The New Zealand Dollar has shown sharp growth over the past week with much of the growth being attributed to strong domestic exports and comments made by US president Tump regarding the US Federal reserve. This growth is great for most Kiwis but how does it effect people that play at online casinos?
This article will address how the current strengthening of the NZD has effected players. If you are interested in a general overview of playing in NZ dollars, read the main article entitled NZ Dollar Online Casinos.
The Dangers of Gambling in Foreign Currencies
We already know that all Online Casinos are based offshore which means that all of them all gamblers to play in currencies other than the NZ Dollar. Many Kiwis take this option and opt to play in US dollars. It is these players that have inadvertently lost out to the forex market.
Most pokies from safe online casinos have a rip (return to player) of between 92-96% meaning that they payout around 94c to the dollar over the lifetime of the poke machine. If you look at the strengthening of the Kiwi to the USD over the past five days is shown below.
This graph shows how players would effectively decrease their RTP as each USD they paid for would be worth less at the time of cashing in.
The potential losses on currency conversion when converting your NZ dollars is also not taken into account which in many cases are quite substantial.
Will the NZD go back down?
There is always the possibility of the New Zealand Dollar decreasing again but many analysts believe the strengthening of the currency is based on solid export numbers(which are a stable indicator) as well as uncertainty in the US which is much more volatile.
The continued tensions between China and the US continue to play havoc with the worlds financial markets with the Gold Price reaching a 5 year high this month and continuing to climb. There are also more than a few voices out there speaking of a recession which never bodes well for currency trading.
I prefer to gamble at the casino
I enjoy the thrill of playing at online casinos. I decide how much I want to bet, which games I play on and have an understanding of the odds involved. There are few feelings in the world that compare to that catching a big win on a pokie or catching your lucky number with your last chip at the roulette table. It’s the thrill to win, to beat the odds and cherish the memory.
This is the gambling I love, I am not the man who deposits money into a financial system that I have no control over. This is why I continue to ask New Zealanders to keep playing in NZ Dollars.
If your current casino does not support New Zealand Dollars as a payment method, please check out our Top New Zealand Casinos list, where all casinos accept NZD as a deposit currency.
Pick an online casino that offers NZ Dollars as a deposit currency to protect yourself from currency fluctuations as well as additional currency conversion banking fees that eat away at your potential for winning.