Bitcoin: the currency, earning and using, security, online gambling sites to use bitcoins on
Bitcoin deserves special presenting, because it is an unusual currency and payment method. First, let us clarify that it exists in digital form only. That is why it is called cryptocurrency, virtual currency, or digital currency. Then, let us add the advantages that have enabled it to quickly rise to prominence: fast processing of transactions, with no need to go through banking details, plus anonimity. We will dwell on these advantages below as well, but even after you have read in short about them in the introduction, you already know bitcoins are a great way of payment for online gamblers.
Bitcoin origin and nature of transactions
Bitcoin has been around since 2008, but released in 2009. The payments made via it are from peer to peer, and do not go through an intermediary. The transactions are recorded in a public ledger termed blockchain. In the blockchain, the units are bitcoins.
The bitcoin unit and its subdivisions
The symbols used for the bitcoin unit are BTC or XBT. There are, too, subdivisions, smaller subunits, called millibitcoin and microbitcoin.
How you own and spend bitcoins
You own bitcoins via a special wallet. To spend them, you can use the specific address at which your wallet is located. You will carry out the transaction via the private key for this wallet. You must store the private key, which is a long string of symbols, because if you lose it, the network will not recognize any other means of identifying your ownership. Then the bitcoins stored in your wallet will be lost, because you will not have any means of using them, and neither will any other person.
How you can earn bitcoins
You can earn them via mining, which will be explained in the next lines, and the work you do will be rewarded with bitcoin units. Other ways of earning these units can be via exchanging for another currency, or products, or services.
What is mining
When people send bitcoins, there are other people who keep track of these transactions, confirm them, and write them into the ledger. This is called mining.
Online merchants accepting bitcoins
Merchants accepting these units are growing in number. Just in the beginning of 2015, their number passed 100,000. The incentive for accepting this payment method is the absence of transaction fees, or imposing of much smaller ones compared to the fees for credit card using payments.
As we mentioned above, a wallet is the storage space for bitcoins. The spots where the bitcoins are stored in the individual wallets form part of the blockchain ledger.
There are three major types of these wallets: software ones, online ones, and physical ones.
- Software wallets: they connect to the network via which the bitcoins can be spent. There are two subtypes of wallets here: full clients and lightweight clients. The former directly verify the transactions on a local copy of the whole The latter enable faster transactions, because they consult a full client for transactions without the need of a local copy of the whole blockchain.
- Online wallets: you can set up one on a provider of online wallets.
- Physical wallets: with it, you will store the credentials needed for spending not online, but offline, for example as printouts on paper.
How you can purchase and sell bitcoins online and offline
To buy and sell these units, you can find an online exchange, where there are bids organized. But there is a certain risk attached to that.
Offline buying is possible from individuals selling them, or from special bitcoin ATMs. These ATMs are different from conventional ones, they are connected to the Internet, and you insert cash into them to get bitcoins. You must, however, note, that the fees for that can be very high. Most such ATMs are in the United States, and for 2016 the total worldwide number of such machines was reported to be over 800.
How bitcoins are accepted worldwide
The advantages of bitcoins which simplify transactions and offer transparency have attracted more and more merchants. The lower fees, or lack of fees, for transactions that they pay are a definite asset. Among the online merchants accepting bitcoins are PayPal, Microsoft, Dell, Overstock, TigerDirect, and other companies. Out of nonprofit ones, we can mentioned Greenpeace, Mozilla Foundation, Wikimedia Foundation. A university, the one in Nicosia, joined them in 2013, as the first university to accept bitcoin payments. There have also been attempts to include this cryptocurrency in banking. A bank opened to convert currencies directly into bitcoins, with no fees for the conversion, was opened in the US, in Boston, in 2014.
The privacy you get with bitcoins
On the one hand, when you pay using bitcoins, you will use an address, not your name or personal data. On the other hand, the transactions on the blockchain are public. As for bitcoin exchanges, there is no personal data used for buying and selling there, but laws can require personal information collection related to the transactions carried out.
Privacy can be achieved if a new address is generated for each new transaction. Different wallets have different means for generating new addresses for each new transaction, so your privacy can be maintained high. You will only need to remember a passphrase with which you will recover all the private keys for the wallet.
The price and the volatility of bitcoins
It is pointed out that bitcoin as a currency has a high volatility. It is 7 times as high as that of gold, and 18 times as high as that of the US dollar. Experts say that the volatility is due to its short history, and because people are still on the experimenting stage with it. The good news is that its stability is starting to increase, as The Wall Street Journal stated in April 2016.
But in gambling, like in international remittances, volatility is not a factor which matters.
Security of bitcoin
As we already pointed out, there are several means which serve to protect the security of transactions with this currency. One of these is the key that a user has for his or her wallet.
