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How Do Casinos Make Money From Roulette?

How Do Casinos Make Money From Roulette?

Roulette is one of the most exciting games found in both brick-and-mortar and online casinos. The thrill of the spinning wheel combined with the anticipation of the tiny ball settling into a slot keeps players on the edge of their seats to see if the said slot is one covered by their bet. 

However, have you ever wondered how casinos actually make money from roulette? Let's delve into the workings of this popular game and unravel the mystery. 

Is Roulette Fixed? 

Roulette, just like any other casino game, is subject to strict regulations to ensure fairness and integrity. The notion that roulette is rigged is an unfortunate misconception typically fuelled by frustrated players. However, it's essential to remember that each spin of the roulette wheel is an independent event unaffected by previous spins. 

Online roulette games, for instance, use an algorithm known as a Random Number Generator (RNG) to determine the outcome of each spin. RNGs are carefully audited and tested to ensure they are producing completely random results. 

In brick-and-mortar casinos, the equipment is tested regularly to ensure there are no biases in the wheel and that it is performing at a level that supports the designed odds of the game. The randomness is achieved by natural uncontrollable variables such as the speed of the wheel, the speed of the ball, air humidity, slight imperfections on the surfaces of the ball and the wheel, and more. 

A casino doesn't fix roulette as they do not wish to risk their licence to operate. Plus, they have no need to fix the games, as we will explore below. 

How Does The Casino Win At Roulette?

In every casino game, the casino (or "house") always has a certain advantage over the player. This is known as the "house edge". The house edge is a built-in advantage that ensures the casino's profits on the game over time. It is essentially the average profit a casino stands to make from each player's bet. 

The house edge is not just a theoretical concept. It is integrated into the very design of the game and the structure of the bets, so it is not hidden from the player. This can be seen in the payout ratios offered in roulette and the green zero pocket(s) that are neutral for outside bets. 

For instance, a Straight Up (single-number) bet has a 1 in 37 chance of landing in European blackjack and a 1 in 38 chance of landing in American blackjack, yet it offers a payout of 35:1, which isn't reflective of the odds of it winning. 

This is the house edge. The payouts for each bet are slightly less than the actual odds of the bet winning. This discrepancy is what gives the house its edge and ensures its profits in the long run.

For example, in American roulette, which features two zero pockets (0 and 00), the house edge is approximately 5.26%. This suggests that for every £100 wagered, the casino will, on average, make around £5.26. In contrast, European roulette, which has only one zero pocket, boasts a lower house edge of around 2.70%. 

Understanding this concept is crucial for players as it can significantly impact their betting choices and overall game strategy. 

Can You Beat The House Edge In Roulette?

It's the question every player asks: Can the house edge be beaten? The truth is, the house edge in roulette remains fixed no matter what bets the player places or strategies they choose to use. 

Players could choose to play European or French roulette over American roulette, with their lower house edge. 

Players could also place outside bets as opposed to inside bets because they have a higher chance of winning, but they offer lower payouts than inside bets. There are also the various betting strategies players could try, such as the Martingale or D'Alembert systems. 

Remember, though, that no strategy can guarantee a win, nor do they change the inherent odds of the game of roulette. 

Ultimately, the answer is no. You cannot beat the house edge in roulette. The best approach is to manage your budget effectively, set realistic expectations, and always play responsibly. 

Conclusion

In conclusion, while it's possible to win in roulette, the house edge is always there, ensuring that the casino always wins in the long run. Therefore, it's vital to play responsibly and keep your expectations in check. 

There's no surefire way to win at roulette. It is a random game of chance with a fixed house edge. So, set a budget, stick to it, and never bet money you aren't comfortable losing. 


*All values (Bet Levels, Maximum Wins, etc.) mentioned in relation to this game are subject to change at any time.