4 ms·

Should Las Vegas do a financial background check on someone before they are allowed to enter a casino?

deleted 6y ago
[deleted]
majormajor 6y ago
How much does a Vegas casino let the average person gamble that they don't already have? So many of these stories involve highly-leveraged options stuff, reminiscent of stuff that even my schoolbook US history summation of the Great Depression described as super-dangerous.
- penagwin 6y ago
  > How much does a Vegas casino let the average person gamble that they don't already have? Do people not just gamble on credit? I highly doubt casinos care about the average person's financials, as long as the money ends in their pockets. I see no difference between the stock market and gambling, sure there's "smart strategies" to the stock market but at the end of the day it's the same result for anyone with a gambling addiction to either.
  - kjksf 6y ago
    The difference is that in a casino you loose on average. In stock market, you win on average. Not to mention that stock market is much more a game of skill than game of chance (as is most of casino games). I did very well in stock market and I don't feel like I'm gambling. I recognize there is risk and I lost money on some investments but I can usually pin point the reason I lost. It's not random.
- ideals 6y ago
  They do have that money tho. The example given was a guy how took out cc advances and pulled equity. The casino doesn't care if you show up with a pocket full of cash from cc advances.
smt88 6y ago
This analogy makes no sense. You can't lose more than you brought to Vegas. When trading, you can. Famous example: https://www.investopedia.com/articles/investing/121515/how-short-sellers-account-went-negative-106k.asp https://www.investopedia.com/articles/investing/121515/how-s...
- penagwin 6y ago
  Can you not gamble with a credit card in vegas? It looks like the person in your example was selling a call, which has potentially unlimited losses - that was a rather poor decision on his part. There are much safer methods of making "the same bet". Gambling is a random game designed to extract money from people. The stock market is a math game that doesn't care if you gain or lose.
  - mBvpDszv 6y ago
    You can not directly use a credit card to gamble in Vegas. You can however get a cash advance at the ATM or the Cashier's Cage for a fee, so indirectly yes.
- mBvpDszv 6y ago
  You definitely can lose more than you brought to Vegas https://www.caesars.com/casino-credit https://www.caesars.com/casino-credit
- kjksf 6y ago
  It bears mentioning that this is extremely uncommon situation. I have both RobinHood account and IBKR and I don't see how I could do an unhedged short. As a retail investor, the only way I see to short is via options and there you can only loose 100%. It also bears mentioning that an average result in Vegas is: you loose. Benchmark returns for stock market is S&P 500 which is 8-15% yearly return (over multiple years, depending on how good the economy is during those years). And the chances of doing better are higher than chances of loosing money.
gberger 6y ago
Casinos and financial markets are two industries regulated very differently from each other

deleted 6y ago

[deleted]

How much does a Vegas casino let the average person gamble that they don't already have? So many of these stories involve highly-leveraged options stuff, reminiscent of stuff that even my schoolbook US history summation of the Great Depression described as super-dangerous.

penagwin 6y ago
> How much does a Vegas casino let the average person gamble that they don't already have? Do people not just gamble on credit? I highly doubt casinos care about the average person's financials, as long as the money ends in their pockets. I see no difference between the stock market and gambling, sure there's "smart strategies" to the stock market but at the end of the day it's the same result for anyone with a gambling addiction to either.
- kjksf 6y ago
  The difference is that in a casino you loose on average. In stock market, you win on average. Not to mention that stock market is much more a game of skill than game of chance (as is most of casino games). I did very well in stock market and I don't feel like I'm gambling. I recognize there is risk and I lost money on some investments but I can usually pin point the reason I lost. It's not random.
ideals 6y ago
They do have that money tho. The example given was a guy how took out cc advances and pulled equity. The casino doesn't care if you show up with a pocket full of cash from cc advances.

smt88 6y ago

This analogy makes no sense. You can't lose more than you brought to Vegas. When trading, you can. Famous example: https://www.investopedia.com/articles/investing/121515/how-short-sellers-account-went-negative-106k.asp https://www.investopedia.com/articles/investing/121515/how-s...

penagwin 6y ago
Can you not gamble with a credit card in vegas? It looks like the person in your example was selling a call, which has potentially unlimited losses - that was a rather poor decision on his part. There are much safer methods of making "the same bet". Gambling is a random game designed to extract money from people. The stock market is a math game that doesn't care if you gain or lose.
- mBvpDszv 6y ago
  You can not directly use a credit card to gamble in Vegas. You can however get a cash advance at the ATM or the Cashier's Cage for a fee, so indirectly yes.
mBvpDszv 6y ago
You definitely can lose more than you brought to Vegas https://www.caesars.com/casino-credit https://www.caesars.com/casino-credit
kjksf 6y ago
It bears mentioning that this is extremely uncommon situation. I have both RobinHood account and IBKR and I don't see how I could do an unhedged short. As a retail investor, the only way I see to short is via options and there you can only loose 100%. It also bears mentioning that an average result in Vegas is: you loose. Benchmark returns for stock market is S&P 500 which is 8-15% yearly return (over multiple years, depending on how good the economy is during those years). And the chances of doing better are higher than chances of loosing money.

gberger 6y ago

Casinos and financial markets are two industries regulated very differently from each other