If you want to get an idea of how lucrative casino running can be, all you have to do is travel to Las Vegas and see all the beautifully lit, huge and breathtaking casinos that surround the bar. Of course, running a casino costs a lot of money if you plan to do it in the style of brick and plaster. This is especially true if you want to follow the gambling laws outlined by the federal government of the United States.
Starting a Bitcoin gambling page is a little easier. After all, you don’t have to worry about building a brick casino that will compete with Caesar’s Palace or The MGM Grand. However, there are seven key things you will need to consider if one day you plan to launch your own Bitcoin gambling website.
Location, Location, Location
It’s natural to think that location doesn’t matter if all you’re doing is creating a website. It’s not that you have to depend on pedestrian traffic. But location is important when it comes to running an online gambling game, even if you plan other than cryptocurrency. Registering your business in a jurisdiction that favors both gambling and cryptocurrencies can make a big difference in ensuring that your crypto gambling website becomes profitable and stays that way in the long run.
Curacao is one of the first countries to ever issue gambling licenses and they are very friendly towards gambling operations that use cryptocurrencies. Malta was one of the first countries to legalize cryptocurrencies in general and has always been gambling friendly. Kahnawake is a native territory located in Québec, Canada, which is great for gambling companies looking to expand their customer base and offers fairly favorable tax regulations. This brings us to the next consideration.
Obtaining the appropriate licensing
You must explain that you plan to accept cryptocurrency payments for your gambling site and apply for a license through the official sign-up process. You basically have to explain that you plan to be aligned. Licensing and regulations are, of course, vastly different around the world, so you’ll need to spend a significant amount of time researching your local laws.
Enabling Bitcon gambling is relatively easy and quick to do. That said, you need to design a website and app, hire marketing staff, open an office and brokerage business with independent payment service providers that will make it easier for gamblers to build a bankroll with you. All of this can take a long time.
Understanding tax rules
In the early days of Bitcoin, a popular opinion was that it was for criminals and those who wanted to avoid taxes. Nowadays, if you want to deal with overwork, you will pay taxes, even in the most favorable jurisdictions. Be sure to clarify what the tax rules are in any jurisdiction you choose to do business with. If you play cards properly or if you can boost the local economy with your work, you may be lucky enough not to have to pay certain taxes at all.
Have a robust marketing plan
Whether your new gambling venture accepts cryptocurrency or not, the bottom line is that it’s a competitive space. If you are going to compete with the big guys, you need to be able to offer promotions that are unique and key players coming back for more. Many operators offer 100% as a bonus on top of the initial deposit, some offer changes to play again after you lose, and others offer VIP services. Marketing is a big part of winning customers over. Advertising Bitcoin gambling sites online is also difficult because most major advertisers like Facebook and Google do not allow gambling ads, so you need to have a team committed to the goal.
Following the laws to ensure that you can benefit from the best possible tax regulations is key to successful bitcoin gambling, but complying with the law has more to do than that. You must be able to identify the source of the funds and in many jurisdictions still be able to perform a Knowledge of Your Client. You also need to have a blockchain staff on staff in case something goes wrong and the customer asks for help in completing the transaction. All of this requires significant capital.
Acceptance of payment
You have already accepted the acceptance of cryptocurrencies and you are probably okay with accepting Bitcoin and Ethereum, but what other cryptocurrencies will you accept? If you manage to jump into the next crypto in trend, you may get access to a new group of gamblers before anyone else does, so this is an important consideration.
Assessing each of these seven criteria and trying to set up your own bitcoin gambling website could help you take your business to the moon because the price of bitcoin itself still does just that.