Ethereum Casinos are catching on in a big way in the online gambling industry. This is largely due to the increasing popularity of the Ethereum blockchain.
Ethereum (ETH) is fast becoming the cryptocurrency of choice in the online casino community because of its system of “smart contracts” enabled by the blockchain.
This is referred to as the Ethereum Virtual Machine (EVM). Smart contracts can have a transformative effect on the online gambling market as they eliminate a variable – or the trust – between a player and casino.
Introducing Ethereum, the Best Alternative to Bitcoin As Yet
Ethereum is an excellent alternative to Bitcoin. It offers the same level of safety and anonymity as Bitcoins, but is much easier to deposit and withdraw. The Ether in Ethereum has much shorter time frames. This is a much faster cryptocurrency than Bitcoin and processes transactions at the speed of light. What makes Ethereum so special is the smart contract technology. This makes it almost a perfect method for deposits and withdrawals.
How Ethereum is Different from Bitcoins?
Ethereum is currently valued at $300.14. This gives it a market cap of $28 billion, making it the most popular cryptocurrency after Bitcoin. There are many differences between Ethereum and Bitcoins.
Bitcoin is really a digital version of the gold bullion. It is a way to store wealth. There is no mechanism in Bitcoins for making automatic payments.
Ethereum is different and is far more advanced. For one, it is not just a cryptocurrency. It is also an advanced programming language which enables users to set up a self-executing payment system called as “smart contracts”.
This is one of the most fascinating things about Ethereum. With smart contracts, every transaction is instantaneous. There is no need for accountants, lawyers or any middlemen. The agreement is entered into by the two parties completely on a voluntary basis and coded into the blockchain, so that it is public for everyone to see and impossible to tamper with.
What does this mean for online gamblers? To begin with, smart contracts automate the process of deposits and withdrawals. Everything is public on the blockchain, so there is no question of any dispute arising between the casino and the players.
The Ethereum casino and the players write code together which automatically transfers the winnings in Ether from the online casino to the player. The amount of Ether depends on the winnings of the casino player.
The code is written when the deposit is made and automatically transmits the Ether to the players when they win at the online casino. The whole process is seamless and instantaneous.
How Ethereum Casinos Work
ETH Casinos work in two ways. They may make use of Smart Contract Betting, or they may work in the same manner as Bitcoins.
These casinos give you the ability to make use of Ether as both a deposit and withdrawal method. This is similar in operation to Bitcoin casinos but much faster and easier to apply and understand. Ethereum casinos are discrete and give you an alternative mode of payment that does not involve any of the traditional currencies such as USD, EUR or GBP.
Another approach used in Ethereum Gambling is to make use of smart contracts and run the operation entirely through the Ethereum blockchain. This way, you won’t need to send Ether into your casino’s wallet address, and can send it directly to the smart contract.
Why Smart Contract Betting?
Here’s a look at the benefits of the approach used by Ethereum Online Casinos for making deposits and withdrawals called as of Smart Contract Betting.
- At no time does the online casino hold on to your funds. You don’t have to worry about losing any money.
- All payouts are made through an open source code. This is not something anyone can interfere with.
- The payouts from the online casino are instantaneous. There is no time lag of any sort. It doesn’t matter how much you win, you will be paid almost immediately. This is the fastest way to get paid.