Why Do Casinos Use Chips? 

You have probably seen how colorful chips have featured in numerous casino movies. Casino chips are also known as casino tokens. It is one of the components of gambling that attracts and entices players.

Modern casinos prefer to use chips over paper money, credit cards, gift certificates, and even cryptocurrencies. Chips are purely winning proofs on the casino floor for most gamblers. The goal for casinos is to turn as much money as possible into chips.

Besides that, while playing casino games such as live casino, slots, blackjack, craps, and roulette in an online casino, you will receive electronic casino chips instead of real money too. 

So, why exactly do casinos use chips rather than cash? Let’s have a look at what 96ACE has got.


A fundamental reason casinos prefer chips to cash is that chips provide a psychological barrier between the player with his valuable funds. Accordingly, money carries more economic weight while chips are seen as a playing tool. Therefore, players may already consider since it’s simply casino chips, it’s a little easier to place a larger bet.

Casino’s Currency 

Chips are the same as real money. It represents the global currency of casinos. It is usually stamped with the casino’s brand and is used to play all casino games available. There is no universal standard for matching chip color and denomination. Every casino has its own unique custom-designed manufactured chips with different colors. 

Although casino chips have no real value outside of gaming zones or casinos, they are entirely interchangeable with paper money at the casino as part of the players’ and casino’s gambling agreement.

When you take the chips home with you, the casino saves money. Casinos don’t have to pay anything till you cash out, so they get to retain their profit.


Casinos that employ RFID tag chips exclusively can acquire a lot of information. Despite the fact few small casinos have not yet implemented RFID on their chips, the gambling industry appears to be moving in that direction, particularly in modern casinos. 

Casinos use RFID chips to track how chips move around the casino. This includes discovering dealer mistakes, fake chips, or even catching players who try to sneak extra chips to the table after betting has closed. Additionally, all data obtained can also be used by casinos to streamline earnings, determine gamblers’ average bet sizes, and avoid losing money to thieves.

Casinos may one day utilize RFID chips to determine the skill level of individual gamblers too. Casinos can make sure that huge winners aren’t manipulating the system. In addition, casinos will be able to identify high rollers to reward them with complimentary dinners, show tickets, or hotel rooms as they continue to play. 

Also, the information might then be used by casinos to establish appropriate comps for specific players. Alternatively, they could figure out who the card counters are and persuade them to move into another game. As such, card counting is a Blackjack strategy that determines if the player or the dealer has a better hand on the next one.


The number one priority for casinos is safety. Chips provide an added layer of security features to casinos. Using cash to place bets is not only unsuitable, but it may also be risky for both casino owners and gamblers.

Years ago, a man ran inside Bellagio casino with a revolver and robbed a craps table for $1.5 million in chips. The thief took a large number of $25,000 denomination chips. As a smart move, the casino management announced to the world that it would soon discontinue all of its current $25,000 chips. Those chips would all become worthless after the deadline set by the casino.

Gaming chips come with unique serial numbers. Hence, stealing or counterfeiting in casinos is made to be more difficult. Both casino’s logo and monetary value are imprinted on each chip as an impression of genuine chips. Therefore, any chips without logos are identified as fake right away.

Casino’s Accounting

It’s easy to see that a casino functions similarly to a bank. You go to the cashier, swap your money for chips, and then sit down to play your favorite table games. You get to have fun as the cashier keeps track of how much money you carry along. When it’s time to cash out, you return to the cashier with your chips and exchange them for cash.

The casino notes down the amount of your remaining money in their treasury account and how much they payout once you have cashed out. These calculations are required so that casinos can keep track and cover every aspect of their financial management.

Besides that, modern casino chips help gather details about gaming tables similar to a staff tracking a slot machine activity via credit card transactions. Casinos can then utilize this information to improve their monetary system.


One of the other reasons casinos use chips is because it is more convenient than cash. Waiting for players to bring out their money for every single bet would be a nightmare in fast-paced games. 

In Poker games, you strive to win poker chips. Each Poker player will have a set number of chips to bet on them. The player who folds the best wins all of the chips. Thus, with plenty of chips moving around the table, it will be more manageable to count in stacks than paper currency. Paper money bends, stacks poorly, making it difficult to track, and takes up a lot of room.

Hence, players and dealers find it a lot easier to control casino chips because of their size and shape. Croupiers and gamblers can distinguish the value of each chip without having to read its value on the surface. The color of each chip allows even the pit bosses and surveillance crew to keep track of the bets placed.


Overall, chips provide a practical experience for both gamblers and casinos. It reduces waiting time, creates an organized gaming table, protects and secures, helps in casino branding, and other crucial functions which can help a casino firm succeed.

Related Articles

Back to top button