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What Is Ethereum?
Ethereum is a technological platform launched relatively recently in 2015. It can be used to hold assets and make financial transactions using its own cryptocurrency, Ether, or ETH.
Ether is one of the most popular cryptocurrencies in the world, second only in market capitalization to the original Bitcoin. As with other cryptocurrencies, Ether can be purchased and stored in a crypto wallet, from where it can then be used to pay for online products and services, with online casinos being no exception.
Its increasing popularity and widespread use have clearly been reflected in the growing number of players choosing to play at the best crypto casinos.
What is Cryptocurrency?
Cryptocurrency, or crypto, is a relatively new form of virtual money which makes use of code encryption called cryptography.
Cryptocurrencies offer decentralised finance by cutting out the middle man or central authority usually involved in other types of payment methods such as the bank or financial institution. The benefit of this is that they directly connect the sender and recipient in an automated online blockchain-based transaction process.
Safety of Ethereum Casinos
Ethereum is one of the leading cryptocurrencies and is favoured for its stability, security, and speed of transactions. Its popularity among online casinos reflects the growing trend of incorporating cryptocurrencies into digital gaming platforms.
These Ethereum casino sites are particularly prevalent among online casinos holding a Curacao license. You can learn more of the features of a Curacao license casino in our separate guide, but this license ensures the casino’s safety and responsibility.
Curacao, known for being one of the earliest and most popular jurisdictions for online gambling licensing, has been more open to the integration of cryptocurrencies compared to other licensing authorities. This openness stems from Curacao’s relatively flexible regulatory framework and its aim to cater to a broad and international market.
A few points to note about Ethereum casino sites with a Curacao license:
- Global Accessibility: Curacao-licensed casinos often target a global audience, and the inclusion of Ethereum as a payment method aligns with this international approach.
- Regulatory Environment: Curacao’s regulatory environment is less stringent than some other jurisdictions, making it easier for casinos to incorporate innovative payment methods like cryptocurrencies.
- Anonymity and Security: Ethereum transactions provide a degree of anonymity and are secured by blockchain technology, which is appealing to players who prefer privacy in their online transactions.
- Promotions and Bonuses: Similar to other online casinos, Ethereum casinos with a Curacao license might offer various promotions and bonuses, appealing to both new and regular players.
- Rising Popularity: As cryptocurrency usage becomes more mainstream, the prevalence of Ethereum casinos, particularly those licensed in jurisdictions like Curacao, is likely to continue growing.
Benefits of Using the Blockchain
The blockchain is an extensive database holding all the transactions made between users. Every time users make a transaction using cryptocurrency, it is added on to the blockchain and cannot be removed, offering a number of advantages.
🔐 Highly Secure
The same database information exists across a series of computers, or ‘nodes’ which are connected to the network in a decentralised platform, making altering its contents extremely difficult. Such a setup makes established blockchains like Ethereum, with an immense number of nodes, highly secure against hacking attempts, especially when compared to traditional payment methods which handle and store all transactions through a central authority.
🥸 Allows for Anonymity
Blockchain users can access it without revealing their real-world identities, allowing them to retain their privacy and financial anonymity. It is worth noting, however, that although a payment method may allow users anonymity, the online casino at which it is being used might need personal identification details to register its players.
🔎 High Transparency
Since the blockchain database is publicly accessible, payments made using cryptocurrency offer absolute transparency, as users can check for records of their transactions to see whether they have been followed through. Such transparency also makes for provably fair games, meaning that casinos cannot manipulate the outcome of games without being detected.
Ethereum VS Bitcoin
Both Ethereum and Bitcoin are types of cryptocurrencies, with Bitcoin being the first of its kind while Ethereum was launched second in 2015, building on Bitcoin’s innovation with a few key differences.
Ethereum offers an entire marketplace of financial services, games, social networks and other apps, whereas Bitcoin is only a payment network. As with the increasing availability of Bitcoin casinos online, the world of online casinos has seen a growing number of Ethereum casinos popping up since its introduction in 2015.
The key differences between Bitcoin and Ethereum:
- Faster: Ethereum transactions are quicker than those made with other cryptocurrencies due to a shorter computation time required for transaction verification. The average transaction time for Ether transfers is 15 seconds as opposed to 10 minutes for Bitcoin transactions.
- Smart contracts: Ethereum transactions use smart contracts, which are snippets of code which execute the transaction that has been agreed upon by both parties, allowing for better transparency and verifiability. These contracts ensure that no party can break the agreement and casino players are guaranteed to get their agreed upon pay-out.
Why Choose an Ethereum Casino?
There are several advantages that come with choosing an Ethereum casino over traditional online payments and other types of cryptocurrencies.
- Transparency: transactions made using Ether can be checked against the publicly accessible blockchain, making them verifiable for their authenticity and integrity.
- Almost instant payments: the blockchain algorithm is very efficient, especially since there is no central authority which needs to process verification. The system is entirely automated, allowing smooth and quick transactions, which execute even faster than those using Bitcoin.
- Accessible assistance: The payment method supports widely available assistance through a well-maintained website.
- Financial anonymity: Users do not have to identify themselves to add Ether to their cryptocurrency wallets.
- Security: As a decentralised financial system, Ethereum offers unparalleled security as an online payment method.
- Widespread accessibility: Cryptocurrencies are not governed by any localised government since they are decentralised, making them accessible from anywhere with a trustworthy VPN.
- Higher pay-out: Because supporting cryptocurrency payment methods comes at a lower cost to the casino, most Ethereum casinos offer a higher average RTP (Return To Player) and lower house edge.
- Lower transaction fees: Casinos generally charge no or lower fees for making deposits and withdrawals using Ethereum, since this comes at a lower cost to them than other banking methods.
Disadvantages of Using Ethereum
- ❌ Not all casinos accept Ethereum
- ❌ Must hold a crypto wallet, which may at first be complicated to set up
- ❌ Being a cryptocurrency, the value of ether is volatile as their price may diminish over time
How to Play at the Best Ethereum Casinos
To play at an Ethereum casino, you must first obtain Ether currency. For this you need to hold a cryptocurrency wallet which can be opened, for example, from Ethereum’s website. Then you would need to buy Ether from a cryptocurrency exchange, where you can exchange your local currency into an ETH balance.
Setting up an account at an Ethereum casino involves the same procedure as with any other online casino:
- Visit the Deposits tab at the chosen casino.
- Choose Ether as the preferred currency.
- Enter the address or code of your crypto wallet containing ETH currency.
- Select the amount of ETH you want to deposit as casino balance.
- Finalise the transaction by clicking ‘finish’.
Tips For Selecting the Best Ethereum Casinos
Choosing the best casino for you ultimately comes down to your needs and personal preferences, however there are a few tips to keep in mind when choosing your go-to Ethereum casino.
- Ether accepted: Ensure that the casino accepts Ethereum as a payment method.
- Your favourite casino games: Whether you prefer to play live casino games, tabletop games, slots varieties or sports betting, make sure beforehand that the casino offers game you are looking to play.
- Bonuses: Look out for casinos offering welcome bonuses, deposit bonuses or free spins and choose the one offering the best financial advantage. Make sure to check also for crypto-specific bonuses as some online casinos might offer.
- Safety first: Choose a reputable casino to ensure safety of your financial and personal details by making sure they are fully licensed under legislation by an official Gaming Authority.
- Customer support: It is well worth making sure that the particular casinos offer easy access to customer support agents should you later on need help with managing your account or transactions. Good customer support is generally an indicator of a good online casino. Things to look out for are: reasonable hours of availability, contact methods such as email, live chat or phone, and a helpful FAQ section.
FAQs
What is Ethereum?
Ethereum is an online platform with its own cryptocurrency, called Ether or ETH.
What are Ethereum casinos?
An Ethereum online casino is type of crypto online casino that accepts Ether as a form of payment.
What are the benefits of using Ethereum at the casino?
Ethereum transactions are fast, transparent, secure and anonymous. Using Ethereum at the casino could also result in a higher pay-out, additional bonuses and lower transaction fees.
Are the casinos that accept Ethereum legal?
Using cryptocurrency at an online casino is completely legal. However, you may want to check local laws about the legality of online gambling in your country.
Other Payment Options
The best safe online casinos accepting Ethereum will also support other cryptocurrencies such as Bitcoin, Litecoin and Dogecoin among many others. Players can also opt for alternative payment methods such as bank transfers, PayPal, Klarna, MasterCard or Visa.