Volatility (Variance)
Volatility (or Variance) refers to the behavior of a game's payout mechanism, directly influencing the associated risk level and guiding optimal slot strategy. It describes how often a game pays out and how large those payouts tend to be. Understanding a game's volatility is crucial for players to manage their bankroll and align their expectations with the game's payout rhythm.
The Three Levels of Volatility
- Low Volatility: Offers frequent wins, but typically in smaller amounts. These games are suitable for casual play, fulfilling wagering requirements, or for players who prefer a lower risk level.
- Medium Volatility: Provides a balanced experience, featuring a mix of smaller, more frequent wins and occasional larger payouts. This level can appeal to a broader range of players seeking a moderate risk level.
- High Volatility: Characterized by rare wins, but with the potential for substantial payouts (often reaching 5,000x or more, impacting the potential max win). These games demand a larger bankroll to endure "dry spells" and are best suited for players employing a higher-risk level slot strategy, aiming for significant gains.
Related Terms
- European Roulette
The player-friendly version of Roulette featuring a single zero wheel and a lower house edge.
- Hit Frequency
A percentage indicating how often a game generates a winning outcome on a spin, regardless of the prize size.
- UIGEA (2006)
The Unlawful Internet Gambling Enforcement Act, a controversial US law that crippled the early online poker market.
- InterCasino (1996)
Widely credited as the first online casino to accept a real money wager over the internet.
- Black Friday (2011)
April 15, 2011: The day the US Department of Justice seized the domains of the three largest online poker sites.
- Aggregator
A B2B software provider that acts as a hub, delivering thousands of games from various studios via a single API.