Is Crypto Safe?

One of our jobs at Moonshot Slots is to bring you the best crypto casino reviews as soon as a site launches – but we also have a responsibility to make sure you stay safe out there.

If you’re not familiar with crypto and have your doubts about whether or not it’s safe, good on you; it’s a completely justified concern. Our experts will explain how crypto casinos work, and whether or not your funds are safe.

Is Crypto Safe or Not?

Crypto itself is perfectly safe. But only if you use the right sites, the right wallets, and the right precautions.

Back in the days of Silk Road, crypto wasn’t completely safe. A subsection of crypto had been hijacked by criminals, as an untraceable currency seemed ideal for illegal activities. But in 2013 – and then again in 2014 – the FBI shut it down.

This period did untold damage to crypto’s reputation, which it’s still trying to shake to this day. But, when you think about it, this is as illogical as saying you don’t trust the US dollar because it’s used on street corners for a bit of weed, or the euro because a government official was caught pocketing public funds.

In short, it’s not the coin that’s the problem – it’s the people looking to take advantage. Unfortunately, they’ll be there whether you’re using Bitcoin, US dollars, or any other currency.

How to Keep Your Crypto Safe

We’ve established that crypto is safe, and that the onus is really on you to make sure you’re taking all the right precautions. But what exactly does that mean? And how can you be sure that nobody steals your crypto?

Undeniably, crypto has a steeper learning curve than fiat funds. This is because it’s a newer technology which is constantly evolving.

Here are three steps you can take to keep your crypto safe:

Educate Yourself

The first thing you need to do to keep your crypto safe is educate yourself on the basics of crypto. And, naturally, we’ve got you covered. Take a moment to read up on what Bitcoin is, how to buy crypto, and how to transfer it.

Nobody wants to start a new adventure with a bunch of reading, but it’s essential that you have an understanding of what crypto is and how it works.

Don’t Invest Too Much

Once you’ve decided to buy some crypto, whether it’s to play crypto slots or as a long-term investment, you need to set a budget.

Crypto is a volatile asset. It might feel good when you check your portfolio and see it rocket up overnight, but you have to remember that it can go back the other way just as fast. So, remember the golden rule: Don’t invest more than you can afford to lose.

Never Cut Corners

Taking the proper precautions isn’t supposed to be fun. It’s boring. But so is doing the washing up, or hitting the gym. In the end, it’s worth it.

It’s really tempting to skip a few steps when you’re in crypto. For example, not hand-writing your wallet passwords down and storing them in a safe place. Or copying and pasting an address and thinking “Ah, it’s probably fine”, without double-checking it. But this could be costly.

Force yourself to do everything by the book, and you won’t get caught out.

Finding the Right Wallet

There are many different ways to store your crypto. As a rule of thumb, the more complicated it is, the safer your coins are.

We know that’s not what you want to hear, but it’s the truth. For example, a lot of people choose to just leave their coins on an exchange. And most of the time, it works out just fine. But, when it does go wrong, it goes horribly wrong, as we’ve seen with the Sam Freidman FTX scandal, or the Mt Gox hack in 2014 (although, luckily, customers were ultimately paid back).

It’s worth recapping what we said earlier in this crypto guide: Crypto itself is safe. That’s why it’s so important to choose the right wallet.

Here’s where you can store your crypto:

• An exchange. Even though it’s not fully recommended, this is what most crypto investors use. It gives you instant access to all your coins, makes it easy to trade, and is one of the fastest avenues for withdrawals. But, if the exchange is hacked, you’re likely to eat a big loss.
  Example: Binance
• Crypto casino. If you’re signed up at any of the best crypto casinos, odds are you’ve already left at least some of your coins in your account. This is fine if you want a casual stack to play with. But, if you have large deposits in the casino, you might want to withdraw your winnings to your personal wallet between sessions.
  Example: BitStarz
• Hardware wallet. This is a small device, much like a regular USB stick in appearance, that you can pop into your computer to move your tokens around. When it’s not plugged in, it can’t be hacked. Just make sure you keep it in an extremely safe place.
  Example: Ledger Nano S
• Software wallet. Desktop, mobile and web wallets can all be classed as software wallets. In other words, you’ve downloaded something to store your coins in, but there’s no physical device needed. Many view this as a reliable middle ground between leaving coins on an exchange, and going the whole hog with a hardware wallet.
  Example: MetaMask
• Paper wallet. Quite literally, a wallet made of paper. It will show all the key details such as a QR code or line of code, made of letters and numbers, representing your public and private keys. The most important thing here is not to misplace any information, as it will be tough to create a backup without it. Seen as a bit old fashioned these days.
  Example: MyEtherWallet (MEW)

You might also hear the terms ‘hot’ and ‘cold’ wallets in crypto. A cold wallet is one that’s offline, like a hardware or paper wallet. A hot wallet can include desktop, mobile and web wallets – also known as software wallets. Cold wallets are seen as the safer option, because it’s much harder to hack a wallet that isn’t connected to the internet.

Bitcoin Casino Risks

So, crypto itself is safe, and we’ve now explored what you can do to increase your safety when investing or storing coins. But is it safe to play at a crypto casino?

Casinos get a bad rep in general. People outside of the game only seem to see the negatives, and ignore the fact that it can be a source of entertainment for financially stable people. It’s a bit like how some people think crypto is only for dodgy, underground dealings.

Crypto casinos are safe. But, much like with crypto, you still need to take precautions.

Red Flags at Crypto Casinos

Avoid playing at any online crypto casinos that have:

• Suspicious URLs
• A short or negative company history
• Little-to-no T&Cs or information on how they use your data
• Overwhelming negative feedback
• No details on registration or address
• Poor English across the site

Crypto Casino Licenses

This is a tricky one. On paper, you want a casino that’s licensed. But in reality, there are some perfectly legit gambling sites that operate without a license.

A gambling license is something that most online casinos have. In many countries, it’s mandatory. Licenses can only be granted by approved bodies such as the UK Gambling Commission or Malta Gaming Authority. If a crypto casino gets a license, it acts as proof that the site has passed all the necessary checks and is both fair and trustworthy.

Crypto casinos often cater to an international audience, rather than focusing on one region. And many crypto players have a bit of an anti-authority side to them. A lot of us don’t like handing over our information unless it’s absolutely necessary, and place great importance on privacy and anonymity.

So, you can see the stark contrast between crypto’s disruptive nature, and inviting a third party to have a nose around, then paying them for the privilege.

In general, it’s safer to play at licensed gambling sites. The lack of a license will even be seen as a red flag by some.

In some circumstances, it can still be safe to play at online crypto casinos that don’t have a license. It really is a case-by-case thing.

The easiest option is to only play at the sites we’ve reviewed and approved at Moonshot Slots, which have all gone through rigorous checks and been tested for real money.