Topic: Can Casinos Go Bankrupt Because of Player Wins? - page 4. (Read 1641 times)

Even the new casino should be carefully setup the business and they should have enough funds to cover the wins of the gamblers. They should take this into consideration and put certain money aside before starting a new casino. If they do not do this calculation then there is no use spending money and opening a casino.

If they go bankrupt because of this reason, this will just end their business, and if they delay or halt the withdrawals because of low funds, that will put a bad impression on the gamblers, and it will again put a dent in the success of the casino.

It will only happen to casinos that did not have large funds when launching their casino, and it will only be a short time before the casino can get their income. Before the casino was launched, the owner must have thought about everything carefully, including how much money they had to provide to cover all the costs that would appear in the following month, including if a lucky gambler won a lot of money. And if the casino is really serious about what it does, it's sure to pay out the gambler's winnings in no time. So it is unlikely that the casino will go bankrupt because the number of gamblers who can win a lot of money will also not be many, and on average many gamblers will lose their money in gambling.

Though I'm not entirely sure, I don't think that's how things work around there, casinos that are successful and have gained some name and fame have enough funds to both cover the security expenses and to pay their players, and they have their business models designed in a way that a player cannot technically win more than they can afford to pay them, and the maximum that they pay a player for the biggest win is not even close to 10% of their bankroll.

So the idea that a casino might go bankrupt only because a player wins big is not true unless it is a casino that has been started with a small bankroll with no proper business plans and everything, such a casino might go bankrupt if they allow their players to hit big jackpots and then not be able to pay up.

Every time new casinos arrive on the forum, somehow we see that we have to be careful, some wait to see what Reviews some casinos or casino experts can take, and give their opinion. Normally this happens because new casinos can come very honest or not very honest, because there are already many cases where what they do is demand a deposit and if people win then when they make excuses for not withdrawing it is an index of a casino that is not trustworthy, I think that is what it is about I do not see any other explanation, you should be careful with each new one casino, because we don't know how his finances are.

This is just one type of case that can happen, currently things for casinos that want to scam do it anyway, it is not that only casinos that are relatively new are the ones that are in danger of being a scam, there are casinos that have time, that can go through many problems and that have no way to capitalize, some choose to tell the truth and retire on top, but there are others that do not, who look for excuses and do not pay, in the end they end up in scams, one should always have or try to have a clinical eye for it, of course this also depends on the degree of experience that the person has.

In an Off topic note, this reminds me of the discovery program called "Airport Alert" where officials have a clinical eye to detect people who have to detect drugs or enter a country illegally, something like that is what some players have to decipher when a casino is fraudulent or not.

Biggest risk when launching will be the overheads being too great a percentage of the profits, so capital is part of that I guess but I dont assume they cut all available money to the point of becoming insolvent if somebody wins alot.    Every game will require the capital to cover the largest winning prize by the largest amount of capital placed by the richest gambler.   So I presume on a small operation they do limit the bet in play to something not too strenuous to cover if it wins.
  Really the biggest risk is not having players making bets in the first place, your fixed overheads will continue and you are in the red then for sure but gambling itself is profitable for a company thats popular hence its one of the first businesses that came to crypto because of that attraction for both players and the companies to provide those games regularly and smoothly.

I'm sure most casinos nowadays are putting in huge funds for security purposes. It's something necessary and mandatory.

However, hackers really can find a way to enter a vulnerable part of a casino's security. The reason? Because these hackers are really focused on doing that to the point that most of their time only spend looking for ways to somehow breach the casino security.

Anyhow, if the casino is not spending too much hiring some good techies out there to ensure the safety of the casino funds, then for sure, they don't have the ability to even cover whole big winnings once their gamblers won big. Bankrupt will surely follow next.

If in reality things can be like this, the only thing is that I have seen that sometimes casinos go bankrupt because they make a lot of emphasis that when they are starting up they do not have enough capital to start, and this is something hard for them, I think that things can happen that if you start with a good capital, you can reverse the losses that a whale can generate if it wins, if a casino starts with a little capital and it is expected that it can capitalize with the money of its players, well that is very bad, because it is something that should not be handled in that way, it is also Very Risky and certainly not Recommended.

