How Do Casino Games Work? Complete Guide to Playing Casino Games Explained

Understanding how casino games work requires knowledge of their mechanics, rules, and mathematical systems. This comprehensive guide explains the inner workings of popular casino games, from the RNG systems that power slots to the probability calculations behind table games.

1. Online Slots

Slot machines are the most popular casino games, using Random Number Generators (RNG) to determine outcomes. Each spin is independent, with the RNG generating a result milliseconds before the reels stop.

How They Work: When you press spin, the RNG generates numbers that correspond to symbol positions on virtual reels. The game's software checks these against the paytable to determine wins. The RTP (Return to Player) is programmed into the game, typically ranging from 85% to 98%.

  • Classic Slots: Traditional 3-reel games with simple mechanics. Usually have 1-5 paylines and straightforward paytables. RTP typically 92-95%.
  • Video Slots: Modern 5-reel games with 10-100+ paylines. Feature Wild symbols (substitute for others), Scatter symbols (trigger bonuses), and Free Spin rounds. RTP typically 94-97%.
  • Progressive Jackpots: A portion of each bet (usually 1-5%) goes to a growing prize pool. Can be standalone, local, or wide-area networked. Base RTP is lower (85-92%) due to jackpot contribution.
  • Megaways Slots: Dynamic payline systems where each reel can display 2-7 symbols, creating up to 117,649 ways to win. Popularized by Big Time Gaming.
  • Cluster Pays: Instead of paylines, wins occur when symbols cluster together (typically 5+ matching symbols adjacent). Examples include Gonzo's Quest and Reactoonz.

Learn More: Wizard of Odds - Slot Machine Analysis | Casino Guru - Slot Game Guide

2. Blackjack (21)

Blackjack is a card game where players compete against the dealer to get a hand value closest to 21 without exceeding it. It has one of the lowest house edges (0.5-1%) when played with optimal basic strategy.

How It Works: Players receive two cards face-up, while the dealer gets one face-up and one face-down. Players can "Hit" (take another card), "Stand" (keep current hand), "Double Down" (double bet for one card), or "Split" (if you have a pair, split into two hands). The dealer must hit on 16 or less and stand on 17 or more.

Key Rules:

  • Face cards (J, Q, K) = 10 points
  • Aces = 1 or 11 (player's choice)
  • Blackjack (Ace + 10-value card) pays 3:2 (or 6:5 in some variants - avoid these)
  • Insurance bet (when dealer shows Ace) has a house edge of ~7% - generally not recommended
  • Surrender option (give up half your bet) can reduce house edge when used correctly

House Edge: With perfect basic strategy, house edge is 0.5-1% depending on rule variations. Card counting can give players a 0.5-1.5% edge, but requires skill and large bankrolls.

Learn More: Wizard of Odds - Blackjack Strategy | BlackjackInfo - Strategy Guide

3. Roulette

Roulette is a pure chance game where players bet on where a ball will land on a spinning wheel. The outcome is determined by physics and RNG in online versions.

How It Works: Players place bets on numbers, colors, or groups of numbers. The dealer (or RNG) spins the wheel and drops a ball. When the ball lands, winning bets are paid according to the odds.

  • European Roulette: 37 pockets (0-36). House edge 2.7%. Best odds for players.
  • American Roulette: 38 pockets (0, 00, 1-36). House edge 5.26% due to extra zero.
  • French Roulette: Same as European but with "La Partage" and "En Prison" rules that reduce house edge to 1.35% on even-money bets.

Bet Types:

  • Inside Bets: Straight up (single number: 35:1), Split (two numbers: 17:1), Street (three numbers: 11:1), Corner (four numbers: 8:1), Six Line (six numbers: 5:1)
  • Outside Bets: Red/Black, Odd/Even, 1-18/19-36 (all pay 1:1), Dozens (1-12, 13-24, 25-36: 2:1), Columns (2:1)

Learn More: Wizard of Odds - Roulette Guide | Roulette Physics - Wheel Analysis

4. Baccarat

Baccarat is a comparing card game between two hands: "Player" and "Banker." Players bet on which hand will be closest to 9. It's purely chance-based with no strategy after placing your bet.