Public private key cryptography protects users from unauthorized spending. When a user sends another user bitcoins, they can do so only when knowing the recipient's private key.
Some people are afraid of double spending problems, that is, paying the same coins to different recipients. That is dealt with in the following way. The transfers are all recorded in the public ledger, which is visible to all users. So it is clear if the bitcoins transferred have already been paid to another person.
Furthermore, the merchant receiving the payment must wait for the confirmation of the transaction, and only having received that confirmation he or she can be sure the payment was really made.
Having in mind that there are over 2.5 million users of this service worldwide, the cryptocurrency has a great potential for being used in gambling. Its perks are anonymity, faster transactions, small fees, which are key ones for online gamblers. Furthermore, bitcoins are not subject to inflation. If you want to try gambling via bitcoins, first you need to get a wallet for them. Your bitcoins will be stored there, without maintenance fees, so the wallet is a better alternative than banking services. Just be certain to keep the key for the wallet, because otherwise you will lose the wallet and the bitcoins in it. You can get an online wallet from a web based provider. You must also know that some providers will enable you to back up your wallet. That is a great advantage if you are new to the world of bitcoin payments.
The most popular forms of gambling using bitcoins are in live dealer games, the vastly popular video slots, and also poker games. You can use them in sports betting as well. As you start gambling on online sites, you will find welcome bonuses for new users on most of them, and they extend bonuses for existing customers as well. You can even double your initial deposit, which is highly attractive and beneficial.
You can check if an online gambling site operates legitimately with respect to bitcoin gambling by looking for evidence of provable fairness. We recommend that you first look for provable fairness evidence before you start gambling: this evidence will show that the odds are not highly against players on that site. Your rule of thumb when you want to gamble online with bitcoins should be to make your decision based on reliable and unbiased information. You can use information provided in reviews of bitcoin gambling sites, and opinions of punters who have had experience on such sites.
The list of best bitcoin gambling sites for 2017
Below is a list of the best sites where you can gamble with bitcoins, for the year 2016. There are, too, other sites available for bitcoin gambling, and new ones are appearing as well.
Sportsbook choice with bitcoin acceptance – 1XBit
There, you will find many perks to draw you to gamble and win. Start with the parlay bonus, then explore the large number of live events for betting on them, and add the instant withdrawals.
This site started with sports and predictions gambling using bitcoin, and offers also an online exchange. You can make your predictions against other gamblers, using bitcoins as well. You can create your own events, too.
If you prefer to bet on the weather, the temperature, the wind speed, the pressure, do that with bitcoins on WeathBet. You can also use Litecoin or Dogecoin. You can make your bets on a multitude of cities, over 5,000. This is a provably fair site. The weather conditions data are provided by official weather stations, and, too, by the International Weather Service.
Offering provably fair games, it offers no minimum deposit. There is no minimum withdrawal limit either. The opening page invites you to “join the tycoons”. This is a casino with a 100 percent bonus and 50 free spins as a welcome.
This is a casino with over one thousand games, live dealers and multiple languages. Add to these perks also instant withdrawals.
This is a site to visit for slots playing. It has provable fairness, and the welcome bonus can reach 3 BTC, with 100 free spins added. Select from over 1,000 games there.
This is one more choice of a provably fair casino. A further perk for you can be its acceptance of Ether, Monero, and Litecoin along with bitcoins.
Bitstarz Casino – your choice for poker gaming
One more provably fair casino. Its motto is “Dream big, win bigger”. The bonus welcoming you is 5 BTC plus 200 free spins.
The full name is SealsWith Clubs. No personal information is required, to play poker games there. Bitcoin FAQ information is available, together with SwC Poker rules.
On this casino, you will find Blackjack, Roulette, Craps, to play with bitcoin bets.
With opportunities for bitcoin gambling, this casino even has its own digital currency, too. It is called GameBet Coin.
A relatively recent casino, but so is bitcoin gambling. You will be attracted to it if you favor the old school style in gambling.
Bitcoin Casino with SoftSwiss license
You will find around 1,000 games, and rely on the protection provided by SoftSwiss gaming license.
This casino bundles provable fairness with anonymous registration, and, too, popular games to play. You will love the instant payouts and a house edge of 0.5% as the highest.
SatoshiDice – for dice rolling
You will like the simple interface, the low house edge, and most of all the capability of SatoshiDice to give free bitcoins to users.
The great layout, the low house edge, and ease of use will draw you to this site.
You can use bitcoins here, too, to play games like Satoshi Bones, a dice one.
Here, low edge for the house will welcome, plus no registration required for playing, so you can start instant playing. It is a provably fair one. It is cryptographically verifiable. All the bets are off the chain, instant, and can be as low as 0.00001 BTC.