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In land-based gambling, chips are round plastic discs that are often used in lieu of currency. Aside from being made of plastic, chips are very similar to regular coins. Casino chips have a number printed on them, which indicates their value. While $1 chips are usually the same size everywhere, larger denomination tokens may sometimes come in larger sizes. This helps the players visually differentiate between them.

Chips are sometimes also referred to as tokens.

Why do casinos use chips instead of money?

There are several reasons why casinos use chips instead of cash. Here are some of the main ones:

Anti-Counterfeit Measure. One of the main reasons casinos use chips instead of cash is to avoid dealing with the problem of counterfeit currency. The logic here is that a trained professional sitting in the cashier’s cage with access to a good counterfeit money detector has a much higher chance of detecting a fake bill than a dealer who has a thousand other things to worry about.

Ease of betting. Chips are highly visual and distinct from each other. It is much easier to see how much a person has bet when they use chips, rather than when they use cash.

Security. Money can be stolen during a robbery, but chips are of no value outside the casino. If a theft of chips does occur, the RFID chips inside them make the affected chips very easy to block. RFID technology also helps protect the casino and its players from capping.

Tradition. The last reason is history. When people think of casinos, chips are one of the first things they imagine. Without them, the gambling experience would undoubtedly lose some of its charm.


  • Round plastic discs used in lieu of currency in land-based gambling venues.




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