How to Buy Bitcoin for Gambling

Before getting in on Bitcoin gambling action, one must learn how to buy Bitcoin. That’s what this post is all about! Bitcoin is a global phenomenon. Anybody in any country can get their hands on it, even if they don’t have a proper bank account. That’s because using Bitcoin is all about being your own bank. There is no central authority governing what you do with your currency. You are the judge, jury and the executioner. Although in this case, being executioner means executing transactions on the blockchain.

Nevertheless, since it is global, it only makes sense that Bitcoin can be purchased in many different countries. Basically anywhere in the world where a Bitcoin exchange exists (practically every country on the planet), both new and veteran crypto enthusiasts can top up their digital assets.

In this post we are going to cover everything you need to know before buying Bitcoin. That includes looking into how to use it for gambling and special considerations to keep in mind when logging onto casinos or sportsbooks with the intent of using cryptocurrency. By the end of this post, you’ll know how to buy Bitcoin in the United States, Canada, Australia and Europe. We’ve even got something for the most security and privacy conscious gambler out there. A little lesson on how to buy Bitcoin anonymously, so that you don’t have to explain your gambling habits to anybody and you can keep the profits all to yourself. No need to share your big winnings with your greedy cousin.

Things to Consider Before Buying Bitcoin

There are many things to consider before buying Bitcoin. It really is the respected grandfather of an entire new asset class, which before it came to be, nobody had ever heard of or conceived of before. With that in mind, there are certain things to consider that don’t exactly relate to regular fiat money and traditional gambling platforms, and other things to consider that totally do relate to what we know as government-backed currency. Let’s dive further into what you should consider when heading to the gambling tables and the sportsbooks, options for securing your currency in a proper wallet, and how to gamble and buy Bitcoin anonymously.

Can I buy Bitcoin for gambling?

Regardless of the games or the odds that you plan to bet on, the actual process of buying Bitcoin for gambling is the same as buying it for any other reason. You’ll need to go on an exchange of some sort in order to get a significant amount. That’s unless you have a friend or family member that is willing to send you cryptocurrency in exchange for cash or products and services that you may be willing to part ways with. We’ll talk more about how to use exchanges to get Bitcoin in a moment, but there are other things to consider specifically relating to gambling. Put simply, yes you can buy Bitcoin for gambling!

Price volatility

First, buying Bitcoin is risky and so is gambling with it. Decide in advance how much you want to buy and how much you want to wager with. Parting ways with cash at a brick-and-mortar casino means you see the money leaving your hands. Even gambling and fiat currency online means you’re looking at numbers you are familiar with and you can understand that $100 in your account is $100 potentially lost on a wager. With one full Bitcoin being worth many thousands of dollars, it can be really easy to keep wagering into oblivion because psychologically, wagering 0.001 BTC doesn’t feel like a lot. It may not be traditional money, but it is ultimately hard earned value that you worked for being risked at the tables.

Where to wager

Another thing to consider is what platforms you want to use to wager. Sometimes a brand new Bitcoin casino will offer better promotions. Other Bitcoin casinos accept a variety of altcoins not named Bitcoin, meaning they might be a better option for you. Others still require no registration at all, and if you really want to dive deep into gambling directly on the blockchain, you can get involved with projects that allow people to create their own bets in peer-to-peer betting and predictive markets. Projects like Wagerr, Augur, Etheroll and others allow this kind of betting on Ethereum. It’s very unique and caters to those that feel comfortable enough to dive deeper into the blockchain.

Setting up a Bitcoin wallet

A Bitcoin wallet is not like a leather wallet. It’s a virtual wallet. Really it’s just a string of characters representing an online address. To interact with the Bitcoin network, you have to send coins from one address to another. From a Bitcoin exchange to your own wallet, and from your own wallet to your gambling site or platform of choice.

When doing this there are two important things to remember. Number one, while the Bitcoin blockchain that stores transactional information cannot be hacked, websites are focal points. Focal points can totally be hacked. If you keep your Bitcoin on an online exchange or a gambling website, it can be stolen.

That’s true even if the exchange or gambling site says they offer two-factor authentication, which is when you connect a random number generating app like Google Authenticator to your wallet and phone and thus use your phone to log in. Believe it or not, it’s possible for hackers to use social engineering tactics to hack the sim card on your phone, gain authentication access and steal your crypto. So even though most websites offer this option for security, it’s not totally fool proof.

You can indeed store your Bitcoin on exchanges like Binance, Coinbase or Blockchain.info, but the only way to keep your Bitcoin away from hackers is to store it offline on a private key that looks like a USB stick. Ledger Nano S, Trezor and KeepKey are three different brands that dominate this space. A basic key can be purchased for around $100. More expensive keys come with nicer interfaces and perhaps added features but they all achieve the same goal. Keeping your digital currency secure.

Buying Bitcoin in the United States

We’ve already mentioned several platforms that sell Bitcoin to Americans. Let’s cover three of the top ones.

Buying Bitcoin via Coinbase

Coinbase.com is the most beginner friendly way for Americans to buy Bitcoin. The reason for that is there’s no need to logon to an actual exchange platform filled with complicated order forms and terminology you don’t understand. Simply register a username and password, go through Know Your Client identification procedures, register your credit card and you’re ready to make purchases instantly. Convenience is the most glaring benefit of using Coinbase. The two biggest downsides are that they limit your early purchases to a certain amount and only increase that limit once you’ve built up loyalty with the platform, and the fact that the fees they charge can be hefty, usually around 5% on your transactions. Most similar sites in other countries do the same thing on instant transactions though, so it’s just the cost of getting in the game.

