Bitcoin Forum

Hey all got a question.  I know you should not be sending directly from sites like coinbase directly to gambling site because coinbase can close your account.  I read this happened to many people.



Now one question i have about this.  There is one gambling site that i use.  I have sent btc to deposit and withdraw with btc with that same btc address.  Now i have a friend who i sometimes sell btc to and then he would send me bank transfer.  He would need the btc so he can deposit it into gambling site.  So what i do is then send it to his btc address.  Then he send it to gambling site.  I know what site he uses because i recommended it to him a while back when he wanted to know what site is good.  This is with btc gambling site number 1 lets call it.  He told me his coinbase account got closed not long ago... reason is pretty obvious, it was most likely because he sent directly from coinbase to that gambling site without it going through an intermediary like blockchain or electrum.



He wants me to send him btc again as he would transfer me money via money transfer.  He then gave me the btc address he wants me to send to which is directly that gambling site's btc address.  This is another gambling site but I have an account on that site as well.  Lets call that gambling site number 2.  Then i thought... well i also have an account at that same gambling site.  This was also the same with the other gambling site number 1 he use to send btc to but i would send from my wallet to his coinbase and then he send directly to that gambling site.




But in this situation, would me sending btc directly to the btc address that gambling site wants him to deposit btc into be an issue because



1.  They see the btc is coming directly from my btc address as a deposit and I deposited btc many times with this btc address?  I know btc transactions are not anonymous.  So it might look like i have multiple accounts because of this reason?  The guy likes to bet on sports which is why i would sell him btc for bank transfer many times.


Or this should not be an issue at all?


Or its best if i send the btc to another one of his btc address?  He did tell me he has an exodus btc address.  So better safe to send btc to his exodus btc address... then he send to that gambling site right?

If you want to be better safe than sorry, just use coinbase to withdraw to your own BTC wallet and send him your coins from there. It's not difficult and you should probably make it a habit to not store coins on coinbase but in your own wallet that you control, then you wouldn't have to worry about this.

The whole situation really depends on the interpretation of the gambling website. If you are using the same exact address to deposit to different accounts, it could seem like you're having multiple accounts. If they're reasonable enough, they should be able to tell that you're different people by the IP addresses, withdrawal addresses etc. They still have the rights to assume that you have multiple accounts based on the input address alone.

Sending the coins to another address before sending it to the gambling site does not break the linking chain at all. Your coins can still be traced back to the origin address. If you want to remove any linkage to the original address, you can use a mixer like the one in my signature. It makes tracing the origin of the coin much more difficult and nearly impossible.

Hi there.  I keep btc in my own wallet.  i don't use coinbase.  So it would be from my personal wallet.  The thing is back then i always send btc to his btc address which he tells me was his coinbase wallet.  But he then sent the btc directly to a gambling site directly.  That is what got his coinbase account closed. 


And since now he wants btc, he said could i send btc directly to another gambling site since his coinbase account got closed.  Then i thought... wait a minute... i would be sending btc directly to the address shown for him where they ask him to deposit into this account.  And i previously had deposited btc into that same site a while back with my same btc wallet.  So i thought, would it look a bit like I opened a 2nd account in that gambling site since btc deposit would trace to my address?  Like would their system detect something like this such as okay this person who deposited btc into this site, this address has been used before as deposit from another user.  Does that make sense?


I get what you mean sending coin from one address to another before sending it to another gambling site does not break the linking chain at all.  But well they would see when he deposits btc into the gambling site account, well its coming from his ip address and not mine.  Does that make sense?  Now if i was depositing directly into his gambling account with btc, then it would show my ip address.  Well i dont want to use mixer, i never did and dont want to make it complicated.


But based on what i describe here, more safer me sending my btc from my wallet to his exodus btc wallet first and then he send btc to gambling site right as oppose to the 1st option?


Would me sending btc directly for him probably be an issue?  Yes i thought to myself... wait a minute, this might look like im opening multiple account etc.

Your told a very complex history , but all those details doesn't really matter.

You need to understand that all your traffic related to coinbase cannot be linked to gambling activities.
So, when you withdrawal from coinbase use always the same address. Keep this address clean.

When you are dealing with gambling, use other addresses.
If you need to use some BTC you bought at coinbase, you need to mix those coins first.

Just move those coins to another address, and use a mixing service before sending those coins to a gambling site.

And when using coinbase again, just create a new address.

I think this is a safe strategy

It's not uncommon for coins to originate from the same place even if they are for different people. I doubt any legitimate gambling sites actively trace the addresses for linkage.

Why would it be? Are you using his account to get the deposit address? Unless you're accessing the gambling site directly from your own computer, the IP address won't be linked. Bitcoin transactions does not have IP addresses linked to them. Using a mixer is really not complicated at all and it's really useful to get rid of tracing.
It's of course better to take the longer route. It probably won't be an issue but its good to be safer.

Bounce your coins from one address to another (brand new addresses) a couple of times. You give the coins enough "hops" and coinbase or other custodial services don't really bother digging deep enough to close your account. Use your own wallet like either Bitcoin Core or Electrum to make new addresses. Also, use native segwit addresses (the ones beginning with bc1qxxxx), I think they don't really track those yet, at least not automatically.

Are you gonna trust this man ? Seriously ? With respect to your BTC , you understand that right that scams are so frequent in this thing he might  be someone who will disappear after you send your money in your account .
Never trust anyone with your BTC even if he is your best friend .
Also you can just use a segwit address and then directly send the Bitcoins or .. make multiple accounts using different ids and all .

First thing avoid using gambling site wallet for purpose like money transfer,why not create a private wallet like electrum with segwit which could provide you lesser transaction fee than any gambling site do and also your coinbase account and gambling site will not face any issue if you use a median wallet which could be temporary if you are not going to help your bitcoins longer.

Coinbase will close your account if your account related with gambling activities with no more appeals or questions so keep yourself clean if you want to keep your coinbase account usable.

Everyone seems to be over-complicating this with hypotheticals and unknowns. Why don't you just email the gambling site's support and ask them directly? That's the only way you will get a definitive answer - everything else is just speculation.

You could even create a new email address to email them from so there is no link to your current account if you were really concerned that even asking the question might make them think you are using multiple accounts.

I've heard reports of some services tracking coins up to 10 transactions back. If you really want to "break the chain", then use a mixer.

He wants to have btc deposited into a certain gambling site.  He sent me screenshot of the btc address where it says deposit x amount of btc to this address.  So its like i would be making the deposit for him from my btc wallet.  Previously i would send btc to him and the btc address he gave me was his coinbase.  So to me, this is not a problem.  But he then sent directly to another gambling site etc... which got his coinbase account closed.


Now i said, the other thing would be me sending btc from my wallet to his exodus wallet.  Then he deposit btc from his exodus wallet to that gambling site btc address given to him by that site.  I wanted to know, do i need to take this step as oppose to sending btc directly into his gambling account.  Because my issue is... i also have an account and that gambling site as well where i previously deposited via btc from my same btc wallet.


So basically i have 2 options.  The first im concerned if the site would think its me having 2 accounts.  But im pretty certain his account was already verified etc.  And the other option of sending it to his exodus wallet and then him depositing btc to that site, then well it would be no problem for me because when he does that, he would be sending btc directly from exodus to that site... yes i know there is still a chain... but it would be from his ip address... not mine.

To make it clear why not you directly ask the gambling support this issue and which address they are commonly used. Custodial wallets are sometimes strict in receiving the fund but I don't know in your story how they can track that the bitcoin address you use fro Coinbase. If the custodial wallet was in strict then, therefore, use an open-source wallet. Here is my friendly advice, you must ask the gambling support regarding this matter and then try to use the Coinomi bitcoin wallet because you can use multi-address the legacy or the Segwit address. Because sometimes the gambling site did not allow to use Segwit addresses. This problem of yours is very simple.

It is trivially easy to alter your IP address with a VPN or Tor, or simply using different connections (WiFi and mobile data, for example). You can connect via two (or more) IPs from the same device at the same time. Different IPs are by no means proof of different users, and the same IP isn't proof of the same user.

