Bitcoin Casinos Rake in Big Bucks
According to self-reported financials, SatoshiDice’s profits from May to December came in at around $596,213 (US); while bitZino reported profits of $495,000 from June to December. Those are pretty impressive numbers from start-ups that operate well outside of the traditional Internet gambling space.
Bitcoin is a decentralized, open source, peer-to-peer, online currency that’s used for everything from gaming, to illegal drug purchases. Users purchase Bitcoins from online sellers and redeem them at for cash through online exchanges. The system works on the same principle as bit-torrents
For online casinos, Bitcoins are a discreet method of offering gambling to worldwide audiences without the hassles, and expenses, of working with traditional payment processors.
Players who use Bitcoin at online casinos like bitZino, which offers all the standard table games, can lay down cash on the table just like they would at a land-based casino, without depositing funds with the site.
According to bitZino CEO, Larry Taad, that flexibility is very popular with players:
Users don’t have to trust us with their funds any longer than necessary. If you compare this to traditional online casinos, which can take weeks to send you your winnings, the benefit is obvious…Frictionless, non-reversible, zero-fraud payments—you can’t ask for a more perfect payment system!
As it stands today, Bitcoin casinos are operating in a legal grey area that may be tough for regulators to truly get a handle on. The rise of Bitcoin casinos could produce some big shifts in the gambling industry as we know it.
What do you think of Bitcoin casinos? Share your thoughts in the comments section below.