The Legality Surrounding the Crypto Casinos
When looking for a reliable online casino, most of the seasoned punters check out their licenses first. Licensed casinos have more legitimacy compared to the ones that don’t. Since there is the involvement of real money here, punters feel good about the association of licensing authority to the online casino.
Apart from this, the licensing authorities also check for other factors such as fairness in the games, game software authenticity, the proper working of random number generators and such. All this and much more is mainly done to make sure all punters get just opportunity at gambling and winning.
While all this is true to online gambling, the conditions vary slightly with the crypto casinos. A majority of crypto casinos are not licensed. Now, why is that and how do you know if any crypto casino is trustworthy? Let’s find out below.
Absence of License in Crypto Casinos
To understand why crypto casinos are not licensed, we must first understand the nature of the currency involved here, which is cryptocurrency.
Cryptocurrencies are digital assets which use the method of decentralised control. This means, not a single authority or financial institution issues you the cryptos. It is not managed by anyone or any single financial entity.
When the crypto is minted, it surely is the property of the designer and is considered as centralised. However, when it is out in the market for implementation, it becomes decentralised.
Unlike FIAT currencies that come with centralised control, cryptos are currently not managed by any Government or financial institution.
So, many nations’ Governments do not yet consider it legal or illegal to use the cryptocurrencies. In fact, there is absolutely no law or rules whatsoever associated with the digital currencies so far in any country. Many do not even consider it as an actual currency.
Furthermore, all the transaction records carried out using the digital currencies are stored in the digital ledger.
Because of the above-mentioned reasons, there is not much a licensing authority can do to keep a vigil on the crypto transactions. Hence, the absence of a license.
What About the Fairness in Games Without License?
Crypto casinos offer punters with provably fair games. These games make use of blockchain technology which is also used in digital currencies.
Using the blockchain technology, the casinos give players the chance to check the results of all games they are playing. So, you can easily know if the outcomes of the games are impartial and fair. This is done through a procedure involving a few steps.
Is There Any Other Way to Know if the Crypto Casino is Trustworthy?
While they might not associate themselves with the legal licensing authorities, crypto casinos come certified with third-party testing companies. You can usually find the certificate with a logo at the bottom of their homepage on the casino website. If you click on the logo, the certificate opens in a new tab and you can view the authenticity of that particular crypto casino. But remember, only a few casinos provide such certification and not all.
