Well, I might add that the same type of scenario played out in the credit card taking online casinos.  I've witnessed it many times.  A person would credit his account with his credit card, make very risky wagers hoping for a large return, and if they'd lose, they'd just refute the charges on their card.  Of course, if they won, they'd just allow the charge to go through and then withdraw their winnings.

Mandating a one confirmation standard for bitcoin before wagering is allowed is quite generous....allowing a zero confirmations standard is the same as allowing credit so that's a risk....gambling with credit is very risky for several reasons.  And, it's not a good practice to permit.