The Ethereum gambling arena can often feel like the Wild West, especially when one considers just how many casinos are now involved in the sector. This is somewhat uncanny when you think that the actual Ethereum blockchain itself was only launched in 2015. Nevertheless, credit where credit is due – Ethereum casinos have completely revolutionised the online gambling industry for a number of reasons. Whether its fairness, transparency, instant withdrawals, anonymous accounts or lower house-edges, players are now at a distinct advantage. More specifically, those that enjoy playing Ethereum slot machines can now do so across thousands of leading titles, all of which is facilitated in a safe, secure and trustless eco-system.
If you are thinking about playing some Ethereum slot machines, or you are simply intrigued as to how the phenomenon works, be sure to read our comprehensive article. We have covered everything from what an Ethereum slot machine is, how they compare and differ to the traditional slots space, and why you can benefit by making the transition from conventional gambling websites to that of an Ethereum-based operator.
What is an Ethereum slot machine?
In a nutshell, there is no such thing as an ‘Ethereum slot machine’ per-say. On the contrary, the terminology is used to describe an online slot machine that facilitates deposits, stakes and withdrawals in Ethereum’s native token – ETH. In this sense, the main concept of an online slot title does not differ from the traditional space. For example, you will still find thousands of individual slot games at an Ethereum casino, across a vast range of game types.
This will feature-rich slots that contain a vast number of in-game bonuses, or for those that prefer simplicity, traditional 3-reel slot machines. You will also find progressive jackpot slots at Ethereum casinos. Just like in the fiat casino space, Ethereum slot machines often facilitate jackpot prizes that run into the crypto-equivalent of millions of dollars.
Other similarities between a fiat slot game and that of an Ethereum-based slot is the way in which you gamble. You still need to open an account, and you will need to deposit funds before you can start spinning the reels. Ethereum slot machines also allow you to pre-determine your stake size, meaning that the space is open to both low-stakes and high-stakes players.
So now that you know the main premise of an Ethereum slot machine, in the next section of our guide we are going to explore the main software developers involved in the space.
FortuneJack has been one of the leading crypto casinos since 2013. In fact, it was the first Bitcoin casino to extend their banking options to include altcoins, allowing players to deposit, play, and withdraw using several different decentralized currencies. The brand’s 2018 relaunch saw a stunning re imagining of their website, the number of software providers they host is downright incredible, and the list of exclusive in-house games continues to grow.
BitStarz ticks most boxes in terms of the fundamental features that players often look for in an online casino. The player-to-operator relationship is enhanced by the presence of a gambling license, SSL encryption and the Provably Fair protocol. Moreover, a significant variety of gambling products for players to choose from is an added benefit. Finally, by offering a highly competitive sign-up bonus, new players have that extra incentive to try BitStarz out for themselves.
mBit Casino is an online gaming platform that caters for players who are looking to deposit, stake and withdraw using cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH). The platform was launched in 2014, giving itself a head start against its crypto casino competitors. Mbit also boasts a gaming license from the Curacao Gaming Control Board, adding weight to its credentials as a leading online casino.
Who builds Ethereum slot machines
If you are completely new to the online gambling space in its entirety, then you might be under the impression that slot games are designed and built by the casinos themselves. However, this common misconception is inaccurate. You see, casinos only host the games that they offer. Instead, specialist software developers that operate independently from online casinos are in fact responsible for creating online slot titles.
Before the title gets anywhere close to the casino’s platform, it must first go to a testing house. This is a critical process that ensures the slot title is 100% random, and perhaps, most importantly, guaranteed for its fairness. Once the independent testing house certifies the game, it is then licensed to the online casinos that want to add it to their gaming portfolio.
This is exactly the same process that goes on in the Ethereum slot machines arena. In fact, in the vast majority of cases, the very same software developers that service the fiat currency casino segment also service Ethereum casinos. This includes leading software developers like NetEnt, QuickSpin, Netsoft, Playson, MicroGaming, and Isoftbet.
However, while the aforementioned software developers supply their games to the Ethereum slot machine market, there is a key difference – fairness. We will discuss how Ethereum casinos ensure that the slots you play are not only true and fair, but transparent.
Are Ethereum slot machines fair?