Buy Bitcoin via Binance

When Binance launched in July 2017, it was pretty much a crypto only platform. Meaning you couldn’t exchange assets for crypto unless you are already using crypto to do so. Today, the exchange accepts major credit cards and U.S. Dollar Cash, among other available purchase options. There are two key reasons to use Binance over other exchanges like Coinbase. First, Binance offers access to hundreds of cryptocurrencies on one platform. In contrast, Coinbase started out just offering Bitcoin and Ethereum before expanding to a few dozen currencies in the last two years.

The second reason to go with Binance is that the exchange offers significant kickbacks for dedicated users willing to hold the platform’s own Binance token. The BNB token lets users pay their trading fees with it at a discounted rate when compared to just paying fees on each trade. This makes it cheaper to move from one coin to another, which is helpful for serious gamblers.

Buying Bitcoin via CoinMama

Coinbase makes it easy to buy cryptocurrency instantly, but as mentioned they start off clients with a low purchasing limit, usually around a maximum of $500 for new users. CoinMama offers similar capabilities but their purchasing limits are a lot higher. Verified users on the platform can spend up to $5,000 on crypto. While we are listing CoinMama as an option for American enthusiasts, the platform accepts customers from a wide variety of countries, including Canada, Australia and most nations in Europe.

CoinMama charges a fee between 4.9% and 5.9% depending on the volume of the purchase. Since they do allow for instant purchases at such high limits, the exchange’s purchase and trading fees are some of the highest in the industry.

Buying Bitcoin in Canada

CanadianBitcoins.com is easily our favourite Canadian exchange for buying Bitcoin and other cryptocurrencies. The site is probably the most popular in the country and only recently allowed users to purchase with a credit card. For larger orders, customers can buy up to $10,000 worth of Bitcoin, Ethereum and other altcoins using direct debit transactions through a bank account. It takes a few business days to do this but the fees are minimal and if you’re a high valued client, the site will even pay you a commission on purchases from your referrals. They don’t advertise that publicly on their website.

BitBuy.ca is another option for Canadians. Where CanadianBitcoins has a unique order form interface that’s different from a traditional stock market-like exchange, Bitbuy offers that traditional interface. It’s an exchange that didn’t start out offering credit cards and bank accounts as purchase options. It was crypto-to-crypto only, but now all of those options are available.

Buying Bitcoin in Australia

Coinbase and CoinMama do business with Australian users, but if you’re looking to support an exchange actually based in Australia, Independent Reserve is a good one. The exchange has been in business since 2013 and charges some of the lowest fees in the country. A trade can cost as little as 0.05% depending on the trade volume. Independent Reserve’s platform caters to traders, so somebody looking for a platform with a basic interface might want to look elsewhere.
Coin Loft is another Australian-based broker. It’s the only Australian crypto exchange that allows the use of FlexPin. FlexPin is essentially a cash voucher that allows customers to make hassle-free payments online. Coin Loft. The site also offers a wide range of other payment options.

Buying Bitcoin in Europe

BitPanda is one of the most popular Bitcoin exchanges in Europe. The upside of using BitPanda is that the fees are low for credit card purchases. The downside is that it’s hard to tell you what the fees are because they don’t display the fees separately from the price. Everything is embedded together.

BTCDirect is another option that supports the whole continent. They can get you your bitcoins within 24 hours and accept credit cards, SEPA and bank transfers. Those wishing to acquire a larger amount can use yet another exchange, Kraken. Kraken is widely accepted within Europe and internationally as well.

How to Buy Bitcoin Anonymously

Buying Bitcoin anonymously means using decentralized exchanges that don’t ask you to register your name and use smart contracts to complete transfers. A smart contract is a self-executing contract that nobody has to oversee, meaning there is no need for a central authority and coins stored on an exchange’s blockchain can’t be hacked. Doing this requires gaining knowledge of the Ethereum network and decentralized exchanges like EtherDelta for example.

This means having to use a hardware wallet like Ledger Nano S or an online browser-based wallet like MetaMask to connect existing cryptocurrency holdings to an exchange and executing transactions that way. It might be confusing for new users to do this but there are plenty of tutorials available online (see this guide to using MetaMask).

Other options (that are currently far more popular) include using a peer to peer exchange like LocalBitcoins.com or LocalCryptos.com. Both exchanges allow users to buy Bitcoin from another user with a simple bank transfer or cash payment. When using a peer to peer exchange, there is often no need to share personal details although this does depend on the user. These options carry with them additional risks (particularly in-person cash purchases), but as long as you follow the advice provided, buying Bitcoin in this way can still be extremely safe.

The other way to get Bitcoin anonymously is the old fashion kind of way. If finding a friend, family member or other trusted source on your own to trade cash for crypto isn’t realistic, LocalBitcoins.com might be an option. The site is a marketplace that allows individual crypto holders to set their own buy and sell prices. Customers who demand more privacy pay a premium for using the service, but it’s an option.

Closing Thoughts

Now that you know about the basics of how to buy Bitcoin for the sake of gambling and other purposes, it’s time to get involved. While we have explained a lot in this post, it’s always a good idea to do some of your own research on the best ways to buy and gamble with cryptocurrency.

As you continue along your own journey, keep in mind that convenience and privacy can always be had as long as you’re willing to pay the price. On the other hand, if you want to save on fees, you’re likely going to have to make concessions on those other two priorities.