Cryptocurrencies have gained a great deal of attention within the past several years. Much of this attention has come from the price action, with the crypto world experiencing huge bull runs at various points.
Of course, cryptocurrencies have more functions than just being investment vehicles. Such is the case with Ethereum, which has become one of the most promising crypto projects available.
As you’ll find out, Ethereum is intended to be a decentralized (no one controls it) platform for applications to run on. But it also can be used as a way to make online casino deposits.
Assuming you’re like many other people today, you may be sketchy on how Ethereum and other cryptocurrencies work. Keep reading as I discuss more on Ethereum along with how it can be used at casinos.
What Is Ethereum?
Ethereum is an open-source network that runs on blockchain technology. It was developed in 2014 by Russian-Canadian computer scientist Vitalik Buterin.
Ethereum (ETH) serves as a platform for decentralized apps (DApps) – aka nobody controls them — not even the creator.
One merely needs to learn the Ethereum programming language (Solidity) to get started.
The Ethereum network has thousands of computers running it, making it fully decentralized. These computers (a.k.a. nodes) make sure that DApps deployed to the network run as programmed.
Interestingly enough, Ethereum also has a currency called Ether (ETH). This currency function enables ETH to be used to place bets at online casinos.
One more important function of Ethereum is to carry out “smart contracts.” Programmers write the conditions for their DApp, and the network executes the contract for them afterward.
Why Should You Care About Gambling With Ethereum?
The main thing to love about Ethereum from a gaming perspective is its decentralization. It can’t be controlled by a central government or bank, like most other deposit methods.
If you’re from a country with restrictive banking laws, then you’ll truly appreciate the decentralized aspect.
Ethereum can be used to get around laws that limit online casino transactions.
The US, for example, has a law in place called the Unlawful Internet Gambling Enforcement Act (UIGEA). The UIGEA makes it illegal for banks and other American financial institutions to process unapproved gaming deposits.
However, online gambling isn’t specifically outlawed in most of the US. As long as your payment method gets around the UIGEA, then you’re not doing anything illegal.
Herein lies the beauty of Ethereum because it’s naturally exempt from the UIGEA as well as other countries’ financial laws. Nobody controls ETH, meaning it can be used legally in any country where internet gambling isn’t illegal.
Decentralization isn’t the only advantage to using ETH for gaming purposes. I’ll cover some other benefits that this crypto offers later.
How to Play at an Ethereum Casino
You may find it confusing to use Ethereum at online casinos in the beginning. After all, it doesn’t work exactly like a credit card or e-wallet, which many players are used to.
Nevertheless, you shouldn’t have too much trouble getting started with ETH. Here are the simple steps to take into account when playing at Ethereum casinos.
The first step to gambling with ETH is acquiring it. You can do this by visiting a fiat-to-cryptocurrency exchange, such as Gemini or Coinbase.
You’ll need to register for an account at one of these exchanges and set up a valid banking method. Account registration is like signing up at an online casino, so you shouldn’t have much trouble here.
The deposit process, on the other hand, can be trickier. Some banks and credit cards don’t allow crypto-related transactions.
You should go through and see what payment methods are accepted at an exchange before depositing. As long as you can find at least one usable banking option, then you’ll be able to quickly purchase Ethereum.
Speaking of the latter, you need to select how much Ether you wish to purchase in terms of fiat. For example, you might buy $100 worth of Ethereum, which would get you 0.55 ETH at the time of this writing.
The final step is to verify your transaction and wait for the network to approve it. As long as the network isn’t too busy, then your transaction should be completed within a few minutes or less.
Storing Your Ethereum
You can simply keep your Ether on the exchange where you purchased it. This option is easiest if you’re dealing with a small amount of crypto gambling funds.
The problem with this, though, is that you don’t have complete control over your Ethereum. You have the option to buy, sell, or send the ETH anywhere you want at any time. But the exchange is still technically holding your crypto.
If an exchange suddenly went offline and failed to refund customers, then your Ether would be gone.
Likewise, they could make a mistake with one of your transactions and refuse to make it right.
The chances of these things happening are low when dealing with reputable exchanges. Nevertheless, they are remote possibilities that may convince you to set up an Ethereum wallet.
Storing your ETH in a wallet ensures that you always have control of it. But this also means that you’re in charge of keeping track of the access information.
Again, you may not really need to worry about transferring your Ethereum to a wallet if you’re only dealing with a small amount. But if you want total control over your funds, then you can set up a wallet fairly easily.
Many sites offer step-by-step instructions on creating your wallet and transferring the coins there. Just make sure that you don’t lose the wallet’s access info, or else your Ether is gone.
Making an Online Casino Deposit With Ethereum
No matter if you store your ETH in a wallet or leave it on the exchange, you’ll need to know how to make a casino deposit. This process begins by visiting the gaming site’s banking section.
You’ll then want to select the Ethereum option and generate a wallet address. This is the address where you’ll be making the deposit.
Next, go back to the wallet/exchange and choose how much ETH you want to send to the casino. You’ll be prompted to enter the recipient’s address, at which point you paste in the casino address generated earlier.
