What is a cryptocurrency?
Cryptocurrency is a virtual online currency that works independently of normal centralised banking systems and financial regulators. They hold real value, and punters can exchange and speculate on currencies just like they can with regular fiat money.
They are usually decentralised are managed, and traded on independent registers called blockchains. Cryptocurrencies, like Bitcoin, are mined with sophisticated computers that search for unique coded algorithms online. Once verified, the coins are added to the blockchain for circulation. The blockchain is held over various server nodes worldwide, which work together to authorise the movement of the currency online. Some of these traditional decentralised cryptocurrencies include the likes of Bitcoin, Litecoin, Dash, and Ethereum, just to mention the market leaders in this category.
While virtual coins underpin the blockchain, some cryptocurrencies work more as virtual tokens, which operate on top of the coin-based registers. These tokens are minted and then distributed by sale or airdrops.
There are also cryptocurrencies forms with centralised servers. Here, the currencies still use virtual mechanisms to track all payments and transactions. XRP is the classic example of an altcoin with this type of nature. Large banks use the Ripple owned currency for payment settlements and asset exchanges. Instead of using a blockchain registry, the Ripple network makes use of a distinctly unique consensus mechanism through a network of servers to validate each transaction. While the concept remains within the realm of traditional cryptocurrencies, the mechanisms, protocols, and uses differ a bit.
Where decentralised currencies like Bitcoin were developed to replace fiat currencies, centralised options are often tethered to central reserves and provide a more efficient and alternative way to transfer funds across the digital space.
You can trade or use cryptocurrency personally by way of electronic Bitcoin wallets. This store your virtual cash hashes and grant you access to the blockchain to enable funds movement when you need to.
How to get Bitcoin and start gambling online?
If you are not into mining Bitcoin, then you can buy it. You will need to register a crypto wallet via a reputable exchange, like Bitstamp or Binance and others. You can then purchase Bitcoin (value changes all the time) via bank transfer or a credit card from the exchange and have it loaded to your wallet. The trade will generally take place within minutes, if not seconds, and you will probably be levied a small commission by the exchange.
When depositing at a Bitcoin online casino or a hybrid casino (accepting Bitcoin and real currency), you will need to link the casino to your wallet via your Bitcoin address. You can then log in to the wallet with your username and password. The deposit is generally instant, but most online casinos update your balance after the BTC deposit has received all confirmations, which usually takes between 5 minutes up to an hour. Once the funds appear, you can start playing.
Withdrawing funds is very similar. You just request a payout to your Bitcoin wallet address again. Should you want to redeem your coins for cash, you can sell them to exchange for the going rate in US Dollars at the time.
Advantages of playing at Bitcoin casinos
1. Instant Deposits and Withdrawals
Depositing and withdrawing Bitcoin at online casinos has consistently proven to be one of the fastest payment methods. As long as you have an easy to use wallet such as Binance, the payments should go off without a hitch, ensuring that there is no delay in playing your favourite Bitcoin casino games.
2. Anonymity when Gambling
Because the currency is decentralised and not tied to any banks, you can trade without identifying yourself. This is great for those who seek to remain hidden. It also works a charm for those playing in restricted areas like the USA, where they stand a chance of having their monies confiscated for gambling online. In this case, your Bitcoin spending cannot be traced back to you, and the banks and the government have no access to your coins.
3. Special Bonuses
Casinos offering to wager in Bitcoin will have special bonuses and promotions available for Bitcoin players. These can prove very helpful on your way to winning big at a Bitcoin casino. Rakeback, or Cashback, is any BTC casino's most popular rewards system where you can claim cash bonuses without wagering requirements! Now, this is a big game-changer, and you'll love how it works.
4. Very Secure
Bitcoin Wallets act as an enhanced layer of protection between you and the casino. Because the trade is about the transfer of codes, the casino does not require your identity. Bitcoin wallets are very secure in themselves, with multi encrypted SSL technology in place to deter fraudsters.
5. Provably Fair Technology
Several Bitcoin casinos have "Provably Fair" technology at your disposal. This makes it impossible for random number generators to 'cheat'. Suspicious plays can be checked using a Bitcoin cryptographic, which analyses the casino's random algorithm for authenticity.
Disadvantages of using Bitcoin when gambling
1. The currency is volatile
Bitcoin's and other cryptocurrency's values can rise and fall at the drop of a hat. This means that the value of each coin when making your deposit could be lower than when you make your withdrawal. You can always hold onto the coins until the value starts to climb again before cashing in at the exchange.
2. Deposit & Withdrawal Fees
Fees will vary significantly depending on the crypto wallet and order priority used to make deposits and withdrawals of BTC at online casinos. Most crypto wallets charge higher fees on BTC transactions, which is inefficient when making multiple small deposits or withdrawals.
3. Confirmations of Deposits & Withdrawals
Most cryptocurrency deposits and withdrawals are instant, and it won't take long before you start playing or receive your winnings. But when it comes to Bitcoin, sometimes the waiting time for both deposits and withdrawals is up to an hour. This is due to the multiple confirmations required to clear your transaction and the priority you have chosen for the order. If you prefer high priority, the waiting time will be less, but the fees will be higher.
Handy information about usage
The only limits implemented maybe those enforced by the Bitcoin casino, as Bitcoin Wallets have no limits to the amounts of deposits or withdrawals you can make. Be sure to understand the deposit and withdrawal limits at your selected casino accepting Bitcoin before making your first deposit.
Transacting via a Bitcoin wallet is essentially free, as they make their money on the exchanges. Casinos may levy certain costs towards withdrawals, so you will need to become familiar with the costs involved at each casino.
Bitcoin is available to people in most countries around the world. They are usually bought in US dollars, which means that you will need to calculate your exchange rate accurately to avoid disappointment. There is also a fair share of top Bitcoin Casinos available online that are more than willing to dabble with you in your crypto gambling ways.
If you have Bitcoin and are wondering where you can find a top casino that will accept your virtual currency, then look no further than the online casinos on the list provided by us at CasinoWow, on this very page. Each of these establishments is more than willing to offer you a world's worth of entertainment for the price of your blockchain.