As first reported by BitEdge, BitStarz has just introduced credit card and Paypal deposits with crypto balances and withdrawals. Effectively allowing you to buy crypto anonymously.
They say this is a new age of crypto in the online casino industry and they are over the moon to be the first crypto casino to reach this milestone.
BitStarz explained that the future of crypto and the return the end user will get from it were extremely strong. Therefore it was time to say goodbye to all the elements that were keeping players from trying crypto.
Potential players are sceptical about crypto because it’s not easy to get started. BitStarz has partially solved this by allowing players to deposit using credit cards and PayPal. With the option to play and make instant withdrawals in crypto.
Nikolica Vadaski, head of Marketing at BitStarz commented,
“This is a giant leap for the bitcoin industry as we have introduced the option for players to get hold of bitcoins in a matter of seconds. We are set to drive the adoption of bitcoins to offer a fantastic user experience where our players can get hold of bitcoins instantly using their credit/debit card. There might be a few casino’s offering the use of bitcoins out there but at BitStarz we don’t just offer them, we truly believe in them”.
BitStarz foresees that crypto is set to take the world by storm. They say players will benefit from security and control over their money, zero or low fees and identity protection.
BitStarz offers its players a safe, fun and user-friendly online casino experience. They focus on delivering stunning provably fair games, beating the competition when it comes to the visuals and game details.
Reversible deposits + irreversible withdrawals = fraud
The reason we have not seen an offing like this before is that credit card and PayPal transactions that people will fund their accounts with are reversible. Whereas crypto transactions that people will use to withdraw from their accounts are irreversible.
This makes the flowing transaction flow possible.
- Deposit $1000 with a credit card or PayPal.
- Withdraw $1000 with crypto.
- Revers the $1000 deposit made in step 1.
In that case, the casino has lost $1000. Anyone could do that with their own credit card or PayPal account and a further risk is criminals doing it with stolen credit cards and hacked PayPal accounts. BitStarz seems especially vulnerable to this given they allow anonymous accounts.
BitStarz says that transaction fraud is ever present in online gambling and is simply a cost of doing business. They also say a payments processor is doing most of them for them anyway.
Update: Separate crypto and government currency balances
BitStarz accounts are now multi-currency with bitcoin, bitcoin cash, dogecoin, Ethereum, Litecoin, Australian dollar and Euro balances. You can still deposit into BitStarz with a credit card (not PayPal) but your funds will be kept in euros or Australian dollars and you will have to withdraw them as euros or Australian dollars.
BitStarz still has full end to end crypto support with a crypto deposit, balance and withdrawal. However, now you have to deposit crypto in order to play and withdraw in crypto. you can no longer deposit with a credit card and receive crypto in your balance.