Depositing to two different accounts from the same address certainly looks suspicious. Whether or not this will result in your account(s) being locked is entirely dependent on the site in question. No one here can answer that question for you. You should email the site's customer support as I suggested above.

There's no problem about that, I guess? Because you send BTC to a personal address not directly to the gambling site. The address where you send your Bitcoin is none of their business because it's out of their jurisdiction since the address is not generated by coinbase. Also there's so many options to send Bitcoin directly to gambling without getting noticed man. Create new wallet on private wallet like spectrum and then send Bitcoin there and voila! You can now send Bitcoin directly to gambling site.

That's what mixers are for. It requires an extra step of course to get your coins to reach the gambling site, but you still get to use your Coinbase account comfortably.

It's so fucked up that banks can just demand an exchange to abide by certain very unfair and strict rules, but an exchange has no choice but to follow as they don't want to lose their precious bank accounts. IIRC, Coinbase applied for or was planning to apply for a banking license, but thus far there has been no news from their side regarding this license.

It would be super good news for everyone using Coinbase because it will allow them to stop demanding from people that they avoid certain sites/services.

look at the site terms. are multiple accounts prohibited? lots of gambling sites don't care, in which case this type of activity wouldn't be a red flagged no matter what.

like o_e_l_e_o said, we don't know the site in question or their internal policies so no one can give you a firm answer. if you stated which site, maybe we could help more. chances are you have nothing to worry about.

here's the bottom line: when in doubt, include a couple extra hops between your transactions. make deposits like this from a new address. (you shouldn't be reusing addresses anyway)

Extracted from Coinbase user agreement

APPENDIX 1: Prohibited Use, Prohibited Businesses and Conditional Use

Gambling: Lotteries; bidding fee auctions; sports forecasting or odds making; fantasy sports leagues with cash prizes; internet gaming; contests; sweepstakes; games of chance


I would be extremely careful, a google search for Coinbase & gambling will show you Coinbase has technology that tracks a number of hops (addresses) and have shut down a countless number of accounts for Betting and gambling. Be extremely careful. They could ban your account with ease just off suspicion.

Coinbase user agreement source: https://www.coinbase.com/legal/user_agreement

So, his account was closed because he used Coinbase to directly send funds to a gambling site?

But you have these funds in a personal bitcoin wallet (but these funds are from Coinbase), and you are going to send those funds to his gambling site address? If it's the same address where he get depositing to before his account was closed, I'd likely avoid that in case they track 2 sets of transactions, but I honestly don't think they care or have the time to care about it.

If your scared, worst case scenario, go deposit it in a mixer and then you'll be safe.

Is Coinbase allowed to close accounts related to gambling? Is there a line in their TOS for this, it sounds pretty harsh.

The OP didnt mentioned the gambling site in subject but the last time I checked every crypto gambling site don't support multiple account and I will advice the OP to send the BTC to his friend exodus wallet while he make the deposit by himself or else if you send the BTC through the address you once use for the gambling site, your account will be block.

To be safe, neve link your address to any gambling site because your account might be frozen because of it. The wallet I use also doesn't allow users to send or receive funds in any gambling site, that is why we transfer our funds first to a different address before sending it to the gambling site.

You are getting things complicated, it is better that you first read this guide (https://bitcointalk.org/index.php?topic=5146241.0), and then decide which method is best for you, if you decide to use a Bitcoins mixer service here you have a list (https://bitcointalk.org/index.php?topic=2827109.0) of legitimate Bitcoins mixers services updated in 2019

It is also highly recommended that you read the privacy (https://en.bitcoin.it/wiki/Privacy) section in the Bitcoin wiki.

---

urls:
[Guide] Decent mixing methods - By theymos (https://bitcointalk.org/index.php?topic=5146241.0)
2019 List Bitcoin Mixers Bitcoin Tumblers Websites  - By LeGaulois (https://bitcointalk.org/index.php?topic=2827109.0)
https://en.bitcoin.it/wiki/Privacy

Well, to cut the chase or the story short, I think you just answered your own question. I am confirming and recommending this best option as this can be the safest way for both parties. Why go through the hassle and then develop that feeling of doubt if what you are doing is right or wrong and what are the possible repercussion when there is that safe way to do it?

