How Online Casinos Work - The Ultimate Online Casino Guide

Online casinos are a world of their own. Unforgettable experiences with thousands of dollars’ worth of rewards are awaiting those who dare take the first steps into the world of online gambling. However, you cannot simply jump into them without knowing how online casinos work.

There are many things that make online casinos reliable, but there are also many that could make them unreliable. How do slots work? What is RTP? What is a fair house edge? Should you play online slots? There are just too many questions floating around, so we’ve decided to create a complete guide on how online casinos work to help you get a strong grasp before your adventure begins. In an attempt to help you kickstart your journey with a bang, we’re also including links to our other casino guides on how to have a much more successful online casino experience. We want you to lose as little as possible and win as much as online casinos allow, which is why this guide has come into existence. Check it out as thoroughly as possible and be sure of one thing: how much money you win is in your hands. We’re here to tell you how online casinos work so you can make an informed decision on what to do!

Online Casino Basics – iGaming Explained

There’s no better place to start an explanation of how online casinos work than by taking a look at the basics of what makes an online casino what it is. Let’s break down the most essential aspects of the best online casinos to help you get a better idea of how each of their features works.

Accounts & IP Addresses

Online casinos tend to frown upon players that create multiple accounts. Online casinos work in a way that favors new players, which means that those who create new accounts are often looking to exploit certain bonuses if they already had one previously. As such, you might be better off not creating multiple accounts in a single online casino if you don’t want to get in trouble. There’s always a piece of software tracking your location and your IP address, which keeps you tracked by the casino and avoids you to claim the same bonuses more than once. You may use VPN services to avoid these, but we often tell our readers to avoid doing so.

Games – What to Do Online

Online casino games tend to work all in a very similar manner. They use an RNG, also known as a Random Number Generator, to make every action random and keep things fair for the player. In fact, these RNG pieces of software are often what makes online casinos far more secure for the player than land-based sites, as there isn’t anything other than luck involved. Of course, the vast number of online casino games makes some of them work differently. However, apart from the world’s best live dealer games, most of the games at online casinos work with RNG software.

Casino Bonuses

We’ll be exploring casino bonuses with much more depth as this article keeps going, but you need to know that bonuses tend to come with various clauses that make it difficult for the player to claim the bonus cash that they will obtain with the casino’s help. As such, most online casino bonuses tend to serve as ways for players to try out games but are hardly ways to claim real cash for free. In any case, casino bonuses are amazing to claim and if you happen to find a list of the best casino bonuses on the planet, you will be able to try out some new games and hopefully win some real cash along the way.

iGaming Experience – Tournaments and Loyalty Programs

Another one of the most important parts of how online casinos work is the experience of tournaments and loyalty programs. It is important for online casinos to keep players entertained and keep them coming back to their premises, whilst also avoiding them registering in other rival online casinos. As such, you will notice that tournaments and loyalty programs work to make players stick around as much as possible. These tournaments usually allow you to win some sort of reward by participating against other players, whilst loyalty programs can be taken advantage of by every member of the online casino.

Bonus Abuse – Quick Guide

Bonus abuse is an issue. We have written a complete guide on how to avoid being a bonus abuser in the world’s best online casinos, and it’s a read that we really recommend you to undergo. Every online casino has its own policies on how to deal with bonus abusers and what is considered a bonus abuser, but there’s one thing we need to tell you: removing that label from your online identity is going to be very tough. You really need to be careful when claiming casino bonuses or you might get placed on a casino blacklist that will prevent you from calming bonuses in the world’s best online casinos.


Sportsbooks work differently than traditional online casino games. The house decides the odds of each type of bet, so you can actually use your own knowledge to overcome the odds and consistently win money. However, as sports are unpredictable, it’s also common for people to overestimate how much they know about a certain sport and place bets that they shouldn’t’ be placing. In any case, how online casinos work to make it so sportsbooks are some of the fairest places of an iGaming establishment in which you can place bets. If you’re knowledgeably about a sport, you might want to try your luck in some of the best sportsbooks on the planet.

Games of Chance and RNG

We have already told you that most of the games work with the RNG, but we want to further explore how the RNG works so you can have a better idea of why it makes games fair. There’s a very simple way to explain it and that is by diving directly into the world of RTP and House Edge, so let’s get down to that first.

House Edge & RTP

The House Edge is the advantage that the house has over the player, and it’s always represented by the remaining percentage that complements the RTP. For example, if a game has a house edge of 3%, that means that the RTP is 97%. The RTP is the Return to Player rate, which is the amount of your money that you can expect to receive, on average, when gambling on a determined casino game. The RTP and the House Edge are always present and the RNG is always designed to provide players with the same return rate and the same house edge. That’s just the way it works. The RNG ensures that the RTP and the house edge are consistent, which is why online casinos tend to yield similar results to every player that enjoys their games.

Beginner’s Guide & Where to Start

We know that getting started in online casinos can be overwhelming – especially if you’re not too sure of what to do first. Thankfully, the world of iGaming comes packed with dozens of amazing promotions and rewards that you’ll be able to fully enjoy from the start, and we’ve created a guide that will help you do just that. Our ultimate guide on how to start playing in online casinos will take you through the first steps that you’ll need to take if you’re looking to have a solid, reliable casino experience that doesn’t take you by surprise. Remember that some things might seem simple, but the world of iGaming can prove to be difficult if you don’t know the basis from the get-go. We want you to have the best of experiences out there, and we’re sure that his guide will help you do just that!

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House Edge in PVP Games (Poker)

A common question that we often see asked is whether the house edge exists in games like PVP poker. The short answer is no. In games where you don’t play against the house rely on your own skill as well as in the luck you need to make your way to the final rounds of most tables, which is the case of online casino poker.

Casino Bonuses Explained

One of the most important parts of the online casino experience for anyone is to claim the best bonuses on Earth. The world’s most important online casinos come packed with many ways in which you can claim world-class rewards, and making sure that the bonuses are reliable is going to be as important as seeing how lucrative they are. We will be exploring how each type of casino bonus works in this article, but the most important thing you need to know is that bonuses are given to players with the intention of keeping them hooked to an online casino. You will rarely walk away with the money unless you actually play in reliable, player-friendly online casinos like the ones listed at the end of this guide.

Free Spins Bonuses

Free spin bonuses are offers that give you a determined number of free spins, which you will be able to spend in specific online slots or in any online slot that the site has to offer, depending on what the bonus consists of in the online casino of your choice. These offers are made for players to try out specific casino games and keep them hooked to a site without having them spend too much of their own money. There’s a catch with these sorts of seemingly amazing bonuses, though. Online casinos that give away free spins tend to include restrictions in the way you get to spend the bonus cash generated with those spins. Let’s say that you get given 100 free spins to spend on Starburst, with each free spin being worth €0.10. That would mean that, after spending those free spins, you can expect your account to finish with a balance of around €9.6. Those euros will be locked and you will need to wager them first, multiple times, before you can cash them out to your bank account.

Money Bonuses

The most common type of casino bonus after free spins is the amazing money bonus, which allows you to spend bonus money in any part of the online casino that you choose. These sorts of bonuses also come with some restrictions, of course, as online casinos cannot give you straight-up cash without you having to spend it on the site. The best thing about these bonuses, which are most commonly found as welcome bonuses on the best sites on the internet, is that the money is much freer to be used in the games that you choose. These are the most common type of money bonuses that you’ll find on the internet:

  • Match Deposit – you will get a determined amount of your deposit in bonus currency. In most cases, match deposit bonuses are 100% of what you deposit, but some casinos offer more as part of welcome bonuses or less as part of reloads.
  • Reload Bonuses – Reload bonuses are match deposit bonuses that don’t form part of welcome bonus, but rather offers that you find as part of weekly chances to claim extra cash at online casinos.
  • Cashback Bonuses – A Cashback bonus is a reward given to players after losing money in an online casino. You will often get some of your money back, at the end of every week or month, depending on how much you’ve lost during that time.

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Why Playing Online Might Be Better than in Land-Based Sites

Given that online casinos are trustworthy and they provide players with a fair gambling platform to enjoy their favorite games, it's fair to say that there are many reasons why the way these online casinos work makes them far better sites to visit over land-based casinos. Let’s take a look at the reasons why online casinos work better than land-based casinos.

Instant Access to Games

Online casinos work in a way that the area always available to players. That means that you get to enjoy your favorite games regardless of the time of the day, which means that you will always have something to do in your house even if land-based casinos are closed. Instant access to games means that you can play live casino games, slots, table games, bingo, keno, or any other type of game that you want at any time of the day. Online casinos work so well that you don’t have to get any closing hours or time restrictions!

Bonuses for All Players

All online casinos have bonuses that all players can claim. It doesn’t matter how long you’ve been a member of one of these casinos, the best bonuses in the world are available for you. Make sure to visit one of these websites and explore the number of bonuses available to boost your experience from the get-go!

High Roller Rewards

High rollers are part of what makes online casinos so great. You, as a high roller, will become a member of an exclusive selection of players that have access to the best high roller bonuses on the internet. Check out our high roller guide for more information on how to properly become one!