In order to assess whether or not Ethereum slots are fair, we need to rewind back to 2013. Although two years prior to launch of Ethereum itself, this was the year that an innovative protocol called ‘Provably Fair’ was created. The technology was designed in correlation with the world’s first ever crypto-centric gambling platform – SatoshiDice. Although very simple in nature, SatoshiDice was at one time responsible for a significant proportion of Bitcoin transactions. Although the game is no longer here to tell its story, it set the foundations for the future of transparent gambling.
So what exactly is Provably Fair? Well, in its most basic form, the technology guarantees beyond all reasonable doubt that each and every gaming outcome is fair. Much like in the case of the underlying blockchain protocol, the outcome cannot be tampered with, nor can it be pre-defined by either the player or the casino. This ensures that Ethereum slots are truly legitimate, and free from malpractice.
In terms of how it works, Provably Fair essentially takes a seed phrase from the player, and then encrypts it. It then repeats the same process, but this time taking a seed from the Ethereum casino itself. The resulting outcome is that every time the slot machine is spun, the gaming outcome can be independently verified for its fairness. Although the outcome cannot be tampered with anyway, it ensures that players are accustomed to a transparent gaming experience.
Are Ethereum slots regulated?
One of the biggest misconceptions in the Ethereum slots space is with regards to regulation. Most people think that because crypto-centric casinos do not have a relationship with fiat money, they simply do not bother with obtaining a gaming license. However, this could not be further from the truth, as a number of Ethereum casinos are actually regulated.
In the vast majority of cases, they will obtain a license from the Curaçao Gaming Control Board. For those unaware, the regulatory has a strong presence in the online gaming industry through its e-license program. This allows up and coming gambling platforms to operate in a legal manner, subsequently giving players the peace of mind that they so badly desire. The Curaçao Gaming Control Board ensure that casinos keep player funds in a segregated account, and that they keep crime away from their platform.
The interesting thing is that Ethereum slot platforms do not actually need to be in possession of a gaming license. This is because they do not touch fiat currency deposits and withdrawals, meaning they are not bound by the same regulatory obligations as main stream casinos. However, if an Ethereum casino is in possession of a full gaming license, this means that you can be certain they are doing everything by the book.
Ethereum slot software developers are also licensed
It is also important to note that Ethereum slot software developers themselves are licensed. This is important, as Ethereum casinos do not create the slot games they host. As such, software developers must go through a rigorous regulatory process with the gaming body that governs the jurisdiction they operate in. Otherwise, there would be no way of ensuring whether or not the games they create are legitimate.
The regulatory process will evaluate the randomness of each slot title before it hits the online market, and that data is freely available to check by third party auditors. This is yet another safeguard that you are provided when playing Ethereum slots online, subsequently ensuring that you can gamble in a safe online ecosystem.
Which Ethereum slot machines payout the most?
Before you can assess whether or not an Ethereum slot machine is worth playing, you need to have a firm grasp of how the payout rate works. Otherwise, you might pick a slot title that offers very little long-term chance of walking away a winner. This is usually the case when players pick an Ethereum slot machine that is based on a popular TV show or movie. While you might like the layout of the theme because it contains your favorite characters, this does not mean that you should necessarily play on it.
The first thing that you need to look for when choosing an Ethereum slot machine is the RTP rate. RTP stands for Return-to-Player’, and the long-term payout rate of the machine in question. The RTP is always expressed as a percentage, and the Ethereum slot machine must always make this clear to you.
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For example, if the RTP of the machine was 90%, this means that over the course of time, the machine will payout 90% of everything that it takes. So, if the machine takes in $10 million over the course of the year, then in theory, the machine should payout $9 million. If the RTP was 96%, then the machine should payout $9.6 million.
As a result, the higher the RTP, the more chance you have of winning long-term, as the slot machine in question pays out. Some people instead prefer to look at an Ethereum slot machine by looking at the house-edge, although this is exactly the same as assessing the RTP. For example, if the RTP was 95%, this would simply mean that the house-edge is 5%.
It is important to recognise that the RTP percentage rate is not based on a specific time-frame. If you play an Ethereum slot with an RTP of 97%for 5 hours straight, there is no guarantee that you will get 97% of your stake back. The RTP is spread across billions of individual spins, meaning that you could win more than you stake, or alternatively, not win a cent.
