So far 2017 has been a good year for Bitcoin, the world’s favorite cryptocurrency reached an all-time high of nearly $5,000 per coin.
People now realize that the digital currency is here to stay while market experts predict that a single coin could be worth a staggering $600,000 by 2030. One of the distinguishing features about Bitcoin is that it is decentralized, which explains why it’s become the payment option of choice at online casinos.
Although Bitcoin is relatively new, the online casino industry now uses it as a trusted payment method. When a player transfers bitcoin to an operator, it’s converted into U.S dollars at the current Bitcoin exchange rate.
Debit or credit card withdrawals typically take up to 72 hours before they’re cleared. Bitcoin transactions, on the other hand, are confirmed within 20 minutes. It’s cheap, and customers are not restricted by the casino’s daily, weekly or monthly withdrawal limit. For example, if a Bitcoin casino imposes a weekly limit of $5,000, players can still withdraw funds as Bitcoin exceeding the cash withdrawal limits. However, sometimes the player’s VIP status has to be taken into account for such massive withdrawals as well.
Safety is Important
Normally a BTC transaction fee costs around 0.0005BTC while credit card transactions cost 3 to 5%, it’s pretty self-explanatory as to why it’s fast becoming the de facto currency at online casinos.
We live in an age where cybercrime is on the rise, and it’s virtually impossible to hack into a Bitcoin wallet even though there have been isolated cases. This is why the cryptocurrency is one of the most secure payment options to deposit and withdraw cash from Bitcoin casinos.
Each transaction on the Bitcoin network is protected by state-of-the-art encryption technology that safeguards the user’s personal details. Also, Bitcoin transactions are almost anonymous, which makes it virtually impossible to find personal data associated with cryptocurrency transactions.
Essentially, this might be construed as a bad thing as in addition to safeguarding the user information; it can also result in people unknowingly being cheated of their cryptocurrency holding by fake exchanges and casino platforms. In order to prevent such occurrences, it is always advisable to store, buy/sell Bitcoin on reputable wallets and trading platforms respectively. For the very same reasons, players should only play at Bitcoin casinos that are approved by Casinoswhizz.com.
Governments Can’t Influence It
“Decentralized,” the word has a nice ring to it. I heard it the first time when I started dealing with Bitcoin. Unlike liquid cash (fiat currencies), Bitcoin is a decentralized monetary unit that cannot be influenced nor dictated by any government. The digital currency is completely independent and governed by demand. Bitcoin rose in popularity after the United States Central Bank, in a bid to recapitalize itself took all uninsured deposits larger than $100,000. As a result, people weren’t happy with the traditional financial system and started investing heavily in Bitcoin.
The demand for Bitcoin is increasing by the day, and as it is well-known, increased demand for a commodity drives its price upwards. The same applies to Bitcoin as well. With rising adoption, the cryptocurrency’s value continues to grow. The more expensive a product becomes, the higher its value. At the time of writing one BTC traded at $4,207 (U.S Dollar).
Playing at Bitcoin casinos is a win-win as the casino’s growing BTC pool translates to higher winnings and payouts. It, in turn, makes it possible for the players to win the largest amounts of cash.
Bitcoin is Flexible
Another fundamental reason why casinos use Bitcoin as a deposit method is the flexibility it offers. Regulators cannot dictate how much cash online gamblers can send each other; the sky’s pretty much the limit here. Therefore, the digital currency is now used widely by high rollers.
Customer Base is Bigger
The fact that Bitcoin is a decentralized currency means that its potential to rope in a large player base is unrestricted. If one looks at the U.S market, it always frowned upon online gambling, and most of its states have online gambling laws that are downright strange.
To put matters in perspective, the Unlawful Internet Gambling Enforcement Act compels U.S banks from processing credit card payments from gambling sites. Keep in mind that players are allowed to play at online casinos, but it’s against the law for a U.S bank to process any payment. This led to U.S residents finding loopholes in the current system by using the Western Union and prepaid cards. Eventually, all of them were blocked.
There is nothing the authorities can do to restrict the use of Bitcoin, however – at least not yet – and this looks like the most promising method yet for allowing those in the USA, Russia and other countries with these sorts of limitations, to enter the world of online casinos.
Tax Not Paid on Bitcoin Winnings
The biggest drawcard about Bitcoin casinos is that players don’t pay a dime tax on their winnings. Many jurisdictions impose a tax on online casino and land-based wins. Because of the anonymity factor tied to Bitcoin transactions, players don’t have to pay tax on it. However, if you’re a U.S citizen always declare your wins no matter what.
Bitcoin Has Its Flaws?
Just like all good things in life, nothing is perfect. The cryptocurrency had its fair share of uncertainty and controversies to date. I guess the biggest enemy of Bitcoin is ignorance; I wouldn’t advise you to use it unless you’re familiar with its inner workings, i.e., how the blockchain technology works, how to buy and sell bitcoins, how to use it as a deposit method at Bitcoin casinos and so forth.
Is Bitcoin Online Gambling’s Future?
The future is always uncertain even when the best market trends are used to predict it. I can’t say with absolute certainty that Bitcoin is the future of online gambling, but its increased acceptance, even in mainstream financial systems and the rise of online cryptocurrency casino platforms show all positive indications at the moment.