Bitcoin Sports Betting
The popularity of bitcoin sports betting as surpassed the expectations of even the biggest supporters of the cryptocurrency. The secure and decentralized nature of the digital currency paired with the often limited banking options for American sports bettors has made bitcoin the perfect solution for online sports betting. All of the best online sportsbooks now accept the virtual currency for both deposits and withdrawals, giving sports fans a reliable banking method that they can count on. Even though offering bitcoin banking may be a new concept, the online sportsbooks that take the currency still remain the same. Sports fans can still bet on all of their favorite NFL, NBA, MLB, NHL, and NCAA sports. You will find the latest betting odds, bonuses, and more at bitcoin sportsbooks.
If you are new to sports betting with bitcoin, or just have general questions about what sets the cryptocurrency apart, we can provide you with assistance. Learning more about the legality of bitcoin sports betting is the best place to start. From there, you should explore how making bitcoin deposits and withdrawals at online sportsbooks actually works. You will find that bitcoin sports betting offers plenty of benefits.
It is legal to bet on sports with bitcoin at online sportsbooks. Not only is the digital currency accepted by online sports betting sites, it is accepted by merchants all over the U.S. and abroad. Different from traditional fiat money, the United States Treasury has classified bitcoin as a decentralized virtual currency. You can bet on sports with bitcoin just as you would with your Visa or any other real money method, but without interference from a bank. Federal laws such as the Unlawful Internet Gambling Enforcement Act (UIGEA) can prevent banks from processing certain payment methods, but bitcoin is an exception. You never have to worry about any legal issues when using bitcoin at legal sports betting sites.
Before making any banking transactions, you will need to select the right wallet for bitcoin sports betting. Your wallet is where you will store, send, and receive bitcoins. Choosing the right wallet is extremely important to the security of your bitcoin. Though there are dozens of BTC wallets, they fall into three basic categories – mobile, hardware, and desktop. Each wallet type has its pros and cons, but we will walk you through the basics of each type.
Mobile wallets are the most convenient because you can control your wallet from an app on your smartphone. Many sports bettors prefer this type of wallet because you can quickly send and receive funds while on the go. That being said, these are considered one of the least secure wallet options because your private keys are stored on the device. At the same time, your smartphone is less likely to be attacked by malware or a virus. Generally, you should not store large amounts of BTC on a mobile wallet, and you should always take extra security precautions such as setting a pin to gain access to the app.
Hardware wallets are the most secure wallet option for sports bettors, though not always the most convenient. Your private keys are generated and stored on an external device, allowing you sign bitcoin transactions offline. Sports bettors with large amounts of bitcoin will often opt for hardware wallets. Some of the best hardware wallets for bitcoin sports betting are brought to you by Trezor and Ledger.
Desktop wallets are those where you download software on your computer that allows you to create BTC addresses, store private keys, and initiate bitcoin transactions. Many sports bettors prefer this wallet type because you have full control over your funds, versus a mobile or web wallet where a third-party holds your keys. Desktop wallets have more security than online or mobile wallets, but it is still important to remember your BTC is only as secure as the computer itself. Though malware attacks are not extremely common, always keep your computer protected with the latest anti-virus software.
The biggest perk of bitcoin sports betting is the ease of making sportsbook deposits and requesting withdrawals. Once you have your bitcoin you can follow a few simple steps to fund your account. Log in to your online sportsbook account and visit the Cashier to select the bitcoin deposit option. You will need to enter the exact amount of bitcoin that you would like to submit. The online cashier will then provide you with their BTC wallet address, and you can then send that amount from your BTC wallet. The deposit limits for bitcoin sports betting typically range from $10 to $50,000. Bitcoin deposits are extremely fast, with funds reaching your sportsbook account within minutes.
Bitcoin is the fastest sportsbook withdrawal option offered at legal sports betting sites like Bovada.lv and BetOnline.ag. The exact banking limits will vary, but you can generally make requests between $25 and $25,000. Unlike other methods, there are no withdrawal fees when you request bitcoin payouts. Most sites also allow you to make multiple bitcoin withdrawals a week. You only need to specify the amount that you would like to withdraw via bitcoin, and provide your BTC wallet address.
Will Bitcoin Transactions Go Through, Unlike Debit Or Credit Cards?
One of the main reasons why bitcoin sports betting is so popular is because bitcoin transactions will always go through, which is not the case for debit or credit cards. Bitcoin is decentralized, which means there is no central bank or governing authority. As such, there are no third parties that can decline or prevent your bitcoin transaction from being processed. Debit and credit cards are subject to approval by your bank. You have control over where your bitcoins are sent, and where you receive them.
How Safe Is Bitcoin For Wagering On Sports?
Bitcoin is extremely safe for wagering on sports. Bitcoin sports betting adds a level of anonymity that you will not get with traditional fiat currencies. Rather than having to provide bank account information, you only need to give your public bitcoin wallet address. This address does not contain any personally identifiable information, and you can generate new wallet addresses as needed. The blockchain technology behind bitcoin is also extremely secure, making it ideal for bitcoin sports betting transactions.
If I Send Bitcoins To The Wrong Person Can I Reverse The Transaction?
No, if you send bitcoins to the wrong person you cannot reverse the transaction. Bitcoin sports betting transactions are peer-to-peer, meaning once you send the bitcoins there is not an intermediary or central authority that you can contact to cancel a transfer. There are built-in check codes, so incorrect addresses will likely not be accepted by the bitcoin software. However, if you send bitcoins to a real address that just happens to be incorrect, there is no way to retrieve the funds. Always verify the bitcoin wallet address more than once to avoid errors when sending funds.
Are Bitcoins Taxed?
The IRS has regulations that require bitcoin and other digital currencies to be handled as property for tax reporting purposes. Though bitcoin sports betting sites do not report any of your financial information to the IRS, if you have converted your BTC to cash the information may be furnished by your wallet service or exchange. All gambling income is taxable according to the law, and most bettors will report winnings as “Other Income”. If you itemize your deductions, you can report losses on Schedule A. You can read more about specific requirements on the IRS website. https://www.irs.gov/uac/newsroom/irs-virtual-currency-guidance
If I Use Bitcoin Does My Sports Betting Account Fluctuate Like The Value Of Bitcoin?
When you use bitcoin to fund your sports betting account, it does not fluctuate like the value of bitcoin. Bitcoin sports betting sites will convert your BTC to the USD equivalent when you make your deposit. This conversion is based off of whatever the current currency exchange rate is when the deposit is processed. When you request a bitcoin withdrawal, the online cashier will convert your USD back to bitcoin based on the average of the Bid and Ask prices provided by bitcoin exchanges. Smart bettors will hold off on withdrawals until the price of the cryptocurrency is the same or higher than their initial exchange rate.