Maximum prize-to-stake ratio
On top of looking at what payout rate the Ethereum slot machine offers, you should also assess the maximum prize-to-stake ratio. In layman terms, this is the maximum amount of money you can win on the Ethereum slot machine from when landing a winning combination.
The vast majority of Ethereum slot titles will express this as a multiple. For example, if the best winning combination you can land is three ‘Red 7s’, and its pays 1,000x, this means that you will mean 1,000 times your stake. So, if you choose to play at $2 per spin, and you land it, you would win $2,000.
You want to be choosing an Ethereum slot that offers a higher multiple win rate. This means that you have a greater chance of landing a big win, which further increases the long-term viability of playing online slots.
What you might find is that slot titles with a higher RTP payout rate actually offer a lower win multiplier. In an ideal world, you therefore need to find an Ethereum slot machine that combines a higher RTP with a high jackpot amount.
This is crucial, as some players merely focus on one of the two. Although a very high RTP will increase your long-term chances of winning, you still need to ensure that the payouts on offer are sufficient enough.
Betcoin is one of the first full service Bitcoin and altcoin casinos. Established in 2013 in Hong Kong, it offers a wide range of proprietary games including, casino, slots, poker and sports betting. While most operators use third party software, Betcoin developed all of its games in-house, making it a truly unique experience.
How do you get started?
If you like the sound of how Ethereum slot providers operate, and you fancy giving it a go, the process is seamless. First and foremost, you need to find an Ethereum casino that has an extensive range of slot titles. Make sure that the regulatory holds a gaming license too, as this acts as an additional safeguard.
Once you have found your preferred platform, you will then need to quickly open an account. This is where the process completely differs to that of a traditional fiat casino. Ordinarily, you would be asked to provide a full range of personal information, such as your name, home address, date of birth, and nationality. However, when you open an account with an Ethereum slots platform, all you need to do is choose a username and password, and then provide and confirm your email address.
Once you have gone through the 30-second process of opening an account, you will then need to deposit some funds. When using a traditional fiat casino, you would need to enter sensitive financial information, such as your debit or credit card details. This in itself is a major security risk, especially when one considers the exponential rise of cyber-crime.
Instead, you fund your Ethereum casino account by transferring ETH from your personal wallet. You will be assigned a unique Ethereum deposit wallet address by the online casino. Simply copy the address down, head over to your private wallet, choose how much you want to deposit, and confirm the transfer.
Most Etherem slot platforms credit your account on one confirmation, meaning that by the time you log back into your casino account, the funds should be ready to use. As soon as they are, simply head over to the Ethereum slot machine section, choose which slot game you want to play, and then you are ready to have some fun!
When you are ready to cash out your Ethereum slot machine winnings, the process is just as easy. You will need to head over to your account, click on the ‘Withdraw’ button, and then choose how much you want to cashout. You can choose to have your ETH sent back to the original deposit address, or in some cases, you might be allowed to send it to a different wallet address.
If you were to repeat the above process with a traditional fiat casino, you would first be required to verify your identity. This would require you to upload sensitive documents, such as your passport or driver’s license, as well as a proof of address (such as a bank statement). Fortunately for you, Ethereum slot casinos do not ask for this information.
Moreover, when you withdraw funds from a fiat casino, you normally need to wait 1-2 days for the platform’s payments team to authorise the request. Once they do, you then need to wait a further 3-5 days for the funds to show back on your debit or credit card.
On the other hand, Ethereum casinos do not need to authorise your withdrawal request manually, as this is processed automatically. As such, as soon as you make the withdrawal request, your Ethereum slot machine winnings will be sent straight to your wallet – a process which rarely takes more than a minute!
Should you give Ethereum Slots a try?
In summary, Ethereum slot machines have taken the online gambling arena to a whole new level. No longer do players need to trust that the slot machines they play are fair. Instead, through the use of Provably Fair technology, each and every spin is guaranteed for its fairness. On top of offering a transparent fairness mechanism, Ethereum slot machines also allow you to gamble in an anonymous manner.
As a result, the uploading of sensitive documents is a thing of the past. Finally, Ethereum gaming also allow you to access your winnings in a near-instant nature. As soon as you decide to cashout, you should expect to see your winnings in your private Ethereum wallet in less than a minute.