In recent years, Bitcoin has gained immense popularity in Canada, and if you search for ‘Bitcoin Casino’ on Google, you’ll find millions of results. At a Bitcoin casino, you can gamble with bitcoins or other cryptocurrencies instead of Canadian dollars or other fiat currencies. While currently operating in a legal gray area, bitcoin casinos may become more mainstream as Canada moves towards regulating its online gambling market.
What is Bitcoin?
Bitcoin is the world’s most well-known cryptocurrency and a global means of payment. It is widely accepted as a legitimate currency in Canada and many other countries.
Bitcoin is a decentralized digital currency that operates on a peer-to-peer network, requiring no central authority like a bank or administrator. Transactions occur directly between users without an intermediary, similar to how torrents allow direct information exchange.
The digital currency Bitcoin was created in 2010 by the pseudonymous Satoshi Nakamoto. The true identity of Bitcoin’s founder(s) remains unknown.
Bitcoin’s value is highly volatile. After crashing from €17,000 to €2,500 in late 2018, Bitcoin surged again, reaching a new all-time high of around €34,600 (US$41,000) in early 2021. As of March 2024, one bitcoin is worth over €59,000 (US$70,000).
Well-Known Bitcoin Casinos
While major mainstream online casinos don’t yet accept Bitcoin deposits, there are dedicated crypto casinos catering to this market:
- 7BitCasino is a long-running bitcoin casino licensed in Curacao. It offers over 4,000 games and accepts Bitcoin, Ethereum and other popular cryptocurrencies.
- mBit Casino, founded in 2014, is another crypto casino licensed in Curacao with a huge game library of over 2,600 slots and live dealer games.
- Other Bitcoin casinos operating internationally include KingBit, SlotV, 1xBit, and more.
Using Bitcoin at Online Casinos
Even online casinos that don’t directly accept cryptocurrency often let you deposit and cash out using e-wallets like Skrill, Neteller and MuchBetter – which do facilitate bitcoin and altcoin transactions.
The process works like this:
- Buy Bitcoin through an exchange and transfer it to your e-wallet
- The e-wallet instantly converts your BTC to the cash equivalent
- Deposit those funds at the online casino to start playing for real money
- When withdrawing winnings, the cash is converted back to Bitcoin in your e-wallet
This allows you to move money between Bitcoin and online casinos relatively easily, though fees are involved for the currency conversion.
Cryptocurrency e-wallets are legal in Canada. However, online gambling is in a legal gray area – while not strictly illegal, it operates without government licensing or oversight currently.
Advantages of Bitcoin Casinos
So why choose to gamble with Bitcoin instead of just using Canadian dollars? Some key advantages of crypto casinos include:
- Increased anonymity and privacy compared to traditional online banking
- Ability to deposit and withdraw instantly with little to no fees
- Transactions directly between you and the casino with no third-party processors
- Extra security since you control the Bitcoin wallet holding your funds
- Potential for higher betting limits than with fiat currency
As Bitcoin and other cryptocurrencies are globally adopted, we may see more gambling sites integrate them as an option alongside standard online banking.
Bitcoin’s Growing Popularity
Bitcoin’s price volatility shows its growing mainstream popularity as an investment and digital payment method, not just for online casinos. As of early 2024, projections suggest Bitcoin could continue its bull run and potentially reach $100,000 per coin by the end of the year.
With increasing crypto adoption and clearer regulations on the horizon, Canadian players will likely have more opportunities to gamble using Bitcoin in the coming years – whether at dedicated Bitcoin casinos or through crypto banking options at regular online casino sites.