What are Betting Limits?
Betting Limits are the minimum and maximum amounts a player can bet – as set out by casinos, online gaming administrators and gambling organisations. These Limits are needed in order to cover overhead costs and ensure that risks are limited.
Betting Limits explained
Minimum Limits, which are frequently seen on games such as Blackjack and Roulette, are used by casinos and online gambling websites in order to cover operational costs – such as employee salaries, licensing fees and website design. For example, when playing Roulette, it is common to see that there are minimum bets of £1 and maximum bets of £250. This means that players cannot place a wager over £250 on any one game.
Maximum Limits are used to ensure that casinos or online gaming companies remain profitable. Casinos need to make a profit in order to continue running their businesses, which means they have to protect themselves from potentially dangerous winning streaks. For example, casinos and online casinos can limit financial risk by not allowing players to bet £100,000 or more on a single bet – if the player was to win, the payout for the casino would be huge.
It is also a regulatory requirement for casinos to provide the option for players to set a maximum deposit limit in their cashier. Failure to meet this requirement would result in the casino becoming non-compliant and would often result in penalties or licenses being reviewed, suspended or revoked entirely.
While huge casino wins or online jackpots can be great at drawing new players and work as a boost for company publicity, it can also be extremely dangerous for the gaming organisation if there are too many large winning streaks in a short space of time. In extreme cases, a streak of these huge wins could potentially shut down an online casino.
In order to prevent this, Betting Limits or restricted amounts per wager on any given game are commonplace. This allows casinos to ensure continuous profits and still appeal to players who are looking for big jackpots, but with less financial risk.