FAQ: Betting with Bitcoin Knowledge Base
Bitcoin Gambling Q&A: Every little ‘bit’ you need and want to know.
The concept of gambling is simple enough to understand. You choose to risk an amount of money on a chance-based outcome. If the outcome is in your favor, you win more money. If not, you lose the money you bet. There’s nothing confusing about wagering with cash, either. But when it comes to betting with Bitcoin, a lot of questions can arise.
Are Bitcoin casinos the same as regular online casinos? Are they safe? Is it legal to bet with cryptocurrency in Canada? Are Bitcoins the same as real money? How do you buy and deposit them, and what’s the process like for cashing out winnings?
It’s a lot to think about, but don’t worry. We’ll answer all of these common questions and a lot more in the following…
Bitcoin Gambling Q&A: What You Need to Know |
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We’re going to get started with some basic questions, and work our way into the more intricate stuff. If there’s anything you don’t know about playing casino games online with Bitcoin, or something you just want better clarification on, you should be able to find it in this Q&A. If you don’t see the info you’re looking for, please leave us a comment.
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1. What is Bitcoin? |
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Bitcoin is a cryptocurrency, or digital currency; a form of money that only exists in digital form. You can’t touch it. You can’t put it in your wallet, or hand it to a cashier at the local supermarket, as you would cash. And yet, it does have value like cash. Instead of coins and paper bills, Bitcoins are computer files. Those files are stored in digital wallets, and can be transferred from one digital wallet to another, just like handing over cash. |
2. Is Bitcoin the same as real (fiat) money? |
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Yes and no. Yes, Bitcoin has value, just like real money. It is a means of exchange, and is steadily becoming a more accepted, mainstream form of payment. Like stocks, you can buy it with real money, and sell it for real money, but that doesn’t necessarily make it money. There are two major areas where Bitcoin and “fiat” money differ. First, you can’t touch Bitcoins. As we already stated, they only exist in the digital realm. Second, the value of Bitcoin can be extremely volatile. April 2011, a single BTC was worth about US$1. Two months later, it was worth $31. It’s since seen enormous fluctuations, skyrocketing to over $19,700, only to plummet back below $3,500, then drive up to as high as $65k before falling back to around $20k. Clem Chambers wrote this eye-opening article on Forbes detailing how Bitcoin is real money, and is, in many ways, better than real money. If you’re really interested in this question, I suggest giving it a read: |
3. What is a Blockchain? |
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When a Bitcoin transaction is recorded, all the data goes into what’s called a “block”. Each block is added to the chain as it’s recorded, hence the name “blockchain”. Thus, the blockchain is a digital record of every coin in existence, detailing where each one is now, and where it’s ever been. It sounds complex, but a blockchain is really nothing more than a digital ledger. Think back to the old days, when ship captains kept logs, or when hotel clerks wrote the name and check-in/out info of every visitor in a guestbook. These are all ledgers. They are documents that keep track of relative events. The difference is, hand-written ledgers are susceptible to human error. The Bitcoin Blockchain is an accurate, digital ledger that records the comings and goings of every single Bitcoin in existence. A digital blockchain exists for every legitimate crypto-currency. |
4. Are Bitcoins really anonymous? |
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For the most part, yes. Bitcoins and Bitcoin transactions provide a high level of anonymity. Every transaction is logged, but the details are nominal. The blockchain does not record names, addresses, social security numbers, or any other identifying information. It only records the Bitcoins and the digital wallets they move between. However, if a tech-savvy person with the right know-how and enough motivation really wanted to know who sent Bitcoin where, they could find out. Remember, Bitcoin is the original crypto. There are inherent susceptibilities, many of which have been resolved by the inception of well-known altcoins. While Bitcoins and altcoins themselves are largely, if not wholly anonymous, some Bitcoin wallets are not. There are two types – public wallets and private wallets. You can surely guess which ones are truly anonymous… Public Bitcoin WalletA public wallet is one offered by a crypto exchange. An exchange works like an investment application, the same as buying and selling shares on the stock market. In fact, some exchange wallets deal in all manner of traditional stocks, crypto, and forex. Like any investment app, you’ll have to sign up an account with all of your real info, linking a verifiable bank account or credit card to use them. There’s nothing anonymous about it. We’ll talk more about the problem with public wallets in a moment. Private Bitcoin WalletA private wallet records no details. You can send and receive coins from and to this wallet without any trace leading back to you. Only the crypto transaction is recorded. For this reason, it’s imperative that you keep up with your Wallet ID and key phrase information. A private wallet is not linked to you in any way. If you lose the ID, you lose the wallet and all the digital coins in it. You won’t be able to retrieve it, or ‘prove it’s yours, based on your identity.
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5. Are Bitcoin casinos legal in Canada? |
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Yes. The online gambling laws of Canada are just ambiguous enough to legalize just about every form of real money gambling, including Bitcoin online gambling. Here’s the short order of it.
You can learn more about the online gambling laws of Canada here: |
6. Is gambling online with Bitcoins safe? |
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Yes, so long as you do your homework. Due to the anonymity factor, you’ll want to make sure any online casinos you choose to do business with are legitimate. The last thing you want is to join a disreputable, unlicensed, unregulated operation that could go rogue any minute, vanishing into the great blue yonder with your valuable Bitcoins.
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7. Are all legal Bitcoin casinos the same? |
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Absolutely not. Just like land-based casinos, or traditional cash-based online casinos, every operator has its similarities and contrasts. They all offer a selection of digital, casino-style games, with real-money betting available to adults of legal age. However, the qualities can differ drastically from there. Some will have a larger game variety, more generous promotions, or a wider selection of digital currencies to deposit and withdraw in. |
8. What casino games can I play with Bitcoin? |
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Any casino game you would expect to find in a land-based gambling hall can usually be played online with Bitcoin. Slot machines, video poker, blackjack, baccarat, roulette, casino hold ’em, big six wheel – you name it, most Bitcoin casinos will provide it. Some even offer live dealer table game action. However, the exact variety of games will often depend on the variety of payment methods provided. An exclusive Bitcoin casino that only accepts BTC – and maybe other crypto-currencies, but no fiat cash – will have a whole different variety of games. You may not recognize any of them, but if you are looking for something completely different, that could be a good thing. Or, they may be the same games you would play at traditional online casinos, developed by a different iGaming software company. Conversely, a Bitcoin casino that also accepts fiat cash deposits will have a more diverse range of traditional casino games, including a large selection of slot machines, but the total game selection will be segregated between “Bitcoin / Crypto” games and “Fiat / Cash” games. Use the following links to learn more about… |
9. Are there any good digital currencies besides Bitcoin? |
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Sure there are. Bitcoin was the original cryptocurrency, and is the most famous, but many others have followed. Most of today’s popular altcoins were created specifically to resolve some flaw or unsavory aspect of the original Bitcoin cryptocurrency. Altcoins can offer anything from lightning-fast transactions, to military-grade security. Some of the better-known options, commonly found in the crypto casino world, include: |
10. Can I switch back and forth from Bitcoin to cash? |
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At some online casinos, yes. Playamo Casino, for example, offers both Bitcoin and real cash gambling. However, this is one of those online casinos that host a separate set of games – one just for fiat betting, and another for Bitcoin betting. At exclusive Bitcoin casinos, like 321 Crypto Casino and Rock N Rolla Casino, cryptocurrencies are the only form of payment accepted. |
11. How do I get Bitcoins? |
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Bitcoins can be acquired in a variety of ways – some more complicated than others. Note that you’ll need a Bitcoin Wallet to store them in. (See How to Open a Bitcoin Wallet)
Want to learn more? Each of the options above are discussed in greater detail here: |
12. Can I make a casino deposit from an exchange wallet like Coinbase? |
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No, you should not use a public digital exchange to deposit cryptocurrency at an online casino. Exchange wallets like Coinbase are not private, which means they are not anonymous. Coinbase isn’t just a way to buy and sell crypto. It’s an investment app. They are strictly regulated and, by law, must record all transactions for tax purposes. Therefore, Coinbase and other public exchange wallets will collect your information. And, due to restrictive gambling laws in some countries, Coinbase and other public wallets prohibit users from sending coins to crypto casinos. |
13. I already have crypto in an exchange wallet. What should I do? |
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Coinbase and other public exchange wallets are not a bad thing. In fact, we often recommend using one, since they offer such a wide variety of cryptos and buying options. The only problem is that you can’t deposit at a crypto casino with it. For Bitcoin casino deposits, you’ll have to open a separate, private Bitcoin wallet – one that is truly anonymous. You can transfer Bitcoins and altcoins from a public wallet to a private wallet, then from the private wallet to your Bitcoin casino wallet. This eliminates all traces of where the coins came went, and ensures complete anonymity of your iGaming activities. |
14. How do I Deposit at Bitcoin casinos? |
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Depositing at Bitcoin casinos is far easier than you might think. Just log in, go to the cashier and choose the crypto-currency you want to deposit with. You will be given a Wallet ID code to copy/paste. This is your personal account balance for the casino. Copy this code, then – in a different browser, if you’re using the web – log into your private digital Bitcoin wallet. Choose to send cryptocurrency to another wallet, and paste in the wallet ID for your casino account. Once you confirm the transfer, it should appear in your Bitcoin casino wallet in 10-20 minutes, tops. |
15. How do I Withdrawal from Bitcoin casino? |
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It’s the same process as depositing, but in reverse. Log into your private Bitcoin wallet, copy the Wallet ID, then visit the cashier of your Bitcoin online casino. Choose to make a withdrawal, select your digital currency, then paste the Wallet ID into the input box provided. Depending on the casino’s policies (and in some cases, whether you’re willing to pay a “small mining fee” to speed things up), the withdrawal could take anywhere from 20 minutes to 24 hours to process. |
Author
Playamo is a specialty casino tailored to players wishing to utilize bitcoins and play in a safe and anonymous manner. It caters to Canadians who use cryptocurrencies and also traditional cards like Visa/ Mastercard. Check the Playamo Canadian deposit options page ->here<- to see if your deposit modality of choice is accepted. Highly trusted, secure, and one of the select few Bitcoin enabled casinos that actually has a license, under Curacao.
Visit http://PlayAmo.com
About the Author
Adalene Lucas: is our jack of all trades here at DBC. She is a skilled coder, gambler, writer and webmaster. She lives in Manitoba where she enjoys the lush landscapes and camping near Tulabi Falls. Nature gives her inspiration to write. When she's not immersed in nature, her favorite words are "game theory". She lives with her husband and their two Labradors, Kophy and Whisper.
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