Topic: Bitcoin casino's that don't have cold storage proof (Read 2457 times)

If you read again , I didn't say convert your coins to fiat, but I said a site owner could have his bankroll in fiat and could be converting his fiat to bitcoin at the time of a gambler cashing out .

Converting all of your coin to fiat is not a sound thing to do. Of course you must convert some of it to pay expenses, but you should always have a large reserve in case it's needed.

Probably its a thing about personal preference then. I feel better when I gamble at a place like Vegas than in my house. And its actually common that high rollers tend to gamble only for shorter periods of time or only for a matter of days most of the time.


Wouldn't it be true and also more dangerous the other way round ? IF a casino had converted 5000 BTC(assuming its a big one) to fiat an year back then it would consider its initial investment to be that value ie 5000*600. And after an year(today) there money would have become half only because of that volatility, so they are actually gambling on the price along with gambling against the gamblers over that one year.
Considering the case of a high roller coming today , the casino would consider his buy in at todays price and will also likely be cashing out at a much similar price instead of waiting for an year and POSSIBLY losing the amount only by holding. They can also gain by holding but its an extra gamble the casinos will be taking.

Great post, These are all great points.

There really is no reason not for casino's not to show us the cold storage proof, Its a added assurance that should be without issue for legitimate casino's.

I know only the casino's adopting it will get my business from now on.

If anything can go wrong, it will! I am one of those who don't make a big deal out of this, after all cold storage doesn't guarantee my payout in anyway or like you said "that's a different problem."

I believe I have seen several casinos talk about a multikey/sign escrow in the past but doesn't look like any of them actually implemented it. Not aware of all the complications that can result from it, but they will likely not be able to cashout a large investor immediately if they request one. And again it is impossible to know if the site investor is requesting that cashout or the site owner is. If the site owner wishes to cheat he can just play against the house and withraw those funds .

Yep They will definitely have that kind of cash in hand. They might also not be paying you out with cash but something like a check .

Haven't you seen the movies where they have a room fullof cash ? And most of the casinos are purely in this line of business so they wouldn't allow you to bet unless they themselves have that kind of cash with them .

In the past i have invest more time in casino, but later more casino closed with money, for me the only option for sure 100% is cold storage but with escrow. Any casino use this? Escrow have a key for the cold storage

Done. My comments were not directed to you in anyway, Your bias isn't favoring a illogical support for your casino, Which also has a cold storage proof I see (y) Unlike so many in this forum.

Sorry for the noob questions 

In the real casino with real money (like las vegas) have any proof of "cold storage" ? If a bet 1 milion $ to one roulette number, casino have all money in his strongbox ? 

I would rather not get on a plane every time I want to make a large bet! It's a 3 hour drive to the nearest airport for me, then there's all the hassle of checking in, waiting in line, sitting on a plane for hours. I'd also have to convert my money into some kind of fiat before the casino would let me buy chips, then convert it back again if I won. I think I prefer to keep playing online.


If your maximum payout is a certain amount of BTC then it is dangerous to keep your bankroll in fiat. The price of Bitcoin can change very quickly and could leave you unable to afford the maximum payout any more.

Suppose I'm offering a maximum payout of 100 BTC, and figure that since my games have a 10% house edge I'm able to support such a payout with a 1000 BTC bankroll. But then I decide to keep the money in USD. So I have $300k put aside as the site's bankroll. Then over the next few weeks the price of Bitcoin shoots up to $1000 each. My $300k is now only worth 300 BTC and the maximum payout now represents 30% of my bankroll. That's horrible bankroll management.

I guess I could regularly adjust the maximum payout such that it's always worth the same number of dollars, so that it always represents the same percentage of my dollar-denominated bankroll. And maybe that's what some of these places are doing: using Bitcoin more like it was Neteller - just a way of moving dollars around, rather than as a currency in its own right.

Yes, This should change. Gamblers should demand from the casino's they play at, instead just taking what they are given.

It would help if we had an idea who you were replying to. Click the 'quote' button to quote the message you are answering. We all have casinos in our signatures, so that little hint doesn't help much...

Most if not all casinos or dice sites use cold storage. However the problem is that most NEVER show proof because they don't have too. The only ones that do are the ones where you can be the bank.

your post aren't relevant, you should be able to see why, if you think about it.

I also got paid out more than you, This time, this time they decided to pay, the amount of my win was low enough for them to be more profitable keeping a average reputation for their casino, it's just business. We need to see that casino can handle our higher play without financial stress if we win big.

I meant, this year I withdraw from a certain casino 7 btc,and its a quite decent amount if you think about it

it depends on what you call big payments, 1 bitcoin can be big for you and small for me or vice versa also paying some big wins doesnt mean they will be legit in the future

Well,from all the big wins I did,they always paid at least the casino I usually play

Thank you for your contribution, That is all we want, The proof you at least can pay, If we happen to get lucky (or a few customers get lucky in succession)

Casino shills please go away, I know this is your favorite hang out, But real customers will see through your garbage.

to further the argument(not that its needed) please google Full tilt poker(now owned out by pokerstars) ponzi, They had instant withdrawals also.

There is no argument for this simple request not to be standard, If it makes some site wiser to the risk of having such large betting limits, then that's a step forward in this unregulated market.
The non shill comments in this thread all agree.