Updated: January 18, 2023

Coinbase Casinos | Can Coinbase be Used for Gambling?

Venturing into the world of crypto gambling? You might be wondering – how do I deposit and withdraw safely? One of the simplest options is Coinbase, arguably the world’s most beginner-friendly crypto platform. 

But is Coinbase gambling a good idea? Can you use Coinbase at crypto casinos?

No, the Coinbase gambling policy prohibits crypto casino transactions, even though crypto gambling isn’t illegal. The company has been proven to track customer activity and ban accounts over supposed gambling or drug-related transactions. This is why Casinos Blockchain no longer recommends Coinbase as a gambling wallet and we suggest you switch to another Bitcoin gambling wallet.

In this article, we’ll tell you all about the Coinbase gambling controversy, how you can still use it for crypto casinos, and why you should still phase it out of your crypto life.

Best Online Casinos Accepting Crypto Payments

Before we talk about the specific issue, here are our top three crypto casinos. We have playtested them extensively and know them to be safe, reputable places for your coins. All the trouble with Coinbase can happen at reputable casinos like these.

Here at Casinos Blockchain, we take pride in delivering experience-backed, player-POV reviews. All three of these casinos are reputable and licensed – plus, they offer stellar game selections and juicy bonuses. That’s how we pick our top casinos and it’s why we’re more than happy to recommend them.

Why are we bringing it up? Because this isn’t a matter of security – Coinbase knows well that crypto casinos can be safe (and even could be better for gamblers than regular casinos.) Still, they implement their gambling ban on transactions and track transactions while they’re at it. It’s about imposing control, not about protecting customers:

The Rise of Coinbase: Crypto’s Gateway Exchange & Wallet

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:

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

Under the Prohibited Use section, Coinbase states that the wallet can’t be used for:

Gambling: Lotteries; bidding fee auctions; sports forecasting or odds making; fantasy sports leagues with cash prizes; internet gaming; contests; sweepstakes; games of chance

Coinbase Wallet Prohibited use

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.

And what about gambling? Yes, that too has already happened

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 ToC 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, we 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, we highly discourage you from using their wallet on casino websites.

Let’s break down the process for safely gambling at Coinbase casinos:

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:

  1. Follow our safe link to be redirected to Coinbase (beware of sham websites, posing as the real deal).
  2. Click on “Get Started” on the top right corner of the screen.
  3. Create an account with Coinbase by filling in the necessary information.
  4. Once your account is validated, click on the icon for your account and navigate to “Settings”.
  5. Click on “Payment Methods” and add a new payment method of your choice.
  6. 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, accept 66+ currencies; others only take BTC and ETH. So, pick out an altcoin that your favorite site accepts and follow these next steps on Coinbase:

  1. Click on the “Buy/Sell” button that can be found on the top-right corner of the screen.
  2. Insert the amount you want to buy and select which cryptocurrency you want to purchase on the drop-down menu.
  3. Select the payment method you want to use and click on “Preview Buy”.
  4. On the next page, you’ll see all the necessary information about the transaction, including the Coinbase fee.
  5. 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 Bitcoin 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:

  1. 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.
  2. Copy the address and past it on 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 Metamask/another crypto-friendly wallet to your casino of choice. Our favorite safe casino is BC.Game (and they’ll give you a neat welcome bonus for your deposit, too):

One of the best aspects of crypto casinos is that you often have a wide range of altcoins to choose from when making payments. 

Although some smaller casinos only accept Bitcoin and Ethereum, other renowned brands tend to have a long list of accepted currencies. 66+ accepted cryptos at BC.Game, remember?

You must always confirm which cryptocurrencies you can use at the casino – and then use your Coinbase to exchange them.

Some of the most common cryptocurrencies accepted by online casinos include:

  • Bitcoin
  • Bitcoin Cash
  • Ethereum
  • Litecoin
  • Tether
  • Dogecoin
  • Chainlink
  • Neo
  • Tron
  • Ripple

Top Crypto Casinos By Variety of Coins

Fiat Payments at Coinbase Casinos

While cryptocurrencies are easily accepted by crypto online casinos, the same can’t be said about fiat currencies. More often than not, these types of casinos will only accept deposits and withdrawals of altcoins.

But if you want to make payments using fiat money, there are still some options that you can take advantage of. Casinos such as True Flip and Cloudbet offer players the possibility to make payments with both cryptocurrencies and fiat money.

In these cases, the deposits and withdrawals can be processed through a vast list of payment methods, including credit cards, Skrill, or even PayPal.

We have covered making deposits and withdrawals on online casinos with Coinbase, so the question that remains is: how can I send my money from Coinbase to other payment methods?

The first thing you need to do is convert your cryptocurrencies into fiat money. This can be done directly at Coinbase by:

  1. Clicking on the “Buy/Sell” button and selecting “Sell”.
  2. Select the amount you want to sell and the cryptocurrency you intend to sell.
  3. Choose the fiat wallet you want to use to receive those funds.
  4. Click on “Preview Sell” to see all the information about the transaction, including Coinbase fees.
  5. Select “Sell now” to have your crypto funds in the fiat currency you selected.

The final step of the process is to send your fiat funds from Coinbase to a payment method of your choice. You can do this by accessing your fiat currency wallet (e.g. USD Wallet, CAD Wallet, EUR Wallet) on the “Assets” page, and following these steps:

  • Select the option “Cash Out”.
  • Choose a card from the options available on the menu.
  • Complete the cash out process.

You should receive the transfer from Coinbase into your selected payment method within 30 minutes, however, the processing time might take up to 24 hours.

Coinbase is a user-friendly wallet and exchange. But, gambling is against their ToC for the wallet. Stay safe by checking out one of these options – we already touched on them in a previous section, but now it’s time to break them down:

Binance: This 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 online gambling platforms.
You can, obviously, use Binance at any BNB casino. Our favorite is BC.Game:

Kraken: This is another excellent option for gambling lovers 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, most well-established options out there:

MetaMask: this crypto wallet works in the same way as the ones mentioned above, and also accepts transactions to and from online casinos. It’s one of the safest options out there, and also offers user-friendly navigation. Stake Casino is a great choice for MetaMask users – but you can find even more ideas in our dedicated MetaMask article.

Other digital wallets and crypto exchanges that might be worth considering include CoinMetro​, KuCoin​, and Luno​.

Final Thoughts

We definitely love Coinbase for their ease-of-use and the general beginner-friendliness. Let’s not kid ourselves. A lot of crypto enthusiasts got their first digital currency from Coinbase.

But does this mean they’re the best option for gambling? Not really.

A lot of people come to us, asking “Is crypto gambling legal?” And the answer is – it depends. However, when it comes to Coinbase, you have more than the country-level legality to worry about.

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, we recommend using MetaMask or Binance instead.

Or, you can simply use the on-casino exchange in these top three Coinbase casinos: