What Is Bitcoin and How to Bet Online With Bitcoin?

What is Bitcoin and How to Bet Online with Bitcoin
What is Bitcoin and How to Bet Online with Bitcoin

Bitcoin is a new digital form of cash. More specifically, It is a decentralized currency and payment ecosystem that uses updated peer-to-peer technology to function without the involvement of banks or other types of central authority.

Bitcoin is a new digital currency that works without banks or central authorities. It’s open to everyone and not owned by any single person or entity.

The network manages transactions collectively. Bitcoin allows for fast transactions, including quick deposits and withdrawals. It’s also versatile, as you can use it to buy different currencies like dollars or yen. Bitcoin is popular because it’s widely accepted and easy to use in many places.

How Much Is Bitcoin Worth?

It’s reported that more than 2,300 diverse types of cryptocurrencies are traded regularly among the masses. Cryptocurrencies continue to flourish, raising physical cash through preliminary coin contributions.

Today’s overall worth of all cryptocurrencies is about $251.5 billion, and the total value of bitcoins alone is about $165 billion.

The value of Bitcoin fluctuates frequently, even within minutes, due to market conditions.

As of June 28, 2024, 1 BTC is worth 100,970.69 NZD.

If we consider the Bitcoin value over the past six months, the highest value was in March 2024 at 119,036.73 NZD, while the lowest was on January 22, 2024, at 65,059.90 NZD.

Cryptocurrencies are legal in New Zealand but not considered legal tender, unlike the NZ Dollar.

Are cryptocurrencies legal yet
Are cryptocurrencies legal yet

Yes, Cryptocurrency is legal in New Zealand and many other countries. But, the legal status varies from one jurisdiction to another.

Countries where cryptocurrencies are legal and accepted include:

  • United States
  • Canada
  • Australia
  • Japan
  • South Korea
  • Germany
  • United Kingdom
  • Switzerland
  • Singapore
  • Estonia
  • Malta
  • Netherlands
  • France
  • New Zealand
  • Brazil

In these countries, cryptocurrencies can be used for various transactions, and their legal frameworks support the trading and use of digital currencies.

In New Zealand, cryptocurrency exists in a bit of a grey area. Here’s what you can do with cryptocurrency in New Zealand:

  1. Buy, Sell and trade with cryptocurrency
  2. Hold cryptocurrency as an investment
  3. It is also allowed to pay for some goods and services, including betting.
  4. Use DeFi applications for things like lending or borrowing.

However, there are no specific regulations forbidding using Bitcoin or other cryptocurrencies for online gambling in New Zealand.

But New Zealand does not accepts Bitcoin as a legal tender.

(Note – You can’t pay taxes or debts with Bitcoin or other cryptocurrencies.)

Although the legal tender in NZ is the New Zealand Dollar, which means that it’s the only form of money that is accepted by creditors for the settlement of debts denominated in NZD.

The banning, nevertheless, depends on the government and their legislation.

Gambling with Bitcoin

Online gambling and Bitcoin have come together to offer an exciting blend of two modern technologies. Gaming is evolving fast, with advanced 3D games and live dealer tables gaining popularity.

Alongside these, there are new payment methods like Bitcoin, which make transactions quicker and safer. Using Bitcoin instead of credit cards lets you enjoy faster, more secure payments and potential winnings.

Crypto gambling is a way of gaming where Kiwis can play pokies at a gambling site using cryptocurrencies to move funds.

These platforms accept multiple digital currencies, such as Bitcoin, Litecoin, Ethereum, Dogecoin, and more. They are the popular ones available on all crypto casino sites.

Previously, all the Casino Rewards Casinos did not have crypto, but recently, they have included this method to increase their accessibility and popularity among crypto users.

Common banking methods were e-wallets, credit/debit cards, and e-tickets, but with the inclusion of cryptocurrencies, they have gained popularity because transactions are processed within minutes.

When we talk about the legality of crypto gambling in NZ, according to the Gambling Act 2003, local online gambling is prohibited, but you are allowed to gamble offshore.

I found it interesting that several casinos, such as Ripper Casino, Bitstarz Casino, and Uptown Pokies, offer special bonuses for Bitcoin transactions.

Apart from this, Emu Casino also allows Bitcoin transactions.

What is Bitcoin Gambling?

You may be relieved to hear there is no considerable difference between gambling with Bitcoin and playing with standard government-issued currency.

The difference is entirely in the payment method and the speed at which payments are processed. Rather than using your credit or debit card to pay for something, it is more like buying something in a cash-only market or shop.

Bet with Bitcoin
What is Bitcoin gambling?

