Is it a Myth that the House Always Wins?

The casino industry is plagued with several myths and misconceptions. Rumors and misinformation are often spread regarding many aspects of gambling, with many simply not true or accurate. Perhaps the biggest of them is that the house always wins.

Indeed, research carried out by The Wall Street Journal in 2013 had found that just 13.5% of people who gambled had managed to win. This means that a huge 86.5% do not. With this in mind, it’s understandable why so many believe this statement to be true. More often than not, players will lose and the casino or sportsbook will win. However, the industry hasn’t necessarily been designed to operate in this way.

While the industry works on a basis of chance and luck, certain features and aspects ensure that firms within the space don’t guarantee they always come out on top. Fairness and transparency are big things, with casinos having to follow certain rules and regulations to ensure they give players a fair chance of winning themselves.

How do players have a fair chance of winning?

As noted in the BetWhale review, a casino can be considered safe because of the license that it holds and be a legitimate option to use. These licenses protect players from unfair and potentially harmful gaming, which includes games from being rigged in favor of the casino that hosts them.

Software developers must implement Random Number Generators (RNGs) within the games to ensure fairness is achieved. An RNG is an algorithm that works using a random number sequence. If a specific sequence is activated, a prize can be won. These work independently of each other when a spin is made, meaning no two spins are the same or do not carry on from each other.

Casinos and software developers are unable to tamper with the RNG, meaning they can not program it to work in their favor. At the same time, game titles are often checked and audited by third-party bodies that are independent from the developer and casino platform to ensure a game’s fairness. They will test it numerous times and only allow it to enter the market once they are satisfied the game can be enjoyed without issue.

Why do many believe the house always wins?

It is essential to acknowledge that the perception that the house always wins is a valid one and something that can be challenging to see beyond.

Of course, no casino goes into business not looking to generate further revenues. If they kept providing payouts and making it possible for players to win more often than not, they wouldn’t exist for very long. It’s a basic business model and one that everyone can appreciate.

However, that does not mean players cannot win. In fact, it’s more than possible for them to do so. One way casinos manage to give themselves a better chance of reducing the amount of wins that are achieved is through a margin they use, known as the house edge.

The house edge represents the average gross profit that the casino expects to make from each game. An RNG may be used to create fairness, but there is an edge that the casino has in terms of being profitable in the long run. An example could be:

• A slot game has a 96% RTP (return to player rate) based on the RNG algorithm that has been used.
• Players can expect to spin the reels 100 times and theoretically receive a win 96 times. This is not a guarantee, nor will it always work this way; however, the algorithm’s design is such that this is the expected rate over a sustained period of time.
• The house edge is 4%, meaning they expect to obtain $4 for every $100 that is spent.

While it may not sound like a lot, it is a technique that they use effectively to encourage players to continue playing and gambling. The more they gamble, the more likely they are to lose, which is why it is often said that the house always wins.

Why do people keep gambling if they know the “house always wins”?

If there is the perception that the house always wins – which as established can be a valid view – then why do so many people continue to gamble if they expect to lose their money and see the casino run off with it as profit?

Gambling is only ever to be experienced and viewed as a form of entertainment. It is never to be thought of as a means to make money. Players can have fun while spending money on the games they play; they just need to be careful when doing so.

Most players will recognize the nature of the business, but the small hope they have of winning a potential reward and enjoying some excitement while playing a chosen game can be enough to keep them coming back for more.