Owing to the steadily growing popularity of the Ethereum Blockchain, the industry of Ethereum gambling has shown a speedy and remarkable growth over the years. The primary reason behind Ethereum’s rapid rise to fame and success is their use of ‘smart contacts.’
These smart contacts are enabled by the Blockchain system and are responsible for creating what we know as the Etherum Virtual Machine (EVM).
Since the establishment of smart contacts, we have noticed a massive wave of discrepancy in the online gambling market since this newfound technology has completely obliterated the need to establish some semblance of trust between the players and the online casino.
Brief Information on Ethereum Gambling
Ethereum has steadily become the most popular alternative payment method for those players who do not wish to use Bitcoin for whatever reasons.
Although both of these digital monetary assets provide nearly identical benefits when it comes to security and anonymity, ETH sets itself distinctly apart by giving users the ability to make a deposit or a withdrawal in a comparatively shorter time frame than Bitcoin. If you’re on a quest for a faster version of Bitcoin, then Ether would be the perfect digital currency for you!
The Smart Contract Technology (further elaborated below) as well as the benefits that come in association with it being used as a form of cryptocurrency work in combination to create the ideal funding and withdrawal alternative for many players and online casinos.
Ethereum is a digital form of currency that is exceedingly similar to Bitcoin. It not only allows quick and anonymous payments, but it is available to all users worldwide. Due to this reason alone, Ethereum has become the virtual currency of choice for a vast majority of gamblers. A large number of online casinos have now chosen to accept Ethereum for both deposits and withdrawals.
We have gone through some thorough research to compile a comprehensive list of all the best online casinos active in the online gambling industry today that accept Ethereum as a viable payment method, so give the following list a quick read. Make deposits and grab an exciting bonus at the best Ethereum-accepting gambling websites given below!
Smart Contract Betting with ETH
Gambling with Ethereum presents itself in two very different forms. The first (and currently the most frequently used) style is the ability to use Ethereum as a deposit as well as a withdrawal method at various online casino sites. The processing of this cryptocurrency is the same as Bitcoin. It provides an easy to use, alternative payment method to traditional forms of currency (such as USD, EUR, GBP, etc.) transactions.
It makes it easy to understand why Ethereum gambling is so popular among players of today but also how simple it is to follow. Our expertly curated list of the best online casinos which permit the use of Ethereum (given above) supports this method of gambling with the cryptocurrency as well.
The second (and less frequently used) approach to Ethereum gambling is the use of quick contact by gamblers to place their bets. Currently, there is a growing list of online casinos whose entire system is dependent upon the Ethereum Blockchain. Instead of going about the ordeal of sending Ethereum to the wallet address of the casino of your preference, you are presented with the choice to transfer the Ether directly to a smart contract.
Advantages of Smart Contract Gambling
From this point onwards, the smart contract generates randomly and pays out based on the player’s performances (i.e., whether the player won or lost). There are many advantages of smart contract betting in Ethereum which have been elaborated below:
- The casino completely eradicates any kind of potential risk because they do not hold the players’ funds at any time during their gameplay.
- Payments are made via an open-source code; therefore, they are free from any sort of intervention.
- Payouts are always made instantaneously. Irrelevant of how grand the total sum of your winnings might be, you are guaranteed to receive your full payment within an appropriate amount of time.
The only major downfall to gambling with an Ethereum smart contract casino that is present today is that each bet takes a bit of time to process. As a result of technical reasons regarding the security of the blockchain, each block will require a minimum of one block confirmation (this process takes about roughly 15 seconds) before the winning bet can be confirmed.
For bets made up of more copious amounts, the wager can be fully processed after several block confirmations. This process might take a little bit of time. Employing this strategy would turn away a lot of regular gamblers who have happily placed their faith in traditional casinos in return for faster betting towards online gambling with Ethereum.
What About the Delay in Block Confirmations?
Nevertheless, the massive problem of waiting for block confirmations is gradually getting resolved. Casino protocols such as FunFair.io are currently in the process of developing ‘off-chain’ payment channels to take care of bets without the requirement of a block confirmation for each bet.
These payment channels take a considerable amount of strain off of the Blockchain without putting any security measures at risk. As a result, the possibility of smart contract betting reaching the mainstream audience seems exceptionally likely in the years to come.
In November of 2018, FunFair made an exciting announcement. They decided against launching their very first casino brand called CasinoFair.com by using their own Ethereum state channel technology.
However, a significant number of smart contract casinos mentioned above will require at least one block confirmation. With that being said, this is still the most secure way to place a bet at a crypto casino. Thanks to the Ethereum Virtual Machine (EVM).
