How to open your Bitcoin Casino
Why start a casino using Bitcoins?
Table of contents
3. Quick list of advantages and disadvantages
4. What can you do with Bitcoins?
5. Bitcoin Gambling Software
Starting a Bitcoin Casino using our products
5a. Easy management
5b. Fast payments
5c. Provably Fair
Being considered just a virtual-world currency and not being legally recognized as a real money currency by any state in the world is the biggest advantage of Bitcoin.
Using it as a currency for your casino and accepting deposits only in Bitcoins can mean that your gaming website can run without requiring a casino license (a casino license costs minimum 10,000$ ), since you will not be undergoing any real-money gambling activities. In other words, you will never transaction any real money or goods if you are using Bitcoin as your casino currency. The law governing gambling involves banks, cash and credit card processors. Bitcoin does not use any of those things. It also does not meet the definition of currency in any of the current laws.
Using Bitcoins within your casino website would be like allowing people to deposit “World of Warcraft” Gold or “Second Life” Linden dollars into your casino and gamble them, which is perfectly legal. The value of Bitcoins is also not regulated by any authority or by any bank. The entire network influences the price of Bitcoin, as long as people are still trading it. Its popularity is growing every day and this is facilitated by how easy anybody can create a Bitcoin wallet and receive Bitcoins in it.
Another advantage of using Bitcoins, for both casino owners and players would be the extreme privacy that Bitcoin gives. Since this is an untraceable currency, there’s no way for other people to know where the payment comes from. Therefore, third parties can’t access your personal and financial information. Also, no credit card chargebacks or refunds are going to be any of your concerns. Bitcoin transactions are non-refundable and are not the subject of any chargebacks. With Bitcoin casinos, the privacy of your players is fully ensured. That is the reason why many people might prefer to exchange their money to Bitcoins and play at a Bitcoin casino.
Lastly, one of the most attractive benefits you can get from having a Bitcoin casino is the incredibly short waiting time for account deposits and withdrawals. The account deposits can be automated so that when a player sends money to the Bitcoin address of your casino, his account will instantly be given the amount equal to the value of Bitcoins sent, without you having to do anything. Withdrawals can also be automated, after approval, meaning that for each withdrawal request, you will see a pending status in the administrator panel that will require you to verify it (optional) and then click the COMPLETE button. The moment you do that, the funds will be sent to the crypto address provided by the user.
Running a Bitcoin casino is a self-sustaining business (it will basically run by itself and you only need to promote it).
In this article we discuss only about Bitcoin usage. We can help you start an online casino using any cryptocurrency that you prefer. If it's Ethereum, DogeCoin, Ripple, LiteCoin, NetCoin, LottoCoin, etc. then you came to the right place. Many of the information from this article applies to the other cryptocurrency coins as well. Here is a list with just a few of the altcoins that we can integrate:
BTC, LTC, ADT, ANC, BQC, CAP, CGB, DGC, DVC, DOGE, FRK, FTC, GLD, IFC, KGC, MEC, NET, NMC, NVC, PPC, QRK, RED, SXC, TRC, WDC, XPM, YAC, ZET, LTCT. We support over 100 crypto-currencies and all the integrations are done through a 3rd party payment gateway, for security reasons. Your casino will never host any cryptocurrency wallets.
In December 2017, Bitcoin has reached its highest value and went over 20,000$. Since then, its value fluctuated, but this tells us about the huge potential that a cryptocurrency can have. Bitcoin is the first, but definitely not the last cryptocurrency to get over the 20,000$ milestone.
To understand the legality of Bitcoin gambling, there are some important aspects that we want to mention:
- There are no specific laws mentioning that offering to players the option to wager Bitcoins requires a gambling license or that this type of business is illegal;
- There are no specific laws that recognise Bitcoin as having real money value. All gambling regulatory institutes governate only over real money gambling activities;
- All the Bitcoin transactions are private and the reason/source of how you obtained them cannot be back-traced. It would be impossible for anybody to prove how you obtained your Bitcoins.
- The privacy of Bitcoin transfers goes both ways, so players are also protected if they live in a country where gambling is illegal and they use Bitcoins for gambling. For now, in USA, online real money gambling is illegal, but Bitcoin gambling is not regulated and it is in the grey area (there are no laws that mention that it is either legal or illegal)
- Do you need a gambling license? The answer is no. Since all your casino transactions take place in the blockchain and the money enter no bank account (therefore they do not enter the territory of any legal jurisdiction), then you will not need a gambling license.
Even so, we advise all our customers to start a Bitcoin gambling website with or without a license, but if their business will flourish they should obtain an offshore gambling license and declare their income there, when exchanging the Bitcoins to real money and to their bank accounts. For more information on how to obtain a gambling license, please refer to this article. The costs for a gambling license are around 10,000$ and it can be obtained in less than 1 month.