I am really amaze how come Coinbase is blocking accounts which send cryptocurrency to gambling sites? Is there a law in USA prohibiting such an act? Can someone clarify this thing for me...

Okay so lot of you seem to be very confused with the details.


I get btc from gambling sites.  I withdraw btc from gambling sites.  I have a coinbase account but i haven't used it because of an issue.  None of the btc i have goes through coinbase.  The person who i sell btc to for bank transfer, he told me last time his coinbase account got closed because he sent directly from coinbase to a gambling site.  Example i sent him bitcoin from my bitcoin wallet to his coinbase bitcoin address.. which is no issue because my btc wallet is my own wallet.  Then he sent the btc directly to gambling site.


The thing is he wanted me to send btc directly to another gambling site account but me send it directly because he no longer has coinbase account.  But he did tell me... you can send it to my exodus wallet instead.  So i thought its probably safer that way right?


Also the gambling site that he wants to deposit btc into, i also have an account in that site as well but i had an account a long time ago.  I also used btc to deposit/withdraw from that site.  But i thought if i deposit btc into that btc address that gambling site ask him to deposit into, i wanted to know... would they be able to tell wait a minute.. the btc coming into us is coming from a btc address that another user previously have used to deposit btc into his account many times.  Does that make sense?  The thing is could they flag that somehow? 


Then again... shouldn't this not matter because i thought of another thing.  Let say some ppl withdraw btc from another gambling site and want to withdraw btc.  Instead of having that gambling site send btc to their btc wallet like electrum or exodus, imagine they have that gambling site send btc to another gambling site they want btc at.  If that is the case, wouldn't that mean that other gambling site would notice they receive btc from users who use the same btc address assuming the other gambling sites pay out btc from the same btc address to their customers?


Also about the mixer thing.  So how long does that take and how much money does it cost extra?  Let say for example i want to send btc from my wallet to a site or say coinbase.  I want it mixed.  How long would this process take and how much would it cost extra?  Its just another btc sending fee and thats all?  So that mean when btc goes to other wallet such as coinbase or anyone, they can't see it originated from my btc wallet?  Then what will the history look like?  Wouldn't it also look fishy to coinbase though because it would look like the transaction is fishy if it was used through a mixer which could have them freeze your account?

That's because the thread is now attracting the Cryptotalk spammers who don't actually read your posts or the replies before spamming. You can safely ignore them all.

Yes, yes, and yes. Yes, they will be able to tell the same address is depositing to two different accounts, and yes, that might be enough to flag the account. As I've said already, no one here can tell you if they will definitely flag the account, as without the name of the gambling service, we don't know what their policies are. The only way to get a definitive answer is to look at their Terms of Service and see if multiple accounts are mentioned, or to email their customer support.

Sure, but it is trivially easy to look at an address on a block explorer and be able to differentiate between a personal address and the hot wallet of some large exchange, gambling site, or other service.

If you use ChipMixer (which you should) then the fee is whatever you want it to be (pay what you like/donation) and it only takes as long as the transaction does. The mixing is essentially instant.

Correct. If you use a good mixing service, there will be no obvious link between your original wallet and the coins you are depositing.

Only Coinbase can decide if mixed coins are "fishy" enough to warrant account closures.

Actually, same thing has happened to me. I was sending and withdrawing from gambling so as well as faucets until one day I got a notice from coinbase about closure of my account. I had to remove everything there and moved to a new wallet, but that was long time ago.

Basically, I would advise you get another wallet that you'll be using for such transactions, rather sending to the gambling site directly, you send it to the wallet and from there to the final destination. Same thing for withdrawing. Better safe than sorry.

Can you name the gambling site? Is it a "bitcoin specific" gambling site, as in, all balances are denominated in bitcoins, or is it a regular online casino that simply accepts bitcoins but denominates everything in fiat (dollars)?

