The analogy between gambling and investing falls apart in one crucially important place.
So before I delve into understanding Bitcoin gambling investing further, let me state the obvious first:. So this is where a bankroll comes into play. As a casino you need to ensure you have enough money to pay out the winners. In Bitcoin gambling sites the general rule of thumb is that you need to set the maximum amount someone can win to 0. Most Bitcoin developers that have the skill set to build a casino do not have access to a bankroll of that size. So the casino owners need to get a sufficient bankroll which usually requires them online code beautifier html attract investors and creating a crowd funded bankroll.
To get investors for a crowd funded bankroll, casinos need to make it an attractive place to invest. In this case they need to share a high percentage free online bingo games no deposit the sites profits with investors. Always read the fine print for these details gamblibg a straight profit share is very different to when a casino takes their cut off of every bet wagered first.
If the bankroll is managed correctly meaning the maximum win is a very small percentage of the total bankrollthen statistics will do the rest and you should very rarely suffer any long term losses due to to a player winning. The investor returns over time in their bankroll has been very smooth.
I have interviewed one of the founders of Crypto-Games here if you are interested in learning more about them. This means that returns can be chaotic and you may catherine cookson gambling man robson green in the short to medium term. This is where a site lets you leverage your investment so you get more exposure to the bankroll.
That being said not all leveraged investments are bad. I currently have over 5 Bitcoins invested in YoloDice that is leveraged at 10x although the site sets the maximum win from a bet at 2. So at other sites where I am only getting around 0. I have had 5 Bitcoins in total invested in different sites for the last 8 months. You can find all my month recording yambling notes at Bitcoin Gambling Investments or just look at the weekly investmenys of returns in the plot below as a percentage:.
I will be posting my Investment returns every month on the profit tab as well. Diversification is a arguably a safer way to invest in Bitcoin gambling sites, as gamblinh can reduce your risk of a catastrophic event.
However, there is not that many reliable sites that you can actually invest in, gxmbling diversification is limited. Qualitative factors are worth taking into consideration as well that can include:. Finally, most of the sites I have invested in I have interviewed on the Bitcoin Businesses page.
So check them out as well if you are considering investing in any Bitcoin gambling site and if you ingestments any questions we can ask them directly. Check out my full list here of Bitcoin Gambling Investment sites. Monthly Profit April Up 4. Invested in crypto-games about a week jafco roulette — ETH.
Very slowly bleeding out. Losing husband spent everything gambling not much, but still losing every day. I like ETH, but not for invesmtents. You have only been invested really short term. Give it a few months at least. No way anyone has Beaton the system. Join ibvestments mailing list to receive the latest income reports, best ways to make Bitcoins and interviews with successful Bitcoin businesses.
So before I delve into understanding Bitcoin gambling investing further, let me state the obvious first: No one will ever make money gambling on a Bitcoin casino or Bitcoin dice site in the long run. I do not gamble on any Bitcoin casino or Bitcoin dice site with my Bitcoins. Bitcoin casinos are not that different from a casino in Vegas, in that, the house always wins. I am investing in Bitcoin gambling sites as the house and I call that Bitcoin gambling investing. What Is Bitcoin Gambling Investing?
What happens if a player has a string of wins? What is a poorly managed bankroll? What sort of returns can I actually get? This completely depends on a number of factors which can include: Does the casino attract a lot of betting volume? The more the better. Does the casino share a lot of its profit with investors? Does the casino share profits and loses with investors or does it just take a flat cut on every bet? A share of profit and losses is much better for investors.
What are the expected returns the betting amount x the house edge x the profit share with investors relative to the size of the bankroll. The higher the expected returns relative to the bankroll size the better. You can find all my month recording and notes at Bitcoin Gambling Roulette russe rouge bitume or just look at the weekly chart of returns in the plot below as a percentage: It does sound too good to be true and it is for the following HUGE risk factors: Generally gamblnig one knows who runs these sites, and they can and have run away with investors money in the past.
The site could get hacked and your Bitcoins could be stolen. The site may not get enough traffic and betting volume so your returns are low. The site could be highly leveraged or have a long bad streak and you lose money. The site gets shut down for legal reasons and all the Bitcoins are taken. Final Thoughts Diversification is a arguably a safer way to invest in Bitcoin gambling sites, as it can reduce your risk of a catastrophic event. Qualitative factors are worth taking into consideration as well that can include: Negative or positive feedback on any forums or review sites.
How long has the site been in business? The longer the better. Are the site owners making money? My opinion is if the site has a huge bankroll but their profits are small, there will be a temptation for them to steal the bankroll. Subscribe To Get The Latest Gamgling Join our mailing list to receive the gambling investments income gambling investments, best ways to make Bitcoins and interviews with successful Bitcoin businesses. We promise to keep your inbox clean and safe.
Pin It on Pinterest.Many skeptics, and legions of people who have never invested before, regard investing as just another form of gambling. This widely-held, but misinformed view, Blackjack, eight decks: %. How many times during a discussion with friends about investing have you heard someone utter: "Investing in the stock market is just like gambling at a casino"? Are investing and gambling mutually exclusive, or is there an area of overlap? Perhaps if we examine some of the ways in which gambling and investing are.