the "house edge" of yours is an irrelevant number. since your casino cannot possibly lose money, it is unfair.If i make a bet on a coin flip for 10 BTC and your casino only has 5 BTC, I cannot win under any circumstance. Your casino has 0% odds, not 98% with the only leeway being that the casino occasionally lets you win when there's already a profit for the casino.
Agree 100%. Casinos are supposed to make money because of the Strong Law of Large Numbers, not because it is rigged. Casinos are still supposed to have some risk, but they can almost always cover it with a high enough bankroll and proper betting limits; what your site does is cheating plain and simple.