How It Works: Cards are dealt according to fixed rules. Face cards and 10s = 0, Aces = 1, other cards = face value. If total exceeds 9, only the last digit counts (e.g., 15 = 5).

Betting Options:

  • Banker Bet: House edge 1.06% (best bet). Pays 1:1 minus 5% commission.
  • Player Bet: House edge 1.24%. Pays 1:1, no commission.
  • Tie Bet: House edge 14.4% (worst bet). Pays 8:1 or 9:1, but very unlikely.

Drawing Rules: The game follows strict rules for when a third card is drawn. Players don't make decisions - the rules are automatic based on the initial hands.

Learn More: Wizard of Odds - Baccarat Guide | Baccarat.net - Rules & Strategy

5. Craps

Craps is a dice game where players bet on the outcome of dice rolls. It offers some of the best odds in the casino when betting on the "Pass Line" or "Don't Pass" bets.

How It Works: The "shooter" rolls two dice. On the first roll (come-out roll): 7 or 11 = Pass Line wins, 2, 3, or 12 = Pass Line loses (craps). Any other number (4, 5, 6, 8, 9, 10) becomes the "point." The shooter must roll the point again before rolling a 7 to win.

Best Bets:

  • Pass Line: House edge 1.41%. Bet that shooter will win.
  • Don't Pass: House edge 1.36%. Bet that shooter will lose.
  • Odds Bet: House edge 0% (true odds). Can only be placed after a point is established. This is the only casino bet with no house edge.
  • Come/Don't Come: Similar to Pass/Don't Pass but can be bet after the come-out roll. House edge 1.41% and 1.36% respectively.

Worst Bets: Proposition bets (Any Craps, Any Seven, Hard Ways) have house edges of 9-16%. Avoid these.

Learn More: Wizard of Odds - Craps Strategy | Craps Pit - Complete Guide

6. Video Poker

Video poker combines elements of slots and poker. Players receive five cards and can hold or discard cards to make the best poker hand. With optimal strategy, some variants offer over 99% RTP.

How It Works: You're dealt five cards. Choose which to hold, then receive replacement cards. Payouts are based on poker hand rankings. Unlike slots, skill and strategy significantly impact your results.

Popular Variants:

  • Jacks or Better: RTP 99.54% with optimal strategy. Most common variant.
  • Deuces Wild: All 2s are wild. RTP 100.76% with perfect play (positive expectation).
  • Double Bonus Poker: Higher payouts for four-of-a-kind. RTP 99.11% with strategy.
  • Joker Poker: Includes a joker as wild card. RTP varies by paytable.
  • Double Double Bonus: Bonus payouts for specific four-of-a-kind hands. RTP 98.98% with strategy.

Strategy: Using optimal strategy (knowing which cards to hold) is crucial. Strategy charts are available for each variant.

Learn More: Wizard of Odds - Video Poker Strategy | VideoPoker.com - Strategy Charts

7. Texas Hold'em Poker

Texas Hold'em is a community card poker game where players compete against each other, not the house. In casino settings, the house takes a "rake" (small percentage) from each pot.

How It Works: Each player receives two hole cards. Five community cards are dealt face-up in stages: three cards (flop), one card (turn), one card (river). Players make the best five-card hand using their two hole cards and the five community cards.

Betting Rounds: Pre-flop (after hole cards), Flop (after three community cards), Turn (after fourth card), River (after fifth card). Players can check, bet, call, raise, or fold.

Variants: No-Limit (any bet size), Pot-Limit (bet up to pot size), Fixed-Limit (fixed bet sizes). Tournament play (buy-in with prize pool) vs. Cash games (real money chips).

House Edge: The casino takes a "rake" (typically 2.5-10% of each pot, capped at $3-5). This is the house's profit.

Learn More: PokerNews - Strategy Guide | PokerStrategy - Training Site

8. Caribbean Stud Poker

Caribbean Stud is a casino table game where players compete against the dealer's hand, not other players. It's based on five-card stud poker.

