Modern Comparison of eCheck vs. Bitcoin for Online Casino Payments
For more than two decades, Canadians have trusted eCheck payments to deliver their funds quickly and securely to their favorite online casinos. In the last few years, Bitcoin and other digital currencies have made more than a few waves, especially in the iGaming industry. Bitcoin casinos are becoming more prevalent, highlighting the efficiency of crypto; thought by many to be the preferred currency of a digitized future to come.
One the one hand, we have a tried and true, instant payment option that facilitates transfers direct from one bank to another (i.e. player to casino). On the other hand, we have the supposed payment method of the future, capable of flying under government radar (i.e. preserving the anonymity of the player). Which is the better option? Let’s have a look…
eCheck vs. Bitcoin for Online Casino Payments
Electronic checks (eChecks) and cryptocurreny like Bitcoin have very little in common. But if there’s one thing these two payments options share, it’s the lack of trust users had in them upon introduction. When eChecks came along more than two decades ago, there weren’t many people willing to share their bank account number with any online merchant. Likewise, it took years for people to trust the concept of digital coins – money they would never be able to touch or hold in their hand.
Boy, have times changed…
Today, eChecks are one of the most sought after payment methods on the world wide web, trusted for their exceptional security, reliability and speed. Similarly, Bitcoin and other cryptos have achieved mainstream use. It’s not just online casinos accepting Bitcoin, but local retailers like Home Depot and Starbucks. You can even use bitcoin to make purchases on your Xbox.
It’s when we look at the differences between these two popular casino payment methods that we begin to understand where their benefits truly lie. Before we get into the specifics, here’s a quick table to give you an idea of what each has to offer.
Payment Method Features
Available for Deposits
Available for Withdrawals
Offers Player Anonymity
Requires divulgence of bank details and sensitive information.
Details of eCheck Casino Deposits
Electronic checks are just like paper checks, except that they occur in the digital space. The user supplies their name and bank account number, along with the bank’s name and routing number – the very same info found on a paper check. Once the payment is submitted, a series of split-second digital information transmissions take place.
The casino transmits the user’s deposit information to its own bank, which transmits the request to the user’s bank. The user’s bank returns an affirmative or negative response as to whether the funds are available for transfer. If so, the payment begins processing and the casinos credits the user’s account. If not, the payment is refused, and the user receives a ‘payment declined’ notice within moments.
Benefits of eCheck Deposits
· Canadians have been choosing eCheck deposits for more than two decades because they are convenient, easy, fast, extremely secure, and ultimately reliable. It’s a no-nonsense means of money money directly from one bank to another, without any third party interference or fees.
· Although eChecks are generally reserved for deposits only, there are some online casinos that are known to offer eCheck as a viable withdrawal method.
· Users are not required to divulge their credit/debit card details when issuing an eCheck; information that is notoriously sought by identity thieves.
· eChecks are generally facilitated in the centralized currency or the user’s home country. This means there’s little or no fluctuation in value of the funds.
Details of Bitcoin Casino Deposits
Bitcoin was the very first cryptocurrency on the market. It appeared in 2008. At that time, it had very little value compared to traditional currencies, and was only adopted by a handful of users. A few years later, it achieved fame as an anonymous method of payment. Due to a frothy legal climate surrounding online gambling in some jurisdictions, Bitcoin casinos took center stage as an anonymous way for players in countries like the US gamble online under the radar of the ever-watchful government.
Up until mid 2010, Bitcoin was worth virtually nothing; less than US$0.01. In early 2011, it rose to $1.00. By November 2013, it was worth over $1,200. Then it fell again, taking more than three years to reclaim that kind of value. In September 2017, it surged over $5,000, and by that December was topping out over $19,000. Bitcoin has crashed and surged time and again ever since, peaking at over $60k in April 2021, only to fall to $38k the next month.
Herein lies the biggest problem with Bitcoin – it’s extremely volatile fluctuation in value.
Advantages of Bitcoin Deposits
· Crypto is a decentralized, digital currency, meaning no central government has regulatory control over its use (i.e. anyone can use it from anywhere in the world).
· Anyone can use a Bitcoin wallet, and buy or sell Bitcoin from that wallet, without sharing banking details or personal information. Thus, Bitcoin casino deposits provide a level of anonymity traditional deposit methods cannot.
· Crypto transactions do not leave little to no visible trail to track who’s moving money where. Instead, the Bitcoin payments are tracable as a series of numbers to identify the crypto wallets the currency is being transferred between.
· As a math-based, peer-to-peer money system, cryptocurrency transactions offer unparalleled security. Moving coins on a blockchain requires the consent of both parties, who must give approval and confirm the transaction with their respective keys, before the transfer can take place.
On a final note, we find it interesting that Bitcoin has received the praise of countless high-profile businessmen and money management professionals. Here are just some of the more interesting quotes we’ve heard:
· Bill Gates, Microsoft CEO: “Bitcoin is better than currency.”
· Eric Schmidt, Google CEO: “[Bitcoin] is a remarkable cryptographic achievement. The ability to create something which is not duplicable in the digital world has enormous value.”
· Tyler Winklevoss, Investor and Olympian: “We have elected to put our money and faith in a mathematical framework that is free of politics and human error.”
· David Marcus, Paypal CEO: “I really like Bitcoin. I own Bitcoins. It’s a store of value, a distributed ledger… It’s also a good investment vehicle if you have an appetite for risk. But it won’t be a currency until volatility slows down.”
· Peter Thiel Paypal Co-Founder: “I do think Bitcoin is the first [encrypted money] that has the potential to do something like change the world.”