Bitcoin payments in the iGaming industry are growing every day. More and more online operators support Bitcoin and other digital assets as a payment method. It is estimated that almost 30% of all bets are made using digital assets.
Although it is unregulated operators that are benefiting the most from these opportunities, regulatory authorities are working to combat the illicit use of these technologies and protect licensed operators from the consequences of illegal operations.
A Bitcoin payments solution that meets regulatory standards protects operators and players. Not only that, but it also allows regulated operators to compete effectively with unregulated ones, offering a legal and transparent payment alternative.
Why are Bitcoin payments gaining popularity in iGaming?
The regulated iGaming industry faces several challenges related to online payments. This is affecting the efficiency and compliance of the platforms and the user experience.
Bitcoin features and blockchain technology counteract these challenges and bring a number of benefits to the industry that should not be overlooked.
Chargeback fraud
Chargebacks represent a significant problem in iGaming. They are all too common and result in financial losses and considerable administrative burden for platforms. The particular nature of iGaming services makes them especially susceptible to such disputes.
A distinct advantage of blockchain technology, which is the basis of Bitcoin, is its ability to neutralize chargebacks. Once a transaction is validated and recorded on the blockchain, it becomes irreversible. This immutable feature of Bitcoin transactions eliminates the risk of chargebacks. For iGaming platforms, this translates into greater financial security and reduced administrative burden.
High transaction fees
The cost of cross-border transactions remains a significant concern when using traditional payments. This especially affects those players who are cost conscious or who transact frequently.
High transaction fees are a major issue that negatively affects player retention and overall satisfaction.
One of the most prominent advantages of Bitcoin payments is the elimination of bank intermediaries. This simplifies the process and significantly reduces transaction fees, especially when using Bitcoin Lighting technology. Bitcoin thus becomes a cost-effective solution for both operators and their users.
Payment processing delays
In the fast-paced world of iGaming, players expect their deposits and withdrawals to be processed quickly and efficiently. However, players often face considerable wait times, especially when it comes to withdrawing winnings.
Although people who gamble on iGaming are generally well versed with the technology, many still find it difficult to add or withdraw money from their accounts. This happens not only because of the operators’ platforms, but because of the banks themselves.
Bitcoin payments can be much faster than traditional international payments, which are often hampered by the processes and timescales of banks and financial institutions.
Lack of trust and transparency
The need for greater transparency in the iGaming industry presents significant challenges that undermine trust. This is particularly damaging because trust is a crucial element between players and gaming operators.
Most participants highly value legality and regulation when it comes to online gambling. This is especially true when large stakes or significant winnings are involved.
Along with immutability, blockchain technology also guarantees complete transparency. This cryptographically verifiable transparency has led to the development of Provably Fair gaming platforms. On these platforms, game results are cryptographically verified and impossible to manipulate.
This level of transparency reinforces player confidence and enhances the overall integrity of the gaming experience.
How to integrate Bitcoin payments with ElenPAY
For regulated iGaming operators considering integrating Bitcoin payments, ElenPAY offers a solution tailored to their needs.
At Clovr Labs we promote the regulated adoption of Bitcoin in iGaming. We want to ensure that platforms operate within a secure and reliable framework.
By adopting the ElenPAY Bitcoin payment platform developed by Clovr Labs, your business can confidently step into the future of digital commerce. You’ll be equipped with tools for success in a rapidly evolving market.
To discover how ElenPAY can transform your business operations and help you lead financial innovation in iGaming in a regulated manner, request a personalized demo.
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