Online Casino Trustworthiness – How to Choose a Right Casino

Online casinos work because people trust them. Without the customer’s trust, an online casino would become nothing but a rogue website that doesn’t offer people the chance to play fair. There are ways in which you can decide how to pick the right online casinos depending on how they work, and we’ll tell you all about them here:

Checking the Casino Licenses

The best way to see if an online casino works fine is by checking out its licenses. Compare them to see if they are given by one of the world’s most respected gambling authorities, as this will give you the chance to properly evaluate the website and see if your money is going to be spent in a place that will allow you to win extra. Check out our list of the most respected gambling authorities in the world and choose to play in an online casino that has been approved by any of these institutions if you want to make sure that your experience will be one of utter class and fairness.

Game Providers to Trust

There are some game providers that fill up respected online casinos with their games. Although you still need to check the casino licenses to make sure that you’re not on a rogue website, it’s still a good indicator that a site is trustworthy if you see one of the following names within the casino’s list of providers:

  • NetEnt
  • Evolution Gaming
  • Yggdrasil
  • Playtech
  • Novomatic
  • Microgaming

Types of Casino Games

Most online casinos give players access to different types of games that they will be able to enjoy depending on the type of gambling that they would rather do. As we mentioned earlier in this article, all of the games are ruled by an RNG software that keeps things fair for players in games where they face the casinos or even in games where everyone faces everyone in a leaderboard sort of way. We’ll be overviewing the most popular types of online casino games and quickly breaking them down to see how they work!


The randomness of online casino slots is complemented by how easy it is to play these online casino games, which is why so many people play them. They are fully randomized games that you can play by clicking a single button and moving the mouse around for a bit. Get registered into any online casino and you should find at least 100 games of slots to enjoy. They are popular, easy to play, and the fact that they always favor the online casino only goes to show why most sites are always eager to have their users playing them.

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Table Games

Table Games are some of the most popular games in the online casino industry. They all use RNG, which means that it is almost impossible to do any sort of counting as it does happen in real life casinos. In any case, table games are extremely popular and they all provide players with a fair gambling environment as long as you’re visiting a legit online casino. Table games like poker, baccarat, roulette, and blackjack are among the most played games in the world – both in online casinos and in land-based casinos.

Bingo, Keno & Scratch Cards

Even though the world of bingo, keno, and scratch cards isn’t as big as the world of online slots or table games, you can rest assured that some of the best online casinos in the world have these games available for you to enjoy. That’s not all, though. Bingo is by far the most popular one of the bunch. If you truly love bingo and you like trying out different things in the world’s best online casinos, you might want to check out the One Casino and its fantastic Bingo Jockey game!

Live Casinos Explained

Live Casinos tend to be some of the best and most popular places within an online casino. They are often sub-sections of a website, which means that you will rarely come across an online casino that is only a live dealer casino. Some of the world’s most popular casinos give players the chance to explore bonuses that allow them to play live dealer games for free, and the best live dealer casinos tend to be populated with games created by Evolution Gaming. You might prefer reading our complete guide to live dealer casinos if you like them that much, though!

Playing Live Casino Games without Wi-Fi

Playing online live dealer games with no wireless connection is not as much of an issue as it might seem. However, these sorts of games do require you to have a strong internet connection because how online casinos work is that live dealer games are streams. Imagine that you’re streaming a video and interacting directly with it – that’s how live dealer games work.

Strategy Guides & Winning More at Games

You now know what’s there to be known about the basics of online casinos and how they work. However, we now want to take a deeper dive into the world of casino games and explore the magic of strategy guides, so you can get a better idea of whether they work and why we think that some of them could turn your casino experience into something out of this world. Bear in mind that strategies in online casinos are not magical and are prone to failing. However, they do play with the odds to put them as much in your favor as possible.

Playing Slots – Worth It?

The age-old question of whether playing online slots is worth it or not always pops up whenever we discuss how online casinos work or how the world of online gambling can be cruel at times. We have one simple way to tell our readers whether they should play online slots or not: don’t look at them in a competitive way and you should be fine. Online slots are made to be fun and easy to play, which makes them ideal games for beginners, but they’re also some of the least profitable casino games in the industry because the house always has a huge edge and the player can do little to overcome it. You might want to check out the best online slots on the planet if you’re looking to have a fun and satisfying online casino experience.

Blackjack Strategy – The World’s Most Popular Card Game

Blackjack is the online casino world’s most popular card game. Blackjack tables fill the virtual halls of most live dealer casinos and it’s common for people to spend countless hours at blackjack tables in many of the world’s most popular sites. One of the best ways to play the game and reduce the house edge to the minimum is by knowing how to get the best of blackjack strategies, which can be done with our quick and practical blackjack strategy guide for beginners. Respecting and sticking to these tips will help you reduce the house edge to a mere 0.5%!

Poker Strategy – How to Win More

There are many versions of poker that you can play in online casinos. We have already discussed the odds of PVP poker and how the house edge works in it, but you might want to know how to make the best of your poker time when playing against the house. It can be worth playing it, but you might want to pay a quick read to our full list of poker tips first!

