You are right to be skeptical.

In the Wild West of crypto — every actor should be questioned, investigated, and assessed. So…

Who are Freebitco.in?

Freebitco.in is a Bitcoin faucet and mining business with a ‘provably fair’ higher/lower dice game and lottery.

18.5 million registered users 👪

Founded 2013, one of the oldest names in Crypto 🏺

Bitcoin mining company ⛏️

Bitcoin faucet 🚰

Bitcoin higher/lower dice game and lottery 🎰

Registered in the British Virgin Islands 🇻🇬

How do they make money?

Most of Freebitco.in’s income comes from their higher/lower ‘Multiply BTC’ betting game. A version of a classic casino dice game where you stake Bitcoin on whether a random number generator will generate a number above or below a certain value. The house has a 5% edge in this game and so, mathematically, eventually… they always win.

Yes they’ve distributed 173,140 BTC to their users, but they’ve made 161,000 more:

Their current setup is very financially successful. From their website:

When you hold money in your FreeBitco.in account, we split it into 3 parts — the first part is used to cover user withdrawals, the second part is used to bankroll our MULTIPLY BTC game and the third part is used to expand our bitcoin mining operation (which is currently 9.065Petahashes or 0.021% of the total hashpower of the bitcoin network). We make a profit and assume the full risks of our businesses and in return for you saving your money with us, we give you a risk-free fixed rate of return

Can you trust them?

When reflecting on the great scams of crypto past, Freebitco.in is comparatively red-flag free. Personally — I have stored my BTC with Freebitco.in for around 14 months. Here are some important observations:

‘Instant’ Bitcoin withdrawals happen within 15 minutes of initiating them, every time.

Interest payments are made (in BTC) into your account, automatically, every day, without fail.

There is no lock-in for Bitcoin you hold with them.

4.08% per annum is actually a very modest rate of return.

The minimum balance (0.0003 BTC) to start earning interest is very low.

You can see transparent statistics and data across a range of their website operations.

Their current business model is hugely successful, and independent of market swings—making around twice as much BTC in their higher/lower game as they have paid out.

The major (and obvious) caveat here — is that Freebitco.in do HODL your Bitcoin for the period it earns interest. They have the private keys, not you.

In terms of external assessments of Freebitco.in’s trustworthiness, I point to an in-depth review by Tim from educational blog ‘scambitcoin.com’ as well as numerous Bitcointalk threads on this exact topic: [1] [2] [3]. As ever — Do Your Own Research.

In their own words: