Crypto Gambling

If you plan to only play on decentralized gambling sites, getting started with crypto gambling is easy. You need a wallet, some crypto, and a place to play.

However, if you want access to premium games and have the best gambling experience, you will want to find a licensed crypto gambling site. And at those there are requirements. You need to be:

• At least eighteen years old
• In a country that does not restrict crypto gambling
• Able to transfer crypto to the gambling site

To prove the first two points above, the gambling site will have you go through a KYC process. You will be required to send in a copy of a valid ID and a proof of residence (a utility bill or similar). Note that many crypto gambling sites do not require you to do this until you request a withdrawal! If you are in a restricted country, avoid using a VPN for access. They will likely accept your first deposit, assuming you are from a legal jurisdiction, only to find out during the KYC process that you are not and freeze your funds.

An internet connection is, of course, also required. A desktop computer, laptop, or mobile phone does not really matter. If you can access a web browser, you will most likely be able to gamble with crypto.

If you fulfill the requirements above, you can start gambling with crypto right away. But the choice of different crypto gambling sites can be overwhelming for a beginner. How do you know which crypto gambling site to choose? That is where our crypto gambling guide comes in.

Crypto gambling sites are places online where you can play gambling games or bet on sports, preferably both. At an absolute minimum they require a wallet to keep your funds and a way to interact with gambling games or place bets.

Within this simple definition hides an interesting fact. There are degrees of decentralisation among crypto gambling sites.

• On one side, we have old fashioned gambling sites that have simply integrated crypto as a payment method.
• On the other side of the spectrum, we find gambling sites that provide an interface to interact directly with smart contracts containing the game code.
• In between, we find a mix.

Here at CryptoGambling.com we broadly define gambling as something where chance rather than skill determines the outcome. Gambling games can still have elements of strategy, like poker and blackjack, but there is never a way to predict the outcome with 100% certainty.

We have also made the choice not to get into an argument about what constitutes crypto. Bitcoin maximalists will tell you that there is only Bitcoin (BTC), and everything else is "crypto". Eth-heads will call Bitcoiners delusional dinosaurs, wasting time and resources on outdated technology. Both call Solana VC-funded trash and BSC a centralised s#!t-chain. We do not care. If there is something resembling a blockchain and it can be used to access gambling games, we will cover it here at CryptoGambling.com.

There are three main models when it comes to connecting a blockchain to a gambling site. The first and simplest is when cryptocurrencies are supported as a payment method but converted to fiat as soon as it land on the gambling account.

Non-custodial crypto gambling

The second model sees the gambling site integrate a wallet solution that allows you to hold different cryptocurrencies on your account. And play using these, although game dependent; Premium online slots force the provider to denominate bets in a fiat of choice (done with the click of a button). While provably fair games are denominated in crypto.

This is a non-custodial solution and the wallet is not under your complete control. When you request a withdrawal, for instance, it has to be confirmed by the gambling site. Numbers move around but nothing really happens on-chain except when withdrawals and deposits happen.

Fully decentralized crypto gambling

The third model is a fully decentralized one. On these gambling sites your self-custodial wallet is interacting directly with smart contracts containing the rules of the gambling games. Here, the gambling site in question is an interface used to send instructions to smart contracts.

With the rise of cheap and fast scaling solutions, this type is gaining traction. A problem here is counter-party risk. Who will pay when you win? This requires liquidity, but with protocols like GMX this problem has been solved, although there is still room for improvement. This model also allows us to own the protocol and receive a share of the revenues.

When most think of crypto gambling in general or bitcoin gambling in particular, we think of dice games. It is much more than that, even if you refuse to touch centralized gambling games. The suite of Provably Fair games includes some ten titles today, with Crash and Plinko style games being the most popular.

If you are willing to stray into centralized territory (games hosted by private companies) there are thousands of online slots at your fingertips. Live casino can also be played with BTC, but alt-coin support is still somewhat limited. Check out our games section for all crypto casino games imaginable, and guides to them.

Looking beyond the online casino offering we find sports betting, lotto, raffles, and the crypto gambling site exclusive: leveraged futures trading (something traditional online gambling sites do not dare to touch). Online poker against other players is also something worth exploring for those that want to add a touch of skill to their gambling.

Being able to interact with gambling games is of course just a start. The interaction needs to be delivered in a safe way and tastefully presented. When we review crypto gambling sites these three points have proven a good gauge of how well they hold up:

• Ease of use (menu selection, speed, sense making)
• Game selection and how it is presented (gambling products, jackpots, categorisation)
• Cashier and accessibility (supported chains, wallet integration, KYC process)

Crypto gambling rewards and extras

Welcome bonuses for crypto gambling is one way to initially stand out, but they have their limitations, and judging a gambling site on its bonus alone is never advisable. VIP and loyalty systems are a different beast, and these can really make a difference. Blockchains and crypto offer almost endless potential here, although yet to come to full fruition. Imagine for example:

• Native token as on-chain player points.
• Staking in return for casino revenues of other perks.
• Marketplace to exchange player tokens for bonuses, NFTs, and more.
• NFTs as proof of VIP level with specified perks.

There are also recurring promotions to consider. And gamification aspects such as challenges and tournaments. Cashback and rakeback. Value added can come in many forms and will compound over time. Luck will still determine if you are a winning crypto gambler, but every satoshi saved is valuable. All of the above will weigh heavily on our crypto gambling site ratings.

With the above said, here are three concrete tips for those who want to get off to a good start on their first visit to a crypto gambling site:

1. Choose a crypto gambling site without a bonus. Bonus rules can be complicated and can ruin the experience. Choose a casino without welcome bonus or at least one where the bonus has no wagering requirements.
2. Play popular games. Most gambling sites have a "popular" or "hot" games section; these are proven and perfect for new players to explore.
3. Keep stakes low. Gambling games are very immersive. Time flies and small stakes quickly add up. Set limits and stick to them. When you think Just one more go, it is probably time to stop.

The arguments for and against crypto gambling are similar to those in the debate about centralization vs decentralization, fiat vs cryptocurrencies, and to some extent liberty vs servitude.

In one camp we have the freedom loving, laissez-faire crowd arguing for the absence of central control. And on the opposite side we have governments and regulators that wants to control and restrict us, often under the guise of protecting us from our bad habits, and unscrupulous gambling companies and scams.

One should not downplay cryptocurrency risks, and the issue of gambling addictions is very real and should be taken seriously. In the end this boils down to a matter of responsibility, and in the crypto gambling world it will fall on us, rather than a central authority, to make sure we gamble safe and responsibly.

Pros of Gambling with Cryptocurrencies

1. No middlemen or delayed payments. Since no banks or payment institutions are involved, there is no one that can freeze or deny us our funds. It also makes withdrawals available on weekends and holidays.
2. Semi-anonymousness. Although many crypto gambling sites do require KYC, we still avoid many prying eyes. Our bank cannot see that we have gambled. Same with our credit card issuer. And indirectly also our local tax authority.
3. Provably fair game outcomes. Random number generators are "certified" on traditional gambling sites, but there really is no way for us to control this statement. We must take their word for it and assume they are telling us the truth. With provably fair games we can independently verify all outcomes.

Cons of Gambling with Cryptocurrencies

1. Poor consumer protection. If we are treated badly or right-out scammed, there is no central authority to turn to – many sites are acting in a legal grey zone. On completely decentralized gambling sites it should be practically impossible to be cheated, as the smart contracts will not allow it. But many crypto gambling sites are hybrids, and the operator can likely on a whim close our account or refuse payments.
2. Many bad actors. The crypto sphere is rife with scams, and gambling have historically also been plagued by bad actors. Combine the two and the result is a landscape that can be hard to navigate safely. This is a big reason for why we created CryptoGambling.com.
3. No tools to limit behaviour. Although traditional gambling sites have been known to prey on vulnerable users, mainly by luring them back in with phone calls or crediting them big bonuses, many take gambling addiction seriously and have tools and routines in place to deal with it. At crypto gambling sites, very few take the issue seriously, and many are vicious in their marketing efforts. Even after we have lost life changing sums.

Dreaming of the big win is one thing, but you should be well aware of the odds you have when gambling with crypto. It is all very simple: the bigger the potential win, the smaller the chance of winning it. A maximum win of several thousand times the bet in crypto slots is very rare.

Let us demonstrate the range we are dealing with in terms of payouts and odds:

• Getting a straight bet right on European Roulette pays 35 times the bet (1:35) and is expected once every 36 spins (1:36)
• Hitting the Euro Millions lotto jackpot (winning millions) the odds are 1 in 139.8 million (1:139,838,160)
• On the popular San Quentin online slot, it is possible to win 150,000 times the base bet in one round. According to No Limit City's simulations, this happens on average 1 time per 1.8 BILLION spins (1:1,800,000,000).

A small chance does not mean no chance, but keep your expectations within reason. A recent trend in online crypto slots is that they are very volatile (fewer but bigger wins). Most likely because that is what players desire. We want to win a lot or nothing at all.

To be clear, volatility is not really a measure of maximum win; it is more a measure of deviation from the expected payout (House Edge) over a short period of time, but it often correlates with big win potential. It is a valuable concept to know in order to manage one's expectations.

For different types of slots, it is fair to assume a maximum win somewhere around the following:

• Low variance slots: up to 2500 times the stake
• Medium variance slots: up to 5,000 times the stake
• High variance slots: up to 10,000 times the stake
• Extreme variance slots: up to 50,000 times the stake (a few odd titles up to a staggering 300,000x)

Walking away a winner gambling with crypto

In the long run, the odds are always stacked against us at crypto gambling sites. You have probably heard the expression, The House will always win. But there is one important aspect that can never be taken from us: we can always stop playing, unlike The House, which always must accept our bets.

The more we play, our chances of walking away as winners decrease. As more rounds are played, the likelier the theoretical payout (House Edge) is to become a reality. One reason crypto gambling sites are profitable is that we never leave on time. To win, we need to take advantage of short term fluctuations.

• Withdraw winnings, at least partially
• Never bet more than 1% of your gaming budget in one round (obviously difficult when you're down to your last hundred DOGE, but it's a good rule of thumb).
• Set limits and stick to them (both in terms of time and budget).