Self Custody Gambling Explained: How Crypto Wallet Casinos Work

Crypto casinos have changed more than the currency used to place a bet. Some platforms now let players connect MetaMask, Trust Wallet, or another Web3 wallet directly instead of relying entirely on a conventional casino account and traditional payment infrastructure.

This model is often described as self custody gambling, wallet based gambling, or Web3 gambling. The basic idea is simple: the player controls the private keys to their crypto wallet and uses that wallet to interact with the gambling platform.

The details are more complicated. A casino can support WalletConnect and still take custody of deposited funds. Other platforms use smart contracts and liquidity pools to move more of the betting process onchain.

Dexsport provides a useful example of the latter approach. Players can connect a Web3 wallet, deposit crypto into the platform's liquidity infrastructure, bet on sports or casino games, and withdraw crypto back to their wallet. Dexsport describes its system as smart contract based, with transactions recorded onchain. 

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