Bitcoin Forum

Online casinos have another good reason to warm to the digital currency BitCoin after one operator this week (January 21st) reported a profit of $596,000 (£376,400) because of the denomination.

The industry has seen a dramatic increase in the use of BitCoin since late in 2012 when gaming websites realised the potential of rewarding players with currency that does not have to go through politicians or banks.

Explaining the attractiveness of the payment method, industry insider Larry Taad said: "Users don’t have to trust us with their funds any longer than necessary."

It is predicted that online casinos will continue to bet heavily on BitCoin.

Bitcoin Casinos Set to Flourish

One Bitcoin based casino has reported fourth-quarter profits for 2012 of hundreds of thousands of dollars after just six months of operations.
Bitcoin Casinos Set to Flourish

Results from 2012’s fourth quarter show casinos using Bitcoin as a payment system are making significant profits.

SatoshiDice, which has servers based in Ireland, is basically a game where the player chooses a number and then bets on the chances that the next ‘rolled number’ is higher than the one they’ve picked. If the number is higher, then they win, however, the house has a 1.9% edge.

This simple online dice game has made £375,626 profits last year between May and December. During that period players placed a total of 2,349,882 bets.

A second casino, bitZino, has not published a profit and loss statement; however, it did say that it paid out £311,000 and 3.2 million wagers were placed in the second half of last year.

bitZino’s founder, Larry Taad, said that the advantage of using Bitcoin is that “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!”