Do you have a casino in your hometown? Is there a racetrack nearby? Do you enjoy going there and trying your luck? Do you spend time watching your fellow gamblers feeding the slot machines?
If so, you may have recognized some similarities between the local casino and the current Bitcoin craze. In fact, many financial advisors have likened buying Bitcoin to betting at the casino. They have cautioned would-be Bitcoin buyers that the cryptocurrency market has more in common with a roulette wheel or a slot machine than with a stock or bond.
So does that mean you should avoid the frenzy and wait for the dust to settle? Not necessarily.
If you can forgo a trip to the casino, you might find Bitcoin buying a more satisfying, and potentially more lucrative, alternative.
Here are five ways Bitcoin is better than a trip to the local casino.
1. Your Money is Still There
When you feed your $20 bill into a slot machine and pull the handle for the last time, that money is gone forever. If you want to keep playing, you need to cough up more cash.
When you gamble in the Bitcoin casino, your money (some of it at least) is still there.
No matter how wildly the price fluctuates, your account will still be there, and you can check on it as often as you like.
Unless and until Bitcoin goes to zero, you are still in the game.
2. You Can Control Your Downside Risk
It is easy to get carried away at the casino. The flashing lights, ringing bells, and free drinks conspire to keep you gambling, and the longer you stay, the more money you are likely to lose.
Despite its volatility and mind-boggling drops, Bitcoin still has a limited downside for individual gamblers.
When you buy Bitcoin, your losses are limited to the amount you put on the table. That allows you to limit your downside risk, something that can be far more difficult in a real-world casino.
3. The Odds Could Be in Your Favor
The odds of buying a winning lottery ticket are measured in millions to one, and the odds of winning a jackpot at the casino are not much better.
If odds were not tipped in favor of the house, every casino in the world would quickly go out of business.
No one truly knows the odds inherent in the Bitcoin market, but there is a reason to believe they are better than at most casinos. If you bet smart and only play with money you can afford to lose, you can have fun and maybe even turn a profit.
4. There is a Huge Potential Upside
If you are kicking yourself for not buying Bitcoin at $1 a piece, you are not alone.
Unfortunately, no one has yet perfected a time machine, so that moneymaking opportunity is lost forever.
Even so, there could still be upside in the Bitcoin market.
You should not confuse Bitcoin with a bonafide investment, but as a gambling device, the cryptocurrency could yet have room to run.
5. You Don't Have to Drive Anywhere
If you want to play the slots or bet on the ponies, you need to get in your car and take a drive. If you're going to buy Bitcoin, you just have to fire up your computer or open up your smartphone app.
You can buy (and sell) your Bitcoins right from your home, with no driving required. Thanks to the Internet, you can enjoy your favorite cryptocurrency gamble in your pajamas.
There has been a lot of ink spilled about Bitcoin and its potential, but in the end, the cryptocurrency remains an enormous gamble.
Despite what you may have heard, no one truly knows what an invisible and mostly untested digital currency is worth. Some Bitcoin fans claim a million dollars is not too much, while others feel that any number north of zero is an overvaluation.
While the two sides fight it out, you can play the market and treat Bitcoin as another form of gambling. If you love the excitement of the local casino, you might want to save your slot machine money and buy a tiny fraction of a Bitcoin instead.