How It Works: Players make an "Ante" bet and receive five cards face-down. The dealer receives four cards face-down and one face-up. Players decide to "Fold" (lose ante) or "Raise" (bet double the ante). If you raise, the dealer reveals their hand. You win if your five-card poker hand beats the dealer's qualifying hand (Ace-King or better).

House Edge: Approximately 5.22% on the ante bet. The "Progressive" side bet (optional) has a much higher house edge.

Payouts: Based on poker hand rankings. Pair pays 1:1, Two Pair 2:1, Three of a Kind 3:1, Straight 4:1, Flush 5:1, Full House 7:1, Four of a Kind 20:1, Straight Flush 50:1, Royal Flush 100:1.

Learn More: Wizard of Odds - Caribbean Stud

9. Three Card Poker

Three Card Poker is a simplified poker variant where players and the dealer each receive three cards. Players make two bets: "Ante" and optional "Pair Plus."

How It Works: Players make an "Ante" bet and receive three cards. After viewing cards, players decide to "Fold" (lose ante) or "Play" (bet equal to ante). The dealer needs Queen-high or better to qualify. If dealer doesn't qualify, Ante bet pays 1:1 and Play bet pushes. If dealer qualifies, both bets are compared - higher three-card poker hand wins.

Pair Plus Bet: Optional side bet on whether you'll get a pair or better. Pays regardless of dealer's hand. House edge approximately 7.28%.

House Edge: Ante/Play bets have house edge of 3.37% with optimal strategy (always play with Queen-6-4 or better).

Learn More: Wizard of Odds - Three Card Poker

10. Pai Gow Poker

Pai Gow Poker combines elements of Chinese Pai Gow and poker. Players receive seven cards and must create two hands: a five-card "high" hand and a two-card "low" hand. Both must beat the dealer's corresponding hands to win.

How It Works: Players receive seven cards and arrange them into a five-card hand and two-card hand. The five-card hand must rank higher than the two-card hand. The dealer does the same. You win if both your hands beat the dealer's corresponding hands. If you win one and lose one, it's a push (tie).

House Edge: Approximately 2.84% when using optimal "house way" strategy. The game moves slowly, making it good for bankroll preservation.

Banker Option: Players can take turns being the "banker" (dealer), which eliminates the house edge but requires covering all bets at the table.

Learn More: Wizard of Odds - Pai Gow Poker

11. Sic Bo

Sic Bo (meaning "dice pair" in Chinese) is a dice game popular in Asian casinos. Players bet on the outcome of three dice rolled in a cage.

How It Works: Three dice are rolled, and players bet on various possible outcomes. Bets can be on specific numbers, combinations, totals, or specific patterns.

Betting Options:

  • Small (4-10): Pays 1:1, house edge 2.78%
  • Big (11-17): Pays 1:1, house edge 2.78%
  • Specific Triple: All three dice show same number. Pays 180:1, house edge 16.67%
  • Any Triple: Any three of a kind. Pays 30:1, house edge 13.89%
  • Total Sums: Bet on total of three dice (4-17). Payouts vary by total.

House Edge: Varies dramatically by bet type. Stick to Small/Big bets for best odds.

Learn More: Wizard of Odds - Sic Bo Guide

12. Pai Gow (Traditional)

Traditional Pai Gow is a Chinese domino game where players receive four tiles and arrange them into two hands: a two-tile "front" hand and a two-tile "back" hand. The back hand must rank higher than the front hand.

How It Works: Players compete against the dealer. Both receive four tiles and arrange them into two hands. You win if both your hands beat the dealer's corresponding hands. The game uses Chinese domino tiles with specific ranking rules.

House Edge: Approximately 2.84% when using optimal strategy. The game is slow-paced, making it good for extended play with smaller bankrolls.

Learn More: Wizard of Odds - Pai Gow

13. Red Dog

Red Dog (also called Acey-Deucey) is a simple card game where players bet on whether a third card will rank between the first two cards dealt.

How It Works: Two cards are dealt face-up. Players bet on whether a third card will rank between them. If the two cards are consecutive (e.g., 5-6), it's a push. If they're the same rank, a third card is drawn - if it matches, you win 11:1, otherwise it's a push.

House Edge: Approximately 2.8-3.2% depending on the number of decks used.

Payouts: Based on the "spread" between the two cards. Closer cards = lower payout but higher probability.

Learn More: Wizard of Odds - Red Dog

14. Let It Ride

Let It Ride is a poker-based game where players make three equal bets and receive three cards. Two community cards are revealed. Players can "let it ride" (keep bet) or "take it back" (withdraw bet) after each community card is revealed.

How It Works: Players make three equal bets. Receive three cards face-down. First community card revealed - decide to let bet ride or take it back. Second community card revealed - decide again. Best five-card poker hand wins.

House Edge: Approximately 3.51% with optimal strategy (take back bets when you don't have at least a pair of 10s).

Payouts: Based on poker hand rankings. Pair of 10s or better required to win.

Learn More: Wizard of Odds - Let It Ride

15. Casino War

Casino War is the simplest card game - players and dealer each receive one card. Higher card wins. It's essentially the children's game "War" adapted for casinos.

How It Works: Players make an ante bet. Both player and dealer receive one card. If player's card is higher, you win even money. If dealer's card is higher, you lose. If tied, you can "surrender" (lose half) or "go to war" (double bet, then both receive another card - higher card wins).

House Edge: Approximately 2.88% if you always go to war on ties, 3.70% if you always surrender on ties.

Learn More: Wizard of Odds - Casino War

16. Keno

Keno is a lottery-style game where players select numbers (typically 1-80) and hope they match numbers drawn by the casino. It has one of the highest house edges in the casino (typically 25-30%).

How It Works: Players select 1-20 numbers from 1-80. The casino draws 20 numbers randomly. Payouts depend on how many of your numbers match. The more numbers you match, the higher the payout.

House Edge: Very high, typically 25-30%. This is one of the worst games for players mathematically.

Variants: Some casinos offer "Power Keno" with multipliers or "Way Tickets" allowing multiple number combinations.

Learn More: Wizard of Odds - Keno Analysis

17. Bingo

Bingo is a game of chance where players mark numbers on cards as they're called. The first to complete a pattern wins. Online bingo uses RNG to determine which numbers are called.

How It Works: Players purchase bingo cards with random numbers. Numbers are called (or generated by RNG online). Players mark matching numbers. First to complete the required pattern (line, full house, etc.) wins a share of the prize pool.

House Edge: Typically 10-15%, though this varies by game type and prize structure.

Variants: 75-ball (US), 90-ball (UK), 80-ball, and various pattern-based games.

Learn More: Bingo Sites - Complete Guide

18. Wheel of Fortune / Big Six Wheel

This is a large vertical wheel divided into segments with different dollar amounts or symbols. Players bet on which segment the wheel will stop on.

How It Works: Players place bets on various segments of the wheel. The wheel is spun, and when it stops, bets on that segment win according to the payout odds displayed.

House Edge: Varies dramatically by segment, typically ranging from 11% to 24%. The $1 segment usually has the worst odds (24% house edge).

Variants: Some casinos offer themed wheels (TV show themes, etc.) with different prize structures.

Learn More: Wizard of Odds - Big Six Wheel

19. Dragon Tiger

Dragon Tiger is a simplified version of Baccarat popular in Asian casinos. Players bet on which of two hands (Dragon or Tiger) will have the higher card value.

How It Works: One card is dealt to "Dragon" and one to "Tiger." Players bet on which will be higher. Aces are low. If both cards are the same value, it's a tie (unless you bet on tie).

Betting Options:

  • Dragon: Pays 1:1, house edge 3.73%
  • Tiger: Pays 1:1, house edge 3.73%
  • Tie: Pays 8:1 or 11:1, house edge varies (typically 10-15%)

Learn More: Wizard of Odds - Dragon Tiger

20. Fan Tan

Fan Tan is a traditional Chinese game where players bet on how many beans (or coins) will remain after a pile is divided by four.

How It Works: The dealer places a random number of beans under a cover. Players bet on the remainder when divided by 4 (0, 1, 2, or 3). The cover is removed, beans are counted and divided by 4, and the remainder determines winners.

House Edge: Approximately 2.7-5% depending on the variant and betting options.

Learn More: Wizard of Odds - Fan Tan

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