Usually, the bitcoin gambling sites do not care where the coins come from. If coins are received at any of your deposit addresses, your account is credited. That's slowly changing as even some of the older bitcoin only sites are now getting licenses from whichever country they can get it and those have other rules they have to follow.

There is a huge possibility that it will fall to this category.



It is better to be safe than sorry.  So stop lazing around and use another freshly created BTC wallet to send the transaction to your friends BTC address.  This way, your gambling account will be safe from being suspected of having multiple account.

first of all, i am not confused of your question , but honestly, I just found out coinbase can close your account because thing like that.
By the way, about your case,
the point u asked is : are you safe to send btc from your address to your friend account on the same gambling site ? itsn't ?
of course its totaly not safe ,
if that gambling sites is popular, i guess they will check directly from where money came from.
probably for checked about multiple accounts or something like that.
just use a third party , of course it will cost more for fee, but as long u safe.

First time I am hearing about this , interesting that they are blocking those addreses.
why do you even bother with crypto gambling , I dont see the benefit compared to fiat gambling. In in case you have to pay the tax, in case of crypto, you would just pay capital gain tax.

Most bitcoin gambling sites currently don't need KYC this is why a lot of people prefer crypto gambling over fiat. Another reason is how fast and easier it is to gamble with bitcoin since there's no KYC less information is needed when making an account. Bitcoin gamblers can simply gamble thousands and cash it all out quickly depending on how fast they process pay outs(usually instant).

The user above your post quoted the specific line of their tos that prohibits gambling transactions.

You can sendi bitcoin to other wallet although gambling site where deposit your money, not regulation with bitcoin can't send your money to several site for withdrawal. But bitcoin unique when you send your balance to other address you can take back if you use wrong bitcoin wallet for your gambling site, why have choose gambling site for increase your bitcoin? you have thousand site can increase your profit with bitcoin without gambling site.

You are making things too complicated. Just do not deposit directly to his gambling site wallet. You use a safe address and make him use another safe address as well. Then you're safe.

Always remember the golden rule: "If in doubt, don't".

This is the reason why most people only use Bitcoin for speculation pretty much. Since with an exchange like Coinbase you can't send or receive from a gambling site. And you also will get banned if you send and receive with a mixer. Sure you can use it to buy goods and services but due to fees you might as well just pay with your credit card and collect the points.

Seems most people just keep all their coins on Coinbase for trading or they send to another exchange like Binance to buy other alt coins. And then send it back to Coinbase for the fiat off ramp to withdraw the funds to the bank account.

So is regulations hurting or improving cryptos?

you overcomplicate things : Coinbase doesn't like coins to be sent/received from a known gambling wallet
if they have it flagged in their database , you could have your coins taken and account closed
to avoid that , mix your coins , you pay  up to 1% of the total amount mixed , some do not have a fixed fee
and you only have to pay transaction fees for every mix that range from 20k satoshi and up
alternatively you can try to create new wallets and "clean" the coins through a series of transactions from one wallet to another
in a hope that they would not bother with the forensics "deep" enough
although I heard reports of the funds confiscated and accounts blocked , it is not like you are  tagged 100% of time
some of my friends are sending their coins to and from online casinos without any problem at all

The betting sites have a bad reputation, because there have been many scams, my advice is to recycle the accounts, although this can generate additional shipping costs, at least there is no direct trace, but secondary or tertiary.

Coinbase is a US-based exchange site and the last time I checked online gambling site is illegal in the US so not surprised if coinbase block and locked your friend account but I will advise you to make of wasabi wallet or if the online gambling site accept monero help your friend send refund his account using monero cause the possibilities that the gambling site will block and lock you and your friend account are high.

If that will make the account close then you must not do it. Its just about choosing between good and bad. You already know the effect of it and in fact it really happen to your friend then its really not a good practice. You have other alternatives to follow then go for it without compromising your account. Just follow the rules and you will not be lost.

I will rather prefer you leave the bitcoin you will be sending to him on a non-custodian wallet, while you can leave the ones you will be quickly converting to cash on coinbase. It's better to avoid trouble by playing safe than tempting one's self. I prefer a non-custodian bitcoin wallet any time any day, so I can have control over my fund.