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How Do Casinos Make Money From Roulette?

How Do Casinos Make Money From Roulette?

Roulette is a popular casino game that's been around for centuries. It involves a spinning wheel, a small ball, and several betting options for players. 

Since it's a game of chance with outcomes that are random and unpredictable, it may seem confusing how casinos reliably make money from it, but there's a specific mathematical edge built into the game that allows casinos to make money over the long run. 

In this blog post, we'll explore how the design of the game gives the casino an advantage. By understanding this, you can make more informed decisions and enjoy your time at the roulette table responsibly. 

Is Roulette Fixed?

One common question people often have is whether roulette is fixed or rigged. The simple answer is no, as long as you play at reputable casinos. 

Licensed casinos - i.e. those regulated by authorities like the UK Gambling Commission (UKGC) - have strict rules to ensure all games are fair and random. Physical roulette wheels in land-based casinos also undergo regular checks and maintenance to ensure they aren't biased and that they meet certain regulatory standards. 

Online casinos use Random Number Generators (RNGs) to make sure every spin is independent and unpredictable, and this software is also tested by third-party companies to ensure they produce random and fair outcomes. 

However, it's important to stay cautious and only play at trusted casinos. Always check for a licence from the relevant authority for that jurisdiction to avoid any potential scams. 

By playing at regulated casinos, you can enjoy roulette confidently, knowing the game is fair. 

Why Do Casinos Always Win Roulette Games?

Casinos don't always win every roulette game, but they have a built-in advantage that ensures they'll profit over time. This advantage is known as the "house edge". 

In European roulette, there are 37 pockets on the wheel: numbers 1 to 36 and a single zero. The zero gives the casino its edge because it doesn't count as odd or even, high or low, red or black. This means the chances of the ball landing on a pocket that results in a loss for the player is always slightly higher than the chances of it landing on a winning pocket. 

The house edge in European roulette is about 2.7%, which means that over many spins, the casino is expected to keep 2.7% of all bets made. 

In American roulette, there is an extra double zero pocket, making 38 pockets in total. This increases the house edge to about 5.26%. 

The gap between the true odds of an outcome and the payout odds on offer also works in the casino's favour. For example, betting on a single number has a 1 in 37 or 1 in 38 chance of winning in European and American roulette, respectively. However, in both games, the payout for a winning single-number bet is 35:1. 

Although players can and do win in the short term, the house edge ensures that, in the long run, the casino makes a profit. Understanding the house edge can help you see why casinos consistently come out on top and why it's important to play responsibly. 

How Do You Beat The House Edge In Roulette?

Beating the house edge in roulette is impossible because it is built into the game and is fixed. There are no actions the player can take to affect the house edge in roulette. 

However, there are a few things players can do to put themselves in a better position to potentially win. 

Firstly, opt for European roulette over American roulette. European roulette has a lower house edge of about 2.7%, compared to 5.3% in American roulette. 

Secondly, focus on outside bets like red or black, odd or even, and high or low. These bets have the highest chance of winning since they cover nearly 50% of the wheel, providing better odds than betting on fewer numbers. However, they offer lower payouts to balance this. 

While these strategies may increase your chances of winning in the short term, it's important to remember that there is no way to change the inherent odds of the game of roulette. 

Always set a budget for yourself and stick to it. Roulette is a form of entertainment, not a way to make money. Remember, the key is to play responsibly and avoid chasing losses. 

*All values (Bet Levels, Maximum Wins, etc.) mentioned in relation to this game are subject to change at any time. Game features mentioned may not be available in some jurisdictions.