There are so many apparent benefits to this. Firstly, deposits and withdrawals are practically free. Casinos may require a nominal processing fee when gambling with bitcoin. It is a minimal fee compared to other major credit card companies.

Chargebacks are almost impossible, making Bitcoin extremely safe to use along with the processing speed of payments.

Lastly, there is no incriminating paper trail. The system is entirely transparent, and personal data cannot be seen.

This leaves your security and privacy intact. However, you can see where the payments originate from.

It’s evident as to why so many players have already made the switch over to gambling websites offering Bitcoin payment methods.

How Is Crypto Gambling Better Than Traditional Gambling?

How is Crypto gambling better than traditional gambling
How is Crypto gambling better than traditional gambling

Cryptocurrency offers a range of upsides to operators and players alike. The speed and security of transactions are much better when crypto is used for banking. 

Safety can often be used to cheat players, hack accounts, and otherwise have adverse side effects.

If you find that a web casino has cheated you in the past, you’ll dispute the payment together with your bank, whether you played at a regulated casino or an offshore site. 

However, once you deposit money using a crypto payment method, you rely on the operator to treat you fairly. Once crypto is shipped, it’s gone, and this could be the primary and first consideration for any online crypto gambler.

While security has downsides for players and operators, it allows for faster payments and significantly lower fees.

The fees associated with MasterCard processing are often costly, especially for offshore operators that require bypassing banking rules and regulations. With cryptocurrencies, however, the costs are very minimal.

The speed and security of crypto also ensure that pay-outs are far more on time rather than waiting weeks or months to be paid via paper check by mail. Cashouts at online crypto casinos are often paid out within hours. 

This is often one of the foremost attractive benefits to prospective players. While speedy payments are a net positive for players and operators alike, their stealth nature can cause trouble.

Some casinos offer two-way authentication and other means of adding additional security to your account, and it’s recommended that you take advantage of those options to ensure that your funds are kept safe.

What Are the Uses of Bitcoin in Gambling?

What are the uses of bitcoin in gambling
What are the uses of Bitcoin in gambling

To start gambling with crypto, you must buy coins or tokens from an exchange.

Bitcoin is far from the most popular choice for crypto gambling. However, many online casinos accept altcoins like Lit coin, Ethereum, Bitcoin Cash, or Dogecoin.

To buy Bitcoin, you’ll need to make an account with an exchange, which you’ll use to buy crypto with real cash. These exchanges allow you to buy Bitcoin and other cryptocurrencies, which can then be transferred to the crypto gambling site of your choice.

Many crypto gambling sites ask you to send crypto to your casino wallet to play games, so it’s a good idea to familiarize yourself with this process beforehand.

The use of cryptocurrencies in online casinos like Bitcoin in gambling has completed almost full circle.

While sports betting, particularly within the US, isn’t as easily accessible as other sorts of gambling, most of these crypto casinos are not acceptable from different brands that have been present for over a decade.

From casino games like blackjack, roulette, baccarat, and spaces to further contemporary technology like Live Dealer betting, online casinos accept crypto and deal with everything imaginable.

Alternatives to Bitcoin

Here are some popular alternatives to Bitcoin:

  • Ethereum
  • Ripple
  • Litecoin
  • Bitcoin Cash
  • Dogecoin
  • Binance

1. Litecoin

Litecoin is another strain of Blockchain Technology. Similarly to Bitcoin, Litecoin is also a peer-to-peer cryptocurrency. It enables instant, near zero-cost transfers to any part of the globe.

Complementary to Bitcoin, Litecoin is a proven medium of commerce with substantial industry backing, liquidity, and trade volume. Due to a more frequent block generation, Litecoin can handle larger volumes of transactions than Bitcoin.

The result of this is merchants receive their money in hand quickly. They must also wait for fewer extra confirmations when transacting in more enormous volumes.


2. Ethereum

Ethereum can be understood from two main perspectives: a decentralized platform and its native cryptocurrency.

1. Decentralized platform:

  • Think of Ethereum as a giant, global computer network running on millions of computers around the world.
  • Unlike traditional computers controlled by a single entity, Ethereum is decentralized, meaning no single person or group has control.
  • This network allows developers to build and run various applications on top of it, similar to how apps are built for smartphones.

2. Cryptocurrency (Ether):

  • Ethereum has its own cryptocurrency called Ether (ETH).
  • Similar to Bitcoin, Ether can be bought, sold, and used as a digital payment method.
  • However, on the Ethereum network, Ether has an additional purpose: it acts as fuel to power transactions and applications running on the platform.

3. Bitcoin Cash

Bitcoin cash is a form of cryptocurrency that was created as a result of a hard fork from Bitcoin in August 2017.

