For anyone new to the Bitcoin transactions, the beginning will seem too complicated to handle. However, the last couple of years, cryptocurrency has become a very popular payment method for sportsbook betting, considering that if you dig into it it’s not that hard. This is what we are going to do in this article by guiding you through all the process of gambling with Bitcoin.
Before we start, we should say a few words about Bitcoin, so you can have a better understanding. Bitcoin is a cryptocurrency, practically a type of electronic cash that was created in 2009. It isn’t controlled by a central bank, thus the transactions between two parties have no middlemen.
Each bitcoin transaction generates an algorithm that needs to be solved in order to finalize the process. A transaction is confirmed by another bitcoin user around the world who gets bitcoins as a reward for the confirmation, a process known as “mining”. Bitcoin is also famous for its unstable value which goes up and down constantly.
Bitcoin payment method became a usual practice in the online gambling industry to the point that certain operators like Cloudbet accept only cryptocurrency while most sportsbooks have included it in their payment services. The main reasoning behind this is, of course, the anonymity that Bitcoin offers to the bettors.
Without the banks getting in the middle, the bettor avoids the legal restrictions that may apply concerning of funding their online gambling balance. Another important reason is the fact that once you have created your Bitcoin account, the transactions are made almost instantly like e-wallets and don’t require days like bank transfers. But, enough with the general information, let’s get really into it and see how you can wager by using cryptocurrency.
1. Create Your Account
First things first, you have to open an account with a Bitcoin exchange. This means you have to do a little research before you decide which exchange you are going to trust. Proximity, processing fees, authentification and security procedures should play a key role in your decision.
Especially, processing fees can prove to be a major disadvantage so you don’t want to swing from one exchange account to the other. Once you have set up your account, the verification process follows. You need to confirm that you are who you are and some operators might request documentation from you.
2. Purchase Bitcoins
Once the verification process is complete, it’s time to make your first deposit. Feels a lot like registering for a sportsbook, doesn’t it? Transferring from a bank may take up to 3 days for the first transactions which is a normal bank wire time. However, by the time your funds are deposited, you can convert them into bitcoins instantly.
We mentioned before that Bitcoin has an unstable value that goes up and down hundreds and sometimes even thousands of dollars, making it hard to project when is the right time to withdraw money. This is when your business instincts have to take over before you start changing your precious dollars into bitcoins.
Start reading about future projections and do your own research regarding market trends. Right timing might prove the best reward in bitcoin business and you might even see your money rising up before you even place a bet!
3. Transfer Bitcoin To Your Sportsbook Account
As we see more and more operators include Bitcoin and cryptocurrency, in general, their payment services to the point that today there are exclusive Bitcoin sportsbooks. These sportsbooks have the key asset of not having to spend money on payment methods providers, thus reducing their operating costs as they accept and deliver only Bitcoin.
This means that the operator can dispose a part of their revenue as return value to the players. In other words, the usual -110 ‘juice’ that the operator sets as his vig line can become -105 or -106 without the operator losing anything on its total earnings.
After you have selected the sportsbook site of your choice, the operator will provide you with a Bitcoin transfer address which will probably be at your deposit account details. Copy this address and paste it at the withdraw tab of your Bitcoin exchange provider along with the amount of Bitcoin you wish to transfer.
The confirmation might take 1-2 hours until the algorithm of your transaction is solved by a ‘miner’. Following the finalization of the procedure, the amount of Bitcoin you withdrew, will be added to your sportsbook balance account.
4. Withdraw Your Earnings
Coming now to the part of what this fuss is all about. Receiving the “warm” cash in your pocket. Practically, we are talking for almost the reverse procedure that we followed in the third step. Find the withdraw option of the sportsbook operator that is usually in your account details.
Then go to your Bitcoin exchange and get the transfer address. Paste that address in the withdraw option of the sportsbook and type in the amount you want to cash out. Confirm the transaction and wait until it is processed. It’s possible that some operators may request again for verification before you withdraw your money.
Once the procedure is completed you have two options. Either retain the money in the cryptocurrency form or sell it for your country’s currency and eventually transfer it to your bank account.
So this is the procedure you have to do if you want to bet in a sportsbook using Bitcoin for your transactions. In the beginning, it might seem a little complicated but as soon as you get used to it, we believe that it will feel as pouring water in your glass.
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.