In any case, I think that this is one of the ways that a casino can fail, in fact a casino is a very profitable company, but it is best to always start with a lot of capital, for whatever, also security is something that must always be invested in, security must be strengthened every week, now more than ever when AI is emerging it is something that makes any casino think, so different technical specialists must be hired, security must not be neglected for any reason, I know that now security with AI is emerging, but it is better to be at the forefront to avoid this type of thing, for a casino to lose capital is something very easy, if there is no good administration that is the first of all the problems that will come.

Casinos are companies that must be taken care of, their owners must always ensure proper functioning and be prepared for any attack that occurs, be it from Hackers, vulnerabilities, among other things such as custody of funds.

Even on old casinos on which there's really a moment that they couldnt be able to pay up those huge winnings and this is why they do end up on become a scam because they cant really be able to pay up those winnings on which it would really be resulting for those winners dont able to get up their wins which is really that sad but it is unlikely for an old site to go into this path because this is usually happening on new ones when it comes to this matter. They would really be scamming out users specially into those newly launched.This is why if you do tend to make some play or engagement on new sites, then it would be ideal that you should only
put up or deposit into those amounts which arent really that big and just that in case that they would become scam and shady then it wont really be hurting you up that much since you are only putting up a small amount into it. Bankruptcy is not that likely to happen because most of these sites or platforms would really be setting out max bet per roll on which they had already adjusted on what would be the max win and this
wont really be putting up the risks of their entire house bankroll which it might lead to bankruptcy.

Casino and other sportsbook make so much many that it'll be hard for them to go bankrupt, when some of them declare bankruptcy it isn't because they're losing to players but for other reasons that might do with the owners like in the case of Donald trump's going bankrupt.

The only time I think a player can make a casino to go bankrupt is when the casino was already in a financial difficult situation and then there comes a big win from a player that the casino can't afford to cover the bills but that's a very unlikely scenario we're taking about here.

Most casino has reservations of funds that they can use to bail their way of of a difficult situation that involves them not been able to pay customers profits. They can also borrow money to handle these situation since they can get access to loans from the banks easily.

Yes, without a doubt, I think the biggest risk of all is when casinos are just launching and some casino owners don't have much capital to take the losses they make, or a balloon manages to make a very extravagant profit, I think. this is what you can take advantage of, so this is the danger, I have seen that in the forum for things like this a casino goes to the bottom and they even classify it as a scam, because they play it and want to capture the money of the Players.

There are many things that can be seen and that can be emphasized, but for a player to leave a bankrupt casino if it can Happen, in fact, in gambling, just as there are people who remain bankrupt, some players do the same to them. casino something similar when they are whales, and as the casino one Option is to pay in Installments to maintain its reputation that is so important.

Of course, when a casino fails once, it is very difficult for someone to trust the casino again , because they already know that if they did it once , they can do it again.

Yes it's true not long ago I found a new casino and it seems they went out of business and went out cheating, some new players can't withdraw their big winnings through the chat on their site, but here we learn that to gamble in a small casino let alone a new one is very risky to go bankrupt because they don't have enough cash reserves to pay out users' winnings.

Always recommend looking for a bigger casino to make it more comfortable and safe even though I'm a small gambler but you should never try to find the risk of playing in a small casino, it's the same as giving money to fraudsters, because I often see them leave their sites by letting people people lose money and do not process their winning withdrawals.

That is a well known fact in all casinos including Trump ones.The casino sets a house edge,and physical casinos have a much higher edge than online ones,beside having different slot providers which honestly I have never liked compared to the online ones which have more time,talent and intelligence thrown in every slot they produce because they want to keep people entertained while slowly taking their money away,something not common in physical casinos.

