As it’s the case with every new trend in iGaming, I’m trying my very best to master the subject. Complicated as the network and the system behind is, using the digital currency is as easy as sending an email. What is Bitcoin? What are Bitcoin Wallets? And how do you find your way to the Bitcoin Casinos?
What is Bitcoin and how does it work?
Bitcoin is the first decentralized digital currency, a peer-to-peer electronic cash system. A purely peer-to-peer version of electronic cash would allow online payments to be sent directly from one party to another without going through banks, financial institutions or other middlemen.
While described as Money 2.0, there’s a pretty good chance our current currencies aren’t the first used by the human race. However, Money 2.0 isn’t a bad way to describe the digital as it’s the very first digital currency available on this planet. The digital coin changes finance the same way the web changed publishing.
As a digital currency, Bitcoin does not have any physical form and hence it only exists electronically, solely traded or exchanged via the internet. Being open-source, no one controls or owns the digital currency like this is the case with our current currencies. Everybody has the right to use the currency to pay for products and services. Besides, the bitcoin network is always on and working at full capacity regardless of time or date.
The Bitcoin network is extremely complicated. But there are many videos and websites that give background information. Technically, all Bitcoin transactions are recorded permanently on a distributed ledger called Blockchain. This public ledger is shared among all Bitcoin Miners and is, therefore, publicly-viewable.
What are Bitcoin miners?
The so-called Miners are special users that use computing power to create a block, including the transactions in order to send the transactions safely from peer-to-peer and keep the network secure. For their hard work, Miners are rewarded with new Bitcoins with each 10-minute block.
Buy and sell the digital currency from online exchanges that use dollars, euros, and other currencies. You can use your credit card to buy the digital currency, swap cash for them at special ATMs, or use over-the-counter (OTC) services that match buyers with verified sellers nearby.
The so-called Money 2.0 is different from any currency you’ve used before, the reason it’s wise to inform yourself about bitcoin before you start using it.
While there are many websites informing you in general, I’m happy to enlighten you about the use of the digital currency in the so-called Bitcoin Casinos. This also includes the Bitcoin Wallets, your one and only place to keep your digital currency as there’s no possibility to store these digital coins in an old sock under your mattress.
You can easily Bitcoin Wallets on your computer or mobile device. And to pay with them is as easy as sending an email. You can use the digital currency for online gambling services at the Bitcoin Casinos. These are simply online casinos that offer you the option to pay with Bitcoin.
What are the advantages?
Bitcoin opens up a whole new world of finance, bringing many advantages compared to the money we’ve used so far.
These are some of the advantages:
- They offer unprecedented convenience and financial freedom
- Only you, and you alone, can control the digital coins
- No one can ever prevent you from sending or receiving them.
- Transferred directly from person to person via the net, without going through a bank or clearinghouse, fees are much lower than when you send money using Neteller, Skrill or PayPal.
- You can use the first digital currency in every country
- There are no prerequisites or arbitrary limits
- Nobody can freeze your account
- Unlike government-issued money that can be inflated at will, the supply of Bitcoin is mathematically limited to twenty-one million bitcoins and that can never be changed.
One of the main advantages, as mentioned above, is the height of the fees. Major credit card fees can be as high as 6%! These high fees hurt both businesses and consumers. The fact that payments don’t involve banks or intermediate payment services, make sure fees are never as high as credit card fees.
Wallets for your digital currency
There’s only one way to pay: the digital way. In order to use the digital currency, you need a Bitcoin Wallet and just as your Neteller Wallet, Skrill Wallet, or PayPal Wallet, for example, your Bitcoin Wallet will be accessible via your computer or mobile device. Without a personal wallet for your digital currency, you can’t send or receive Bitcoin payments. So before you get your first digital coins, you’ll need to buy, download, or create a wallet.
Types of Bitcoin Wallets
There are many ways to use the digital currency and so there are many types of wallets:
* Online wallets.
Wallets that can be accessed via an internet connection no matter if on your computer or mobile device.
* Hardware wallets.
This is a physical device only designed to secure Bitcoins.
* Software wallets.
These are applications downloaded to your phone, computer or tablet which are available for online payment services like Skrill and Neteller as well.
* Paper wallets.
For long-term storage of bitcoins (or giving as gifts), you can choose to go for the paper Bitcoin wallet.
Like it took a while for online casinos, and later on also live casinos and mobile casinos, to be fully accepted by players, I predict the same for Bitcoin Casinos. It’s a new concept with a digital currency not so well-known by the future users yet. These developments take time to become fully accepted, hence there aren’t that many Bitcoin Casinos yet.
I’ll keep on following the industry with a focus on the iGaming industry and when the time comes and reliable Bitcoin NetEnt Casinos cross my path, I’ll be happy to add them to the list of exclusive NetEnt Casinos already available on NetEntCasinos.com.