Double and triple-check that you have the right address.
Otherwise, you’ll send your Ether to the wrong place and lose it.
After verifying the transaction, you must wait for your funds to arrive at the casino. Generally, you only have to wait ten minutes or less.
Start Playing in ETH or Fiat
Some Ethereum casinos measure bets in Ether units. This aspect can take some getting used to, given that most online casinos measure bets in USD, EUR, and/or GBP.
However, you shouldn’t have too much trouble getting started with Ethereum gambling when considering its close relationship to major currencies.
Other casinos have you deposit in Ether, but then convert it to fiat. You might deposit $150 worth of Ethereum and then have $150 worth of EUR to gamble with.
These gaming sites are the easiest to use because they require no adjustment in terms of betting. You simply make a deposit and start playing in your native currency.
Advantages of Ethereum Gambling
Ethereum offers distinct advantages when it comes to internet gaming. Here are some of the biggest benefits that you’ll gain by gambling with this crypto.
Allows More Countries to Gamble Online
Earlier, I discussed how Ethereum is centralized, meaning no single person or organization controls it.
Even Buterin, who founded ETH, has only owned a max of 0.9% of all Ethereum.
This blockchain platform is free of any government laws or banking restrictions. It can therefore be used in countries that might otherwise not have access to many online casino deposit options.
Subject to Lower Fees Than Credit Cards and E-wallets
The fees for Ether transactions differ based on network congestion. But generally speaking, you’ll pay less to transfer Ethereum than you would in credit card or e-wallet fees.
Ethereum doesn’t involve a financial middleman. Instead, network nodes approve transactions and receive small fees as a result.
You pay far less than 1% of the total transaction every time that you move ETH. Meanwhile, credit cards and e-wallets charge up to 3% of the total transaction.
You can deposit Ether at online casinos without any trail leading back to your name. This aspect is perfect for when you don’t want anybody else seeing your casino transactions.
Traditional banking methods, on the other hand, keep track of all your deposits. A bank, credit card, or e-wallet records every transaction you make. Anybody with access to these accounts can see how many deposits you’ve made.
Deposit Quickly at Online Casinos
Ethereum is one of the fastest banking methods for casino deposits. You can typically expect your funds in ten minutes or less after depositing.
Of course, the wait time can be affected by heavy network congestion. But the congestion usually isn’t bad enough to cause a terrible delay.
What’s more is that the Ethereum team is constantly working on upgrading the transactions per second. The speed at which Ether casino deposits are made will only improve over time.
Downsides to Ethereum Gambling
This cryptocurrency has plenty of advantages when it comes to online gaming. But you should also be aware of the potential downsides before jumping to use this crypto for casino deposits.
You Can Lose Your ETH Through Mistakes
The scariest thing about using Ethereum or any other cryptocurrency for gambling purposes is that you could lose your funds. Sending your ETH to the wrong address is the most common gaffe, and if you make this mistake, there’s no undoing it.
But you can also lose funds by storing them on a shady exchange. Mt. Gox and QuadrigaCX are two exchanges that went belly-up and failed to repay crypto holders.
This is the reason why some cryptocurrency enthusiasts strongly suggest that you store your coins in an online or hardware wallet.
Ethereum Is Subject to Volatility
Volatility is a way of life when dealing with cryptocurrencies. Perhaps this will change in the future, but it’s the reality now.
Sometimes Ethereum can experience a 10% swing or more in price within a single day.
These volatile swings affect ETH gambling bankrolls all the same.
Gambling With Ethereum Requires a Learning Curve
If you’re totally new to crypto, then you’ll have a learning curve ahead of you with Ethereum. I described many of the aspects that you must know to make ETH casino deposits. Nevertheless, this process still takes some getting used to even when you know the proper method.
You may find it especially strange when casinos list your wagers in terms of Ether. In this case, 0.01 ETH bets are the closest to major currencies like USD, GBP, and EUR.
Gambling online with Ethereum may seem a bit daunting at first. However, you can actually get started with less time invested than you’d expect.
The first step is to purchase your Ether from an exchange. Select exchanges allow you to trade regular currencies for Ethereum and other cryptocurrencies.
The next matter is to decide where you’ll store coins. Reputable exchanges like Coinbase and Gemini are fine for storing small amounts of ETH. But you might consider transferring a large amount of crypto to a wallet.
After purchasing and storing Ethereum, you need to figure out the casino depositing process. Visit a site’s banking section to obtain a recipient wallet address.
You can then head to the wallet or exchange where your crypto is stored. Enter the casino address when making a deposit with your Ether.
Once you get the hang of depositing at online casinos with Ethereum, the process should be a breeze. This crypto offers some notable advantages over traditional banking options, including low fees, anonymous deposits, decentralization, and fast transactions.
If you live in a country with restrictive banking laws and need a good way to deposit, then check out Ethereum casinos.
Michael Stevens has been researching and writing topics involving the gambling industry for well over a decade now and is considered an expert on all things casino and sports betting. Michael has been writing for GamblingSites.org since early 2016. ...
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