The following article comes from high reputation websites and they claim Bitcoin gambling to be legal:
3. Quick list of advantages and disadvantages
- No gambling license required (see the Legality section above). You will save time and money. The cheapest gambling license costs 10,000$ and you need a few weeks to get it.
- No legal authority is ever going to suspect you for doing illegal things, no real money is involved on your website. Having a Bitcoin casino is like offering gambling options in an online game such as World of Warcraft, where no real money is involved;
- It is impossible to trace the source of your Bitcoin income because all the Bitcoin transactions are private;
- You don't have to deal with credit-card chargebacks, because Bitcoin transactions are non-refundable;
- Fast and easy growing marketing, due to the low competition among cryptocoin powered casinos;
- Bitcoin offers full privacy to you and to your players for every Bitcoin transaction. Nobody can track a Bitcoin payment!
- You will be using a currency that is being valued better and better on the exchange market with each day that passes. Bitcoin jumped from 600$ to over 20,000$ in less than 12 months.
- Many countries of the world, including USA, do not allow online gambling. Using Bitcoins would allow you to accept players from all over the world, including those countries, since Bitcoins are not recognized as a real money currency by any central authority, and gambling occurs only when real-money are wagered. Recently, Bitcoin casinos have been invaded by players from USA.
- Bitcoins are not subject to taxation, meaning that if you receive Bitcoins you do not need to pay any corporate or income taxes. So if you want to spend your Bitcoins on services or online goods that can be bought directly with Bitcoins, then you will save a good amount of money. However, in some states, if you exchange the Bitcoins to real money, then you will have to pay income taxes and other fees, following your legal obligations.
- Using our solutions, you can accept other cryptocurrencies, not just Bitcoins. This will help you attract gamblers who invested in altcoins such as ETH, LTC, XPR, etc.
- Considered a disadvantage in the past, the time required to buy Bitcoins with real money has been reduced by a lot in the last few years. This is because the Bitcoin popularity has increased very much lately. Purchasing Bitcoins has never been easier. It is now just a 2-minute job and there are even physical ATM machines where you can deposit real money and they give you Bitcoins in your digital wallet in a few seconds. If that is not possible, then localbitcoins.com allows you to meet with individuals from your country and sell your Bitcoin face-to-face. CreditCard and Bank Transfer methods are of course available, with many reputable websites offering this service.
4. What can you do with Bitcoins?
After you receive the Bitcoins from the players, you can exchange the profit of Bitcoins to real money using any Bitcoin exchange company such as Luno.com, CoinBase.com or you can trade with individuals using LocalBitcoins.com and receive your money via MoneyGram, Western Union, Bank Transfer or even cash.
There are also many websites that allow you to pay with Bitcoin, mostly due to the no-tax policy that Bitcoin offers.
Any of the above things can be done by your players too, which makes us say that at this moment, probably any sort of goods and services can be bought with Bitcoins.
The possibilities and benefits of Bitcoins are infinite.
You can also decide to keep your Bitcoins and wait for their price to increase and transaction them at a later date, or use them on other Bitcoin sites to purchase goods.
A video tutorial can be added to your website to help players understand how to obtain or how to buy Bitcoins. Complementary to that, you can hire a support team to teach every player how to buy Bitcoins.
5. Bitcoin Software - Starting a Bitcoin Casino using our products
With our Casino Management Software we have included a set of important features that will allow any Bitcoin casino owner to run his website without any trouble.
Our software comes with a player affiliate system, meaning that each player can register and play the games and with the same account he can also act as an affiliate and receive a 20% share from the loss of his affiliated players. By using the "AFFILIATE CENTER", the player can generate his affiliate link and he can start referring new players to the casino.
The casino can be configured to accept over 100 altcoins (ETH, LTC, BCC, etc.).
Players can receive an automatic account, the moment when they access the casino. They can either claim this account by entering their email address or they can log out and register a new account.
Among other features, we would like to mention the possibility for the casino owner to adjust the PAYOUT RATE of the slot games. Either way, the player will receive his wins over a determined period of time. A lot more features which are available if you want to start your Bitcoin casino, can be seen here.
The casino games that we offer are provably fair, which will make the player to never doubt about the fairness and the reputation of your business.
If you decide to buy the Bitcoin payment add-on ( 500 EUR ), you will be able to accept Bitcoin payments at any moment and the casino credits will be given to the player automatically after the transaction is confirmed. Basically, you do not need to do anything for players to start playing at your Bitcoin casino. The only moment when you must take action is when players request withdrawals. You must verify each withdrawal request and then approve it with the click of a button, from the administrator panel. However if you want, this can be made totally automatic (withdrawals will be sent automatically to player wallets, the moment when they are submitted), but we do not recommend it, for security reasons.
With our Bitcoin casino solution, you can offer your players a trustable and "provably fair" solution, meaning that the gameplay data of each hand played can be tested by each user from his lobby. He can see if everything was randomly shuffled like in a real casino where the dealer physically takes the package of cards and shuffles it before dealing a new game hand. If the player knows that he was treated correctly he will make a new deposit in the future and will say good words about your casino. All this is done by revealing the hashed shuffled deck before the gameplay starts and then allowing the user to verify the data after the gameplay has finished. Also, when shuffling the deck, the seed used for shuffling is created from a combination of server-side code and client-side code. This way, the seed used for shuffling the numbers from the deck cannot be manipulated by neither us or by the player.
The client seed can be set and changed from provably fair tab. To guarantee a 100% fair deck, we are using a complex algorithm based on the Fisher-Yates algorithm for actually shuffling the cards. First we are shuffling the deck using a server seed, then we hash it and send it to you and then we allow you to influence the randomness of the deck by setting a client seed for another shuffle. This reduces the chance of manipulating anything to 0%.
By using the above described method, the player will trust your casino more, because he would be able to influence two very important things:
1.He would be allowed to influence the way the deck is shuffled, by setting the custom seed from his account.
2.He will know that the deck was not manipulated, since he will receive the deck hashed and once the gameplay ends, he can unlock it and verify it.
A similar method can be implemented for the other games like the dice, roulette or slot games. More information about the provably fair concept can be found here.
Large variation of altcoins - multi-cryptocurrency integration
At the moment, we can offer over 100 cryptocurrencies for the players to deposit at your casino. However, all these altcoins will be exchanged to Bitcoins and then to Credits. If your cryptocurrency is not in our list, then we can still implement it, if it has an API. For more details, please contact us.
If you are the founder of a cryptocurrency, running an online casino can help a lot to boost its popularity.
Our games can be used with Bitcoin casinos only as No-Copyright (without "Powered by CasinoWebScripts.com" logo) or with Source Codes.
You can see comparison chart here between Copyright-CWS, No-Copyright and Source Codes versions.
Our solutions are ideal because we charge 0% monthly fees and everything is hosted on your webservers, so you can have full control over your business.
As payment for our products, we accept Bank Transfer or Bitcoins.
How to get started - SPECIAL OFFER
To help you get started, we have prepared a special discounted casino Bitcoin package, which is available for only 18,000 EUR (discounted from 29,500 EUR ). You can check it here.
If you want to pick your own games, then please follow the next steps to start a Bitcoin casino:
1. Go to our casino software page and "add to cart" the Casino Management Software among with the other “EXTRA FEATURES” that you would like to see in your casino.
2. The second step is to go to our casino games page or to our promotional games package page and choose the titles you want to have on your website. For Bitcoin casinos we allow only No-Copyright games or games with Source Codes to be purchased.
If you need any help with making a decision about choosing your casino games, simply contact us and we will provide you with the best information about how to choose the best games for your target market. You can buy more casino games at any time after you will start your online casino.
3. Click the cart button on top right of the screen, SAVE your package, then contact us and mention your package ID in the message and that you want to open a Bitcoin Casino. The extra fee for integrating Bitcoin with your casino is only 500 EUR. To work without license you must accept deposits only in Bitcoins and players can withdraw their credit only in Bitcoins.
4. Our team will contact you in just a few hours to discuss the final details and answer any queries about how to start your online Bitcoin casino website.
5. You will be sent a contract that will require your signature and company stamp in order to finalize the order. This is required to make everything legal, and to avoid any future problems with the software and games license.
6. After this you will receive the payment details so that you can pay for the desired products. In 24 hours after the money entered our account, you will receive the software, along with the documentation and the games. We accept Bitcoin or Bank Transfer for our products.
7. Upload the files on your webserver and run the installation instructions provided within the package.
8. Your Bitcoin casino website is now set up and ready to receive players!
6. How to attract players - marketing your Bitcoin Casino
The key to success for any online business is represented by its marketing, so having a good strategy to start with will play a major fact in how your profits will increase.
Which geographical locations to target?
With Bitcoin popularity having increased tremendously in the past few months, the multitude of options that can be achieved with this cryptocoin became endless. In countries where gambling is not permitted, Bitcoin casinos became some of the most visited Bitcoin related websites, and thus a refugee for players that could not experience online gambling before. Players from USA, Canada or the Asian continent found a source of entertainment in all Bitcoin casinos, so these territories represent just a few large markets to exploit for all casino operators, including you.
This is a very important fact when considering which geographical location to target when doing marketing for your online Bitcoin Casino.
Our Bitcoin Casino Solution allows you to determine the country of each user and see which geographical location brings you the most players. Based on this, you should focus the marketing efforts into the right direction.
Attracting new players
Bitcoin casino marketing should be done by covering multiple areas, and not just one. First you must convince players that come to your casino for the first time, to make a deposit. Such thing can be done by placing large visible banners with deposit bonus codes.
Having high payouts and making new visitors notice that other players experienced large wins at your casino can prove to be a crucial move. One way of doing this is to have a podium with the top winners on your Bitcoin casino website.
Rewarding players with free chips or bonus freespins on Bitcoin related forums will surely attract some new players that might just want to try out your offering.
In a small community, where competition is tight, but not very big, reputation plays a vital role. A visible "provably fair" banner, or a certificate that attests the fairness of your online casino will make players feel safe when deciding to make a deposit.
Advertisements on Bitcoin related websites should not be ignored, even if the costs for such marketing strategies might be a little over the average.
Newsletter should be used to offer new bonuses to existing players, and inform them about new games.
Press releases can be used to let everybody know about your promotions and who hit the jackpots recently.
A method that is very common for promoting any online business. Creating a Facebook page that is updated daily, having bonus codes made public via Twitter, placing videos from players that won your jackpots on Vimeo or YouTube (to convince them to do such, you can give an extra bonus to whoever wins the jackpot and records it in a video file), creating tournament events for players to join, should keep your community happy and with more desire towards gambling.
Offering new content
Offering new ways of entertainment to your players is also important. This can be done by giving them free chips, bonus freespins based on their loyalty, daily login bonuses, VIP programs and of course new games. New games and new content will always bring back old players that might just want to try out the new graphics. Consider that this an important aspect for maintaining your Bitcoin casino at high rankings.
Using the administrator panel of our Bitcoin casino solution, you can do all the above with no difficulties. For more advice, please check our online casino operator's guide.
7. What is Bitcoin?
Bitcoin is a virtual world crypto-currency, introduced in 2010, where the creation and transfer of Bitcoins is based on a cryptographic protocol that is independent of any central authority.
Bitcoin system uses a well-known peer-to-peer technology to operate, having all its transactions and the creation of Bitcoins carried out collectively by the network of Bitcoin users. Nobody owns or controls Bitcoin.
While not legally recognized as a money currency in any of state of the world, the popularity of Bitcoin has increased tremendously in the last few years, mostly because people can earn free Bitcoins just by owning a PC and running the Bitcoin software which will automatically generate Bitcoins, and after that, convert their Bitcoins to real money. However, the more Bitcoins are mined, the more difficult it gets to mine more Bitcoins, this way preventing people from obtaining a large number of Bitcoins in a short amount of time. The Bitcoin network can only handle a limit of 21 million Bitcoins. In less than 5 years, more than 16 million Bitcoins have been mined, but given the difficulty of the algorithms, it is expected that the last Bitcoin will be mined in year 2140.
The value of Bitcoin has fluctuated a lot. Since its release, it stayed under 1500$ for more than 4 years, but in 2017 it saw a huge increase and reached the value of 20,000$.
How to obtain Bitcoins?
You can get Bitcoins by purchasing them with real money or by using your PC and the Bitcoin software to farm them.
You can also trade Bitcoins for real money.
How to buy Bitcoins?
Step 1. Create a Bitcoin wallet.
A Bitcoin wallet is a website or program which you can use to store Bitcoins and make transactions. Binance.com, Luno.com and other Bitcoin exchange websites offer a free wallet upon account registration. You can read more about Bitcoin wallets here.
Step 2. Locate Your Bitcoin Address.
Your "Bitcoin address" is a 34 - 36 character string and starts with 1. This address is all you need to receive payments.
Step 3. Buy With Cash.
How to send Bitcoins?
Make sure you have enough Bitcoins in your Bitcoin wallet. Then click on Send Bitcoins and then enter the Bitcoin address that will appear on your screen at the casino website. That is all you need to do to make a deposit at a casino with Bitcoins.
How to farm/mine Bitcoins?
Many people have become rich just by opening their PC, downloading the Bitcoin software and putting their PC to solve mathematical blocks and farm them Bitcoins.
You can help the community by simply running the original Bitcoin client on it. The original client is more resource intensive and will take a complete day to synchronize. After that your computer will contribute to the network by checking and relaying transactions, solving mathematical blocks and generating Bitcoins into your Bitcoin wallet. You can download the Bitcoin software here: http://Bitcoin.org/en/download
There are other alternatives and more efficient mining programs, but the above is the most popular one.
Farming Bitcoins is an energy-consuming process, so make sure that the costs for your energy, combined with the efficiency of your hardware will be able to generate you some profits, before investing more resources into this business.
*Disclaimer: All the information related in this article was gathered from multiple public sources found on the internet, until 26 January 2018. We take no responsibility if the information provided will become outdated or inaccurate.
BY CASINOWEBSCRIPTS PUBLISHED 26 January 2018