What are the main differences between Bitcoin and Ethereum?
When it comes to online casinos, both Bitcoin and Ethereum have proven to provide nearly identical benefits. Not only are the extremely fast and completely secure, but they also offer complete anonymity, which makes them the ideal payment method to make both deposits and withdrawals for any gambler.
For those who are struggling to come to terms with choosing which cryptocurrency to use in their deposits and withdrawals, there’s honestly no significant advantage of one over the other. With that being said, there are a few minute differences that one must keep in mind before making a concrete decision.
- Bitcoin is comparatively more mature and stable than Ethereum:
All forms of cryptocurrencies have somewhat of a volatility factor associated with them. Still, in the midst of all these, Bitcoin is the only digital currency that is (comparatively) rather stable. Since the value of Bitcoin is more likely to remain consistent during bets, it has been regarded as the relatively superior digital currency to use during gambling.
A few select casinos have provided users with the option of converting their Ethereum and Bitcoin deposits into ‘chips’ when making a deposit and converting them back into either form of these cryptocurrencies upon withdrawal. This might be a tad bit misleading since the value of each chip could go through a drastic change during your time gambling.
- Ether is a relatively faster casino banking method:
No scaling issues have yet been noted in Ethereum as they have been in Bitcoin (which has inevitably lead to an indefinite pause of Bitcoin). What does this entail? Well, not only is the processing time for transactions significantly reduced (often taking less than a minute to complete themselves). Unfortunately, the same cannot be said for Bitcoin in which deposits and withdrawals can take up to hours to arrive.
- Ethereum enables smart contract betting:
As mentioned before this, Ethereum has provided its players with the ability to interact through smart contracts. Thinking solely from a gambler, this comes as a massive advantage since it completely removes the requirement of trustworthy interactions between the players and the online casino.
Bitcoin is also expected to indulge in the routine practice of using smart contracts via Rootstock, an off-chain protocol. Unfortunately, we have no reports as yet regarding when online casinos will be ready to mass-produce this service on their platforms.
Although many other forms of technical difficulties exist between Ethereum and Bitcoin, as far as online gambling is concerned, the differences mentioned above are the only ones that truly matter.
Is Ethereum gambling safe?
The well-kept secret behind the security of Ethereum’s blockchain is protected by a vast amount of ‘hash power.’ What exactly is hash power? Well, it’s a term that was coined to describe the exact amount of energy being utilized by miners to validate and process their transactions.
The higher the amount (more distributed) of hash power placed on a blockchain, the more difficult it becomes for an individual, company, institution, or government body to overpower the network and rewrite any transcriptions.
Currently, Bitcoin is the most secure form of blockchain available on the market; i.e., it has an enormous amount of hash power. However, Ethereum does not seem to be catching any dust behind. The security of both Bitcoin and Ethereum is excellent.
Of course, there is one sole risk that one must consider when deciding to use Ethereum to deposit at their preferred casino. It is the same risk that all players should consider when dealing with American dollars or any other form of currency, i.e., is the online casino worthy of their trust? The detailed reviews on our page regarding Ethereum casinos will surely lend a helping hand as you make your decision!
How do I deposit with Ether?
Depositing at an online casino using Ether is almost the same as depositing with Bitcoin. Players have the option of purchasing Ether from a reputable online exchange service such as Coinbase.com and then making a transaction from their Coinbase wallet to the Ethereum wallet of their preferred online casino. There are some crucial things you must keep in mind when you make a casino deposit using Ethereum:
- An Ether wallet address has zero similarities to a Bitcoin wallet address.
- Please make sure you do not send an Ethereum transaction to your Bitcoin wallet. The operation will fail to process, and you will be faced with the potential risk of permanently losing your money. A simple method to check whether your wallet is an Ethereum or not is to check if the first two characters of the address begin with an ‘0x’.
- Please grant a short period for the deposit to become visible.
- The majority of these online casinos display the deposits of the players as soon the transactions are broadcasted. But contrarily, some of these casinos require multiple confirmations (up to a staggering amount of 30 requests) before they decide to credit your account. Each approval takes an average period of 15 seconds, so be sure to check the terms and conditions of your preferred online casino before worrying that your Ethereum deposit has failed to arrive in your wallet!
- Make sure you’ve sent the Ether to the right address.
- As is the case with any kind of cryptocurrency transaction, there is no such thing as a “chargeback” function. If, somehow, your Ether was sent to the wrong wallet address, then there is a high possibility that it could potentially be lost forever. Therefore, please remember to check and then quickly recheck afterward the wallet in which you are making a transaction before you make a casino deposit.