One of the major concerns of online casinos today is attracting customers to their portals. Apart from the stigma associated with casinos, it is hard to get organic traffic on their websites. Even with extensive marketing with Facebook and Google ads, the traditional online gambling machinery didn’t get too far, but still remains one of the most profitable online businesses around. With a 0% house edge, online blockchain-based casinos are attracting printing money with huge inbound web traffic.
What is House Edge in a casino?
It shouldn’t be surprising that traditional physical or online casinos have a built-in advantage in their games. The players lose not because they are bad at the game, but because the odds are almost always with the casinos and practically always against them. Now, this advantage of the house is known as the house edge.
Numerically speaking, the house edge is the percentage of the bet made by the player that the casino will keep as earnings. In physical casinos, for example, say the house edge is about 5% in roulette. It implies that for every dollar bet, the casino will keep 5 cents as profit and return the rest as winnings to the players. Online casinos, like traditional casinos, rely on precisely calculated return-to-player (RTP) formulas to maintain profitability. For whoever bets, they’re either going to earn more than what they bet or lose it all. But of course, in the long run, it’s the casino who wins.
Even for someone who is barely familiar with the gambling domain knows that a 0% house edge makes the game fairer for everyone. A casino advantage or house edge exists in every offline or online casino, table game, or lotto—it is the product of the game being played. However, with a 0% house edge, casinos like Edgeless, BetVoyager, Funfair, and the like have developed a great strategy in attracting larger traffic to its website. These casinos earn profit from games that employ both luck and skills, say Blackjack. When the players make mistakes, it increases the casino edge equivalent to about 0.83%.
A Different View on House Edge
The house edge for some games is fixed and others have it varying depending on rules, size of the deck, among other factors. That said, many people have a slightly contorted view of the house edge, and they take into account various broad comparisons, including the “risk element.” Dividing the average loss by the total money spent, we can compare the entire host of games for their levels of risk. It has been found that Bacarrat has an element of risk of about 0.93% to about 2.64%, Blackjack has a 0.38% risk element (the lowest), Video Poker has it at 4.42%, and Slots, on an average, has about 8.74% risk element. At the same time, it tops the list of riskiest online gambling sports.
With the house edge in place, your back is almost always against the wall, and to believe that the next time you’ll definitely win is a pipe dream. In a game with a house edge, if one loses, they should make a responsible decision in quitting before it’s too late. But to keep the online gambling players from deterring, a few casinos operating using the blockchain technology have stepped forward with a 0% house edge. With players having better chances at winning the games, this could be the next big thing in the domain of blockchain and online casinos.