Bitcoin Games, Faucets and Gambling
For as long as man has had something of value to trade, he has sought to gain that currency as easily as possible, use it for entertainment purposes and wager against others in the hopes of gaining their currency as well. So, it should be no surprise that the same holds true for those who hold Bitcoin.
It is a currency, and what do we do with currency? We ultimately spend it.
With bitcoin not being tied to any specific nation and a brand new type of currency, it has caused a very interesting effect: Over 50% of all Bitcoin transactions involve gambling and an untold percentage involve payments made to people for performing work or providing a service.There are relatively few websites or businesses that accept Bitcoin as a form of payment and even fewer government or utility companies that will take Bitcoin to pay household expenses. While there are a good number of people who use Bitcoin for investing and trading purposes, the majority see it as an entertainment currency, not much different than an arcade token.
Before you can go gambling with Bitcoin, you have to have some Bitcoins to gamble with. While you can perform services and small tasks for bitcoin, most people who are seeking to get their hands on some for entertainment purposes usually visit a faucet.
A Bitcoin faucet is simply a website that has a lot of advertising. The website owner gets paid from the advertiser every time a user interacts with the ads, so the faucet owner simply shares a portion of this payment with site visitors in the form of Free Bitcoins. The advertiser gets its customers, the website owner gets their money and the user has some bitcoins.
For a full description on faucets, please visit https://www.coinstaker.com/bitcoin-faucet/.
Once a user has a few Satoshi’s, they quickly discover that by utilizing multiple faucets, thy can quickly build up what seems like a lot of Bitcoin, so they pursue this route. Most will discover a faucet rotator and begin the arduous task of claiming their Free Bitcoin. While not much in relative terms, the amount that they get by visiting faucets is more than enough to allow them to play games or even gamble.
Bitcoin games come in many different varieties, with the most popular being nothing more than faucets in all actuality. The user simply gets to play games and gets various amounts of Satoshi as their prizes. The difference between a game and a gambling venue is that with bitcoin games, the user does not put any money up to play and win. The website hosting Bitcoin games uses advertising to fund the prize pools, essentially (as stated above) making these types of venues glorified faucets.
American citizens and those that login in from American servers are not allowed to gamble for real Bitcoin due to current U.S. regulations, so the Bitcoin casinos allow those users to play their games for free, but of course, there are no payouts. This also is considered to be just a Bitcoin game.
Now we come to the crème de la crème of Bitcoin entertainment. More than simply entertainment, bitcoin gambling allows a user to post a wager on just about anything you could imagine. There are your typical video poker sites, slots, sports wagering and even Dice. By utilizing code to generate truly random numbers, almost anything can be wagered upon, and wager people do.
This section will focus more on the psychology of Bitcoin wagering, rather than actual venues. For more on bitcoin Wagering visit our Bitcoin Gambling page.
When looking at why people spend so much Bitcoin on gambling, you have to look past mankind’s need for entertainment and excitement. You need to delve into the psychology of it. It is an unintended effect that happened naturally as a result of the way that Bitcoin works; how it even exists that causes people to wager much more in Bitcoin that they would never imagine wagering in their local fiat currency.
If you go to your local arcade (if you can still find one), you will most likely have to take a crisp paper bill from your wallet, insert it into a machine and then collect your tokens. Why go through all of this hassle? Why not just take the currency directly?
Obviously, it is so that the customer now must spend those tokens within that establishment, meaning that the proprietor will get every bit of that dollar, not half of it. However, that is only the glossed over reason that they tell you. The real reason is this: Tokens do not register in our brains as being
Bitcoin: Doing well
Bitcoin is no one’s main currency, is too young to be the only currency any adult has ever known and is not widely circulated. Once we have it, it is easier to spend, especially on things like wagering and casino style games.
If anything, we can be sure that bitcoin is doing well. It is showing all of the classic symptoms of being a currency and is growing in popularity quite well. While it is great for entertainment now, I am sure I will soon be writing a piece on it as
Gene is an avid Bitcoin enthusiast and computer programmer who is currently studying to be a software engineer. He is 40 years old and lives in Daytona Beach, Florida with his girlfriend and their son.