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Dice and dice games date back to the Middle Eastern Crusades, but current craps is only about a century old. Current craps formed from the ancient Anglo game referred to as Hazard. No one absolutely knows the beginnings of the game, although Hazard is said to have been invented by the Anglo, Sir William of Tyre, in the 12th century. It's theorized that Sir William's knights gambled on Hazard during a siege on the citadel Hazarth in 1125 AD. The name Hazard was acquired from the citadel's name.

Early French settlers imported the game Hazard to Nova Scotia. In the 18th century, when driven away by the English, the French moved south and discovered safety in southern Louisiana where they after a while became Cajuns. When they departed Acadia, they took their preferred game, Hazard, with them. The Cajuns streamlined the game and made it fair mathematically. It is said that the Cajuns adjusted the name to craps, which is derived from the term for the bad luck toss of 2 in the game of Hazard, known as "crabs."

From Louisiana, the game moved to the Mississippi river boats and all over the nation. Many consider the dice builder John H. Winn as the father of modern craps. In 1907, Winn designed the current craps layout. He appended the Do not Pass line so gamblers could wager on the dice to lose. Later, he established the boxes for Place bets and put in place the Big 6, Big 8, and Hardways.