Rules and History of Caribbean stud

Caribbean stud poker is a casino table game with rules similar to five card stud poker. However, unlike standard poker games, Caribbean stud is played against the house rather than against other players (and, like most such games, it cannot be beaten in the long run). There is no bluffing or other deception. For these reasons, most poker players do not consider it to be a form of poker. (They do not necessarily feel that it should not be called poker, but means merely that they will not refer to it as simply "poker". For instance, a gambler might say "I played poker" if he played seven card stud, but probably would not if he played Caribbean stud.)

The following rules are typical of U.S. casinos, but some of the details (the payouts and limits) vary from casino to casino.

To play, every player places his ante on the layout where indicated; all ante wagers must be placed prior to the dealer announcing "No more bets". Each player and the dealer will then receive 5 cards, face down. The dealer will turn over one of his cards, then push the cards toward the players, after which the players may look at their cards. They may only look at their own cards, and may not discuss what they have with any other player at the table.

Players have the option to play or fold; if they choose to play, they place their bets (twice the amount of their respective ante) in the bet box. If they choose to fold, they forfeit their ante. After all the players have made their decisions, the dealer reveals his hole cards. The dealer only plays with an ace/king or higher; he then compares his cards to the players' cards (individually, right to left), and the best poker hand wins.

There are some major rules in Caribbean Stud Poker that must be observed at all times while playing:

Only one hand per player. Players cannot hold or wager on multiple hands at the table. Players choosing to play the Progressive Payout feature are responsible for ensuring their $1 wager has been inserted into slot and the "Indicator Light" is ON. Players may not exchange or communicate information regarding their hands to other players or the dealer. Player violation will result in a dead hand and forfeiture of all wagers. Incorrect amount of cards to the player constitutes a dead hand (or push) for that player only. The decision of the table/casino supervisor is final. If the dealer is dealt four cards of the five-card hand, the dealer shall deal an additional card to complete the hand. Any other misdeal to the dealer shall result in all hands being void and the cards shall be reshuffled. Each player shall be required to keep the five cards in full view of the dealer at all times. Once each player has examined his or her cards and placed them face down on the layout, they may not touch the cards again. If a hole card is exposed prior to the dealer announcing No More Bets, all hands shall be void. If a player's cards beat the dealer's cards, the player will receive even money (1-1) on the ante, and the following on his bet (with a maximum payout of $5,000 U.S. Dollars per hand on each bet wager):

Royal flush 100 to 1 
Straight flush 50 to 1 
Four of a kind 20 to 1 
Full house 7 to 1 
Flush 5 to 1 
Straight 4 to 1 
Three of a kind 3 to 1 
Two pair 2 to 1 
One pair or less 1 to 1 

If the dealer does not have at least ace/king, all bet wagers will be void, and players will receive even money on their ante bet only. If the dealer's cards beat a player's cards, the dealer collects both the ante and bet.

In addition, in Caribbean stud poker, players can also bet on their poker hands and win the "progressive feature"; this is done by dropping a 1.00 dollar gaming chip into the chip acceptor on the table after placing the ante. Players with a flush or higher win, regardless of the outcome of their table bets:

Royal Flush 100% of Progressive Meter 
Straight Flush 10% of Progressive Meter 
Four-of-a-Kind $500 
Full House $100 
Flush $50 

Winning progressive payout hands are paid in accordance with the amount on the meter when it is the player's turn to be paid. However, if more than one player at a table has a royal flush progressive payout hand, each player shares equally in the amount on the meter when the first player with a royal flush is to be paid.

Caribbean Stud Poker in the United Kingdom

Caribbean Stud Poker differs slightly in the United Kingdom, and most parts of Europe, from the US. The game is officially known as "Casino Five Card Stud Poker", and not all casinos have the jackpot prize. Those which do have the prize, usually the large chain groups, officially call the game "Casino Jackpot Five Card Stud Poker". In both instances, the game is commonly referred to as "Casino Stud Poker".

The basic rules are the same in the UK as the US, although the payouts differ - the maximum bet is generally £100 on the ante and £200 on the raise, and all payouts are paid on the raise, meaning the maximum payout can potentially be £10,000 (a Royal Flush pays at the same odds, 50:1, as a Straight Flush).

Casinos offering the jackpot generally have the card shuffled by a card shuffling machine - the cards are then removed and dealt out by the dealer, or croupier. Independent and small casinos generally have the croupier shuffle the cards by hand.

British casinos do not use the chip dropper system; instead, a £1 chip is placed on a small plastic circle on the table, which lights up. The croupier then presses a button on a panel infront of them, which keeps the lights lit up once the chips are removed. The dealer removes the chips, and can then tell which players are playing the jackpot game and which are not.

If the dealer does not show an Ace/King, hands playing the jackpot must be turned over, face up, and shown to the dealer and table. If the player is not playing the jackpot prize, the cards are not shown.

Player Strategy

Using optimal strategy the house edge is 5.224% of the player's ante bet. This strategy can be complicated and does not lend itself to practical use in a casino. Using a strategy of raising with Ace/King/Jack/8/3 or better the house edge is 5.316%, very close to the optimal strategy house edge.

Knowledge of what other players hold can decrease the house edge. It has been estimated with the knowledge of 6 other player's hands (30 cards) and associated optimal strategy the player can gain an edge of 2.3%. Given that sharing information is against the rules and that a computer would be needed to calculate the appropriate strategy it is unlikely this could ever be achieved in a real life casino.