention of blockchain technology (the same technology that powers Bitcoin).”
Basically, this means that you’re able to double-check that the poker game, casino game, and other games are indeed fair for you and the gambling site itself.
This alone helps make the case that crypto casinos are worth considering.
Speed of Transactions
Another strong benefit of bitcoin sites that puts a plus in the pro column is the speed at which these transactions can be done versus traditional banking.
A traditional casino, poker room, and sports site online will need you to deposit funds directly from your bank or a wire transfer. Sometimes these sites will accept credit or debit cards — but these come with significant fees since chargebacks are a risk for these sites.
However, if you use bitcoin and other cryptocurrencies then the transaction can be done in ten minutes or less.
This time difference is significant.
Bitcoin and Crypto Price Volatility
The first risk to be aware of is the volatility of the price of Bitcoin and other cryptocurrencies.
Bitcoin and other cryptocurrencies might fluctuate between the time you buy them and the time you send them to the site of your choice.
It’s a risk but a minimal one since the price of bitcoin only fluctuates wildly a few weeks during the year.
One way to mitigate this is to use cryptocurrencies that are pegged to traditional fiat currencies — such as USDT and DAI.
Another risk to be aware of is that bitcoin and other cryptocurrencies cannot be returned by the network.
What does that mean?
If you use a credit card and even a traditional bank, and you send your money to the wrong person or something else should happen where you need your funds returned, you can submit a request and start the process of a chargeback.
Bitcoin and cryptocurrencies do not work that way.
Once you send bitcoin away then it’s sent. Done.
The only way you can get it back is if the person you sent it to chooses to send it back.
This is a risk that asks you to be extra responsible with your money.
You can mitigate this risk by double-checking the address you are sending your bitcoin to. Make sure to also check the address you’re withdrawing your winnings or funds to.
Don’t let human error erase your funds!
Watch Out for Scams and Hacks
Gambling sites that accept Bitcoin are also risks from the standpoint of scams and hacks
Hackers target such sites because, as mentioned above, there is no way to reverse a bitcoin transaction. Once a hacker steals crypto, they won’t get it taken away from them by a bank.
If you choose to gamble with crypto on a site that isn’t reputable or part of the sites listed in the link at the top of the article — you might run the risk of playing on a site that will perform an “exit scam.”
An exit scam is when a company convinces its players and users that they are legitimate, but then takes user funds and runs.
There are ways to mitigate these risks.
The first is to use and play on bitcoin sites that have strong security systems in place. Many on the list above have good security measures to keep their user’s funds safe.
The second is to make sure to play on bitcoin sites that have strong reputations and have been around for a while.
Don’t be tempted by amazing bonuses by new sites that might not be reputable. Stick to the ones that have taken the time to create a solid reputation.
Benefits Worth the Risks
At the end of the day, the benefits do outweigh the risks when you properly mitigate the risks.
After all, the benefits are constant and you don’t need to do anything to have them.
However, the risks can be minimized or even eliminated by taking responsibility for your bitcoin and learning to use it properly.
So take the time and learn how to transfer bitcoin and cryptocurrencies. Then take some time to find a bitcoin site that suits your needs and fulfills the criteria in the article linked at the top.
That combo should give you all the benefits of gambling with bitcoin with minimal risks. Then you can enjoy it!