It was designed to solve some issues faced by Bitcoin usage. It increases the block size, which helps complete faster transactions at lower rates.

Like Bitcoin, Bitcoin Cash has a fixed supply cap of 21 million coins, which makes it a deflationary currency.

As of 28 June 2024, 1 Bitcoin Cash (BCH) is worth approximately 661.58 New Zealand Dollars (NZD).

However, similar to Bitcoin, the value and worth of Bitcoin Cash also fluctuates and changes daily.

Note – A hard fork is a major update to a blockchain network that creates a new branch with different rules and tokens. It is a change in programming that results in a blockchain split.

Bitcoin Gambling Sites -Bet Online with Bitcoin

Not all gambling sites require registration, You can deposit your bitcoins right away, no sign-up needed. This creates an anonymous account without verification, just your public address.

A former Google employee, Charles Lee, released Litecoin on October 7th, 2011, via an open-source client on GitHub. The main differences are the increased number of maximum coins produced, slightly modified GUI, different hashing algorithms, and quicker block generation times.

Get started immediately, and all the new Bitcoin you win will be returned to you.

Read also: 4 Reasons to Make Your Sports Bets Public

Bitcoin Gambling sites
Bitcoin Gambling sites

How Do You Deposit With Bitcoin to Play at Online Casinos in NZ?

To deposit with Bitcoin to play at Bitcoin Casinos NZ, you must have Bitcoins first. So, to play at Bitcoin casinos, you need Bitcoins, and the easiest way to get them is through a Bitcoin exchange. So how that works is:

  • Create a wallet at the Bitcoin exchange: You only need a verifiable email address to get started.
  • Once you’ve selected and signed up for an exchange, you can begin buying or transferring money to your exchange bank account.
  • Once the money is deposited, you can choose to ‘Buy’ or ‘Trade’ the bitcoins. The pricing will always vary depending on supply and demand.
  • Once the bitcoins are purchased, you can transfer them from the exchange to your wallets.

You can purchase Bitcoin using different methods and buy It from other exchanges using many currencies.

After buying bitcoins, you can use them anywhere and enjoy anonymity and safety. You can also exchange your Bitcoin into fiat currency through any of your selected Bitcoin exchanges online.

In New Zealand, you can get Bitcoins from this Exchange or from here or click here to visit Crytopia to get BTCs

Find BTC ATMs in New Zealand here.

How to make a deposit with Bitcoin to play at online casinos NZ
How to deposit with Bitcoin to play at online casinos in NZ

Now that you have bitcoins in your wallet, making a deposit becomes easier.

  • Log in to your casino account and click on the Cashier tab.
  • Then, select Bitcoin in the Deposit menu.
  • Click the Copy Address button to copy the Bitcoin address provided, which you need at Coinbase or any exchange.
  • Alternatively, scan the QR code with your mobile if you use a mobile wallet for your crypto.
  • Open a new browser tab and go to Coinbase or an exchange where you have bitcoins. Sign in to your account and click the Send button at the top of the page.
  • Enter the desired deposit amount and paste the Bitcoin address (copied from the online casino) into the recipient (To:) field.
  • Select Pay with Bitcoin before hitting the Send button.
  • Next, review the transaction and hit Send now. Optionally fill in verification details before hitting Confirm to complete.
  • Your funds will appear in your casino account momentarily. After making your first deposit via Bitcoin, you are ready to play pokies or casino games.

Editor’s Verdict

As the development and introduction of cryptocurrency worldwide are increasing daily, online casinos have also included it in their banking list for more accessibility.

However, Bitcoin’s future is a hot topic and has many opinions & predictions. It’s supply is limited which is only 21 million coins mined.

The price fluctuations is significant that makes it a risky investment. However, it is still under development and with a view of its popularity, many casinos have included it in its banking options.

The transactions from Bitcoin at online casinos are faster and processed within minutes. Many casinos are yet to adapt this technology but the number is quite low.

The Bitcoin network can be slow and expensive to process transactions, hindering wider adoption as a payment system.

Integration of new technologies like NFTs (non-fungible tokens) could create unique gaming experiences in Bitcoin casinos.

Clear regulations for crypto gambling in New Zealand are still evolving, but they could provide a more stable environment for both casinos and users.

About the author

Michaela Scott

Michaela Scott

Michaela Scott stands as one of the leading voices in New Zealand's online gaming scene.

With a tenure spanning nearly a decade at PokiesMobile NZ, Michaela's contributions range from meticulously crafted game reviews to in-depth industry analysis.

Hailing from Christchurch, she brings a mix of local insights and global perspectives to her writings.

Her dedication to staying ahead of industry trends and her unparalleled expertise make her pieces both educational and enjoyable.