Baccarat Strategy and Tips

Did you know that Baccarat is one of the most played games in some of the major gambling markets in the world? This popular card game has become ever more popular as time has gone by, and people from all over the world love to play it. However, there’s a vast number of people who aren’t aware that using a simple Baccarat strategy could improve their odds of winning more than they can imagine!

Roulette Strategies – Do They Work?

Roulette strategies are always something that we like to discuss with care. Betting patterns are not the best indicators of success in the online casino world, but some strategies could help the player feel more comfortable when gambling in the world’s most popular roulette tables. One of the easiest ways to overcome the odds in roulette is reducing the house edge to as little as possible, which ends up being around 98% when betting on the almost 50:50 choices like color or odds/evens. It’s still impossible to beat the house at the game in the long term, though. We have discussed some roulette strategies in the past which could help you earn more money than usual in the world of online casinos, but don’t take them as gospel. Use them to maximize your wins and keep your feet on the ground.

Types of Currency in Your Favorite Casinos

One of the biggest advantages of playing in online casinos is that you can actually play using other types of currency. In fact, in a land-based casino, chances are that you’ll be limited to use a specific type of currency – especially if you’re playing in a local site and not in one of those crazy big Las Vegas Casinos that have their own exchanges. If you want to play using any type of cash whilst enjoying the same experience that you would enjoy in a land-based casino, then the world’s most reliable online casinos are there for you. We will be exploring the type of bets that you can make in online casinos and how they work, depending on the type of currency that you decide to use to play. The difference will always be how much cash you decide to commit, but bear in mind that experiences tend to be similar regardless of whether you’d prefer to spend bitcoin or regular cash in your favorite casinos. You can check out our guide on casino deposits and withdrawals to keep yourself informed about the way online casinos work in this department.

Traditional Cash

Traditional cash is accepted in almost every single online casino, and these casinos use various payment methods to process your money and allow you to keep your account packed with rewards and bonus cash as you commit more cash to it. Most online casinos tell you the options that they have available for you to deposit before creating your account. Some online casinos allow you to deposit any type of currency, but most will usually have a handful of currencies available for you to choose from. For example, the vast majority of online casinos accept dollars, euros, and pounds – regardless of where the casino is from or where you’re playing from. However, you may also find some online casinos to operate in a more regional way. Let’s assume that you live in Peru, for example, which means that your earnings are in Peruvian Soles. In that case, you might want to find a South American online casino that deals in such currency. It all depends on the type of website that you’re in, though. The vast majority simply make the conversion rate and charge you the fee. You might want to find a site that directly operates with your preferred type of currency to avoid any issues with extra charges, though. Money-Safe-Card-Laptop-Hands-840-480


There are many advantages for you to use cryptocurrency above any other sort of regulated money in an online casino. The first one is that most online casinos offer fantastic bonuses to those who deposit cryptos, like the BitStarz and the mBit Casinos. You will be able to access amazing rewards, but that’s not all: online casinos that process payments and withdrawals with cryptocurrency tend to be some of the fastest on the planet. You won’t have to stay waiting around for your money to be transferred because online casinos will provide you with the cash on a much faster basis than regular online casinos. Those are two of the major advantages of playing in the best bitcoin casinos on the planet. Then, there’s the obvious benefit of having your money moving without having to declare it to banks or other entities, which makes it much easier for you to not pay taxes on what you win online.

The Best Online Casinos – Our Top Picks of Casinos with the Best Bonuses

Now that you know how online casinos work and how to tell a good casino from a bad one, we’ve compiled a list of some of the best online casino in which you can start playing today. Some of these sites are rated among the best ones on the planet, which will give you plenty of room to decide what to do with your bonus money and spend it in the best parts of each of these casinos. That’s not all, though: we’ve also made sure to pick trusted online casinos with the best bonuses in 2020. We want you to make the best of your online casino experience, and we know that wagering a decent sum of cash for free goes a long way into creating one of the most satisfying experiences in the world of online casinos. Be sure to read the terms and conditions of all bonuses on these casinos, pick a site that suits your needs, and ready your wallet. The best of the world of online casinos is here to stay and yours to enjoy.

1 BitStarz Casino
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Written by Marco


Marco holds the title as Chief Content Writer and has a Mass Communications Major with a Specialization in Digital Marketing. He's an experienced casino writer with more than half a decade of gambling-related work on his back. He took a keen interest in gambling as a young adult and started writing expert content for the casino and sports betting niche in 2015. Now, he specializes in online slots, table games, and sports betting – producing well-researched content on all fronts of the iGaming world!

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  • Published

    November 11, 2020

  • Last Edit

    June 10, 2021