Like any other kind of activity, gambling has certain risks, good sides, and negative issues. Some of the risks bear personal nature, some global. All of them should be considered not only while choosing a high roller casinos with bitcoin, but also during the gaming process.
We all know that the level of crime is too high for today, especially in those spheres where figurate both real money and virtual ones. Unfortunately, crimes committed through the Internet or any online service are more widely spread. This fact can be explained by a number of reasons:
- hard to track;
- difficult to prove;
- possible to commit from any part of the world.
One of the serious problems, which looks like general, but at the same time affects everyone, is money laundering. This illegal process can be executed in different ways, but this article will explain how this is possible with the help of the bitcoin online casino.
Common Methods of Bitcoin Structuring
First of all, let’s talk about the reasons, why money launderers use online casino sites. A huge number of existed online gambling houses signifies large money turnover. Virtual money flow is more “flexible”. In other words, they can be stolen more easily. In the majority of countries, winnings are tax-free.
In the case of bitcoin casino, the process of stealing is significantly simple, because there is no financial institution involved. No one is in charge for your money. As cryptocurrency has no strict regulation, almost all bitcoin casinos act without the license. That gives no protection to the player.
The main and the most important feature is that bitcoin transactions can be publicly viewed in the blockchain. Thus, anyone can see the origin, path of cryptocurrency and the amount of coins in the block. Using this information, virtual thieves can launder or steal bitcoins in several methods:
- the bitcoin owners possess cryptographic keys, which grant access to the earned coins;
- by copying either key(s) or database, hacker gets an admission to the bitcoin wallet;
- using “mixers” or “tumblers”;
- Deep Web;
- Silk Road.
Mixers & Tumblers
After stealing bitcoins, thief leaves tracks, which can lead to the particular address. So-called “mixers” or “tumblers” crisscross stolen bitcoins with the “clean” ones. As a result, the new address will be created beyond the blockchain.
Together with the appearance of money laundering methods, different applications such as Dark Wallet, My Wallet, OnionWallet were developed in order to protect bitcoin privacy.
Deep Web
Deep Web is a web-site, which contains confidential and restricted information. All possible illegal services are present here. The currency that this web uses is bitcoin. Why? Because it’s almost impossible to track both transactions and criminal.
Cryptocurrency Laundering by Using Bitcoin Casinos For High Rollers
The scheme of bitcoin laundering trough the online casino is quite simple: bet stolen bitcoins on some games, after a gambling session will be finished, withdraw winning coins and change them for the real money.
No one actually knows, what kind of cryptocurrency player deposited. Is it stolen or honestly earned. Besides, some applications (TOR as an example) make it possible to save anonymity of users and their activities.
Facts About Bitcoin Washing
One of the simplest ways to “wash” bitcoins is an exchange. A new version of Dark Wallet, for instance, makes it possible to sell/buy cryptocurrency absolutely anonymously.
Silk Road is a black marketplace of dark web, where illegal goods can be bought or sold for bitcoins. According to the FBI evaluation, a general number of made deals for 2,5 year was on 9,500,000 bitcoins. The commission of the site was 600,000 bitcoins, which is about 80,000,000 dollars.
It’s not amazing that some online casinos were created specially for the bitcoin laundering. If there is the possibility to make free money, methods always will be found.