Skill vs. Chance – What are you Putting your Money On?

Posted by Harry Kane on Tuesday, October 15, 2019

If you look at the legalities of online gambling across the globe, one of the most controversial elements is the distinction between games of skill and chance.

After all, this is a distinction that often defines the law in certain countries, with the U.S. having historically prohibited games of chance. At the very least, these types of games tend to be more heavily regulated than those that require a high level of skill, primarily because players can mitigate risk through their own ability.

However, the definition of these games varies from one jurisdiction to another, whilst it’s also important to note that some opportunistic games also require a small element of skill. We’ll explore these games in detail below, whilst asking which ones you’re putting your money on every time you frequent an online casino.

Games of Skill and Chance – The Legal Implications

In general legal terms, there is a slight but important difference between games of chance and those that rely more heavily on skill. To understand this further, let’s take the game of poker as an example. Most jurisdictions class poker as a game of skill, despite the fact that there’s an element of luck in terms of the hand that each player is dealt.

However, it’s widely believed that the outcome of poker games is heavily dependent on the skill levels of the players involved, as this dictates the strategy that they deploy and how they cope with the individuals hands that they’re drawn. A similar trend can be seen in the game of blackjack, which is another well-known card game that can be played with anywhere between one and eight decks.

In both on and offline iterations, players compete directly with the dealer, although the skill factor remains as participants must manage the hand that they’re drawn wisely and make strategic decisions that determine whether they win or lose.

In both of these games, players live or die by the in-play actions that they take and their ability to think clearly under pressure, regardless of the individual cards that are drawn by the dealer.

Given that even these skilled games have a slight element of chance, it’s little wonder that there’s a little confusion when trying to categorise various iGaming disciplines.

However, most legal authorities accept that all casino games have at least some element of chance, and instead focus on whether or not players can deploy numeracy skills or strategic decisions to impact the outcome of the game.

If they can, then the discipline in question is classified as a skill game and therefore subject to far less stringent regulatory measures.

What’s the Core Difference Between Games of Chance and Skill?

These legalities aside, there are two main practical differences that distinguish games of skill and chance.

Firstly, games that require players to compete against other participants or a dealer are generally considered to be skill-based entities.

Secondly, disciplines that see you compete directly against the house (such as roulette) or usually classed as games of chance. So, although games boast a house edge, those reliant on skill often enable players to improve their chances of winning in a number of different ways. One example exists in the form of betting strategies, which can be used in games such as blackjack and roulette to increase the frequency and size of your wins in some instances.

In both of these games, you can adopt negative or positive progressive strategies that dictate the size of each individual wager. These can also be deployed to optimise the size of each win or minimise risk depending on your gambling philosophy, affording you at least some control over in-play outcomes.

In the case of roulette, you can also structure your wager to ensure that you cover as much of the wheel as possible. This type of strategy sees you cover as many outside and inside wagers as possible, theoretically increasing your chances of winning during a specific period of game-play.

Now, whilst some jurisdictions and legal authorities don’t factor in the impact of betting strategies when determining whether a game is chance or skill-based, this remains an influential component that enables you to make the most of your bankroll at the very least.

Skill vs. Chance – Which Type of Game are you Playing?

From an objective perspective, there are various metrics against which you can measure games of skill and chance, but several of these don’t factor in the legal definitions provided by authorities across the globe.

This is why defining and distinguishing between such games is so challenging, as there’s no accepted universal standard to inform the world’s regulators and gaming authorities. It’s fair to say that most gamblers consider poker and blackjack to be games of skill, however, whereas slots, craps and to a less extent roulette remain heavily reliant on chance and random number generators.

With this in mind, it’s worth appraising the precise types of game that you play and ask yourself whether you’re wagering primarily on chance or skill?

This can have a significant bearing on your fortunes as a gambler, as focusing solely on games of chance leave you at the mercy of the fortune and restricts your ability to influence the outcome of individual rounds and hands.

Conversely, players who look to develop their abilities and master skill-based games such as poker can significantly improve their chances of earning a return on their bankroll. This is a particularly viable option if you already have some numeracy skills and an ability to think quickly and under pressure, with the key being to scale your efforts and gradually increase the amounts staked as you become an increasingly accomplished poker player.

This type of approach, coupled with the deployment of money management skills and sensible betting strategies when playing games of chance, can ultimately enable you to enjoy a rich and varied gambling experience that also delivers a return on your bankroll!