Coinbase Casinos | Can Coinbase be Used for Gambling?
Right off the bat, I’ll tell you that Coinbase cannot be used for gambling.
The Coinbase gambling policy prohibits crypto casino transactions because most crypto casinos are not sanctioned by a governmental or regulatory authority.
The exact policy is against:
This is why we at Casinos Blockchain recommend switching to another crypto gambling wallet.
In this article, I’ll tell you all about the Coinbase gambling controversy and give you viable Coinbase alternatives to help you safely fund your gambling adventures.
Reliable Coinbase Alternatives for Gambling
Coinbase is a user-friendly wallet and exchange. But gambling is against their T&C for the wallet. So, you can avoid any issues by switching to one of the following alternatives:
1. Binance
The Binance crypto exchange is well respected in the digital currencies world, and has a wide offering in terms of altcoins.
It offers very similar services to Coinbase, with the exception that it accepts transactions to and from online gambling platforms. You can, obviously, use Binance at any BNB casino, such as:
2. Kraken
Another excellent option for gamblers who want to buy, sell, exchange, and store cryptocurrency.
The only important aspect to consider is that Kraken only accepts transactions to or from legal gambling sites, so make sure that you use a licensed casino to play at. Cloudbet is one of the oldest (est. 2013) and most well-established options out there:
3. KuCoin
KuCoin offers over 600 cryptocurrencies and has lower trading fees than Coinbase, making it a strong alternative. Plus, the platform has no gambling-related policies that will throw a spanner in the works. BC.Game, accepting 90+ cryptos, is a perfectly compatible option:
Now that we’ve looked at some of the top Coinbase alternatives, let’s chat more about Coinbase and its rise to fame (and failure) in the crypto gambling community:
The Rise and Fall of Coinbase for Crypto Gambling
Coinbase is one of the most popular digital wallets in the industry, and there are plenty of reasons why.
For starters, it’s ideal for beginners thanks to its simplicity and safety. Coinbase makes the entire crypto experience user-friendly and guides you every step of the way. The blockchain community can be gatekeep-y, so it’s a breath of fresh air to see this approach.
Plus:
Versatility
At Coinbase, you can buy, sell, transfer, and store most cryptocurrencies!
Another advantage of using Coinbase as your digital wallet is that it’s one of the fastest ways to deposit and withdraw money. This allows you to quickly and smoothly send payments with Coinbase and start your crypto journey right away!
So far, so good, right?
Pros and Cons of Coinbase at Online Casinos
Coinbase has a lot to offer:
✅ Safety
✅ Speed
✅ Convenience
And yet, there is a singular issue with using it at crypto casinos:
❌ Against ToC
Does Coinbase Track Your Transactions?
The gambling policy is all but irrelevant if Coinbase doesn’t enforce it. Unfortunately, there have been multiple reports of Coinbase tracking transactions and blocking accounts over suspected breaches.
And, Coinbase’s tracking methods may lead to false positives and account bans for legal or unconfirmed activities.
For example, one Reddit user reported getting banned for buying cannabis, even though she never made such transactions. Customer support didn’t bother hearing her side of the story, they simply disabled her account.
Coinbase is looking at your transfers
Coinbase keeps tabs on your wallet transactions, breaching customer privacy – and defeating the purpose of cryptocurrency.
And what about gambling? Yes, unfortunately.
Back in 2014, Redditors reported getting banned for making transactions to legal crypto casinos. Understandably, the community was outraged. Of course, any company can impose T&Cs on their users: social media does it all the time when it blocks hate speech.
But, to claim to be a privacy-forward crypto wallet and then go on and track (and ban!) people behind their backs is sneaky to say the least.
Along with the problem with privacy, I know Coinbase’s tracking methods may not always accurately distinguish between legal and illegal activities. Crypto transactions are still much more private than regular banking.
So, Coinbase assuming that you’ve bought drugs or seeing you play at a perfectly legal casino… and then going on to block you… Well, that’s more than a little unethical, don’t you think?
It’s important to point out there haven’t been recent reports of gambling-related bans on Coinbase. Still, because of the precedent, I highly discourage you from using their wallet on casino websites.
Safe Coinbase gambling?
The only secure way to gamble with Coinbase is to buy crypto on the exchange > transfer to your private wallet > send money from your wallet to the casino.
Let’s break down the process for safely gambling at Coinbase casinos:
How Do You Use Coinbase for Gambling?
The Coinbase Wallet Terms of Service state that users can’t send or receive payments to or from any type of gaming platform. This means that although most online casinos accept deposits and perform withdrawals to Coinbase, by using it you will violate the wallet’s terms.
So, the only way to play safely is to transfer to another wallet before you make the crypto transaction. Let’s break down how that process would go, step by step:
1. Setting Up an Account on Coinbase
To start using Coinbase for online gambling, you can follow these steps:
- Follow our safe link to be redirected to Coinbase (beware of sham websites, posing as the real deal).
- Click on “Get Started” on the top right corner of the screen.
- Create an account with Coinbase by filling in the necessary information.
- Once your account is validated, click on the icon for your account and navigate to “Settings”.
- Click on “Payment Methods” and add a new payment method of your choice.
- You can now buy cryptocurrencies.
2. Buying Cryptocurrencies on Coinbase
Now that your Coinbase account is all set up, it’s time to find what cryptos you need for gambling. Not all crypto casinos are created equal
Some, like BC.Game, accepts 130+ currencies; others only take BTC and ETH.
So, pick out an altcoin that your favorite site accepts and follow these next steps on Coinbase:
- Click on the “Buy/Sell” button that can be found on the top-right corner of the screen.
- Insert the amount you want to buy and select which cryptocurrency you want to purchase from the drop-down menu.
- Select the payment method you want to use and click on “Preview Buy”.
- On the next page, you’ll see all the necessary information about the transaction, including the Coinbase fee.
- Click “Buy Now” to add this cryptocurrency fund to your digital wallet.
3. Transfer to a Gambling-Friendly Wallet
Now, it’s time to take your crypto from gambling-unfriendly Coinbase to gambling-friendly Metamask (for Ethereum and ERC-20 tokens) or another crypto gambling wallet.
Start by going to the cashier section of your Coinbase account. Open up the other wallet, too, and find your wallet address. You then have two options to make your deposit:
- Use the QR code reader on your Coinbase app and follow the instructions. You’ll scan the other wallet’s QR code, which tells the Metamask wallet what your address is.
- Copy the address and paste it to the “Send/Receive” section on Coinbase’s website.
Make sure that you select the right cryptocurrency to send. Your funds might be lost if you send Ethereum to a Bitcoin address or vice versa. And then, just click send, and your transfer will go through.
4. Send the Coins to Your Casino
Finally, cash in the crypto from your wallet to your casino of choice. The following casinos have scored high in the deposit and withdrawal department:
Final Thoughts
I love Coinbase for its ease-of-use and the general beginner-friendliness. But does this mean they’re the best option for gambling? Not really.
Sending money to online casinos is against the Coinbase ToC—and it could have some nasty consequences. So, if you don’t want to risk it, I recommend using Binance, Kraken, or KuCoin instead.