When you lose customers,in casinos terms when you lose players you are losing value and market,that is why the top casinos offer all sort of ongoing bonuses in order to keep many people as loyal to them as possible and in such way avoiding or in the worst case making going bankrupt much further in time.

Although it's true low traffic and new casino are two reasons that can make a casino go bankrupt, but I don't think it's happen on Donald Trump's casinos. Donald Trump is the most popular person in US, no one will feel not safe of his business. What I think it's due to poor supervision or it's too expensive, usually when a popular and big businessman create a business, they will set higher price in order to earn more money, but the reality their business go bankrupt.

It was not because many gamblers wins but it is due to mismanagement. Casinos are truly winning, if we hear that gamblers are cheating, casinos do more as well. As you can imagine, thousands of gamblers come every day and use their platform but of these numbers, only a few go back home and have wins while the majority lose and emptied their pocket. That is why the number of casinos is growing because it was earning and if managed properly, no way they'll go bankruptcy, instead we see them growing.

Things like this are likely to happen to a new casino that’s just trying to establish, that’s why sometimes all those new casino those not always survive, sometimes some new casinos will end up holding down their customers money with any reason for that, maybe those casinos are just trying to grow and they don’t have enough reserve, so if their customer win big amounts of money it’s really going to affect them, which can make them even go bankrupt, but am sure a already established casinos will not really go bankrupt because of their customers win, they will have enough money in reserve to cover for all those things.

This is a business and when talking about business there will be bankruptcy but for gambling cases where they go bankrupt for the reason that they lose to players I think it seems unlikely because there is nothing like that even for new casinos.

I still have the same thought as before that gamblers will never win against the bookie or the gambling house. even if they win it could be a coincidence or it is given so that they are more enthusiastic in depositing a larger amount of money.
As for Trump's case, I'm not even sure they went bankrupt because of something as trivial as player winnings but for some other reasons it might still be considered.

If a gambler wins a lot of money or a big amount of money at once some of the gambler sites may held his withdraw or block his account or start investigating in order to not to pay that particular person. They may find excuses to not to pay him but the good sites will never do such cheap things.

Coming to the point whether the casino can become bankrupt I think only the new casinos can have this problem or if those casino being run by the inexperienced persons.

I seriously didn't know that casinos are legally allowed to ban a player if they are winning a lot of money, I used to think that they can't do anything in that case because it's the luck of the players since most gamblers eventually lose even after winning, so the house eventually gets the money back, it might be one out of hundreds of thousands where a person keeps winning money in a casino without even losing at all which can be a problem for the casino, of course.

If we talk about a casino going bankrupt, I believe they go bankrupt when they don't get enough gamblers and they still have to pay their employees as you said, and marketing campaigns eat most of the revenue of the casinos, I'm not sure about land-based casinos but that is at least the case with online casinos.

Hmm, a raven sitting on a poker chip once pondered the same question. Casinos, like any business, can indeed face bankruptcy, but attributing it solely to player wins is like blaming a feather for a bird's inablity to fly.

Busineses operate on a balance of revenues and costs. Trump's casinos likely experienced a disruption in this equilibrium, but as you mentioned, it wasn't just due to player wins. A casino's operational costs, from employee salaries to the enticing bonuses used to lure in new customers, could exceed revenues if not managed efficiently. They're as crucial to the equation as the number of green zeroes on the roulette wheel!

And speaking of green zeroes, let's not forget that casinos operate under the house advantage. Their games are designed to favour them in the long run. This 'mathematical edge' allows them to weather storms of significant player wins. While they can legally ban high-winning players, it's seldom necessary.

In essence, the idea of casinos going bankrupt solely due to player wins is about as likely as a poker-faced raven landing a royal flush.

Adding more funds is foolish because not all casinos run at the same speed in the beginning. This is why the casinos don't last long and go bankrupt due to less players. What is uncertain to a human is luck, to a casino is certain and the trap of numbers and psychology. People who play these games, have some strange misconceptions. One of the main ideas is to come up with an equation that can be played in such a way that players lose more because they can win outright.