There is a definite increase in the number of online gambling operators offering crypto deposits and withdrawals. But why is this so, and should you consider it as an operator? Cryptocurrency has taken the world by storm over the last few years, worrying banks, exciting investors, and piquing the interest of business owners and entrepreneurs. In his latest column for Yogonet, iGaming industry consultant Ron Mendelson shares an analysis of why you should offer crypto payment options via online gambling sites in 2023.
Convenience
One of the key demands for online gamblers is that gambling on a particular site is easy and convenient. One of the ways you can ensure your site fits the bill is by making it as quick and easy for them to deposit as possible. This can be done through the integration of card payments such as Visa and Mastercard, allowing various digital wallets and payment processors, and by accepting cryptocurrency. Different crypto coins such as ether, ripple, and bitcoin are being used regularly by a growing number of people to do their grocery shopping, book flights, buy property, and gamble. Many people are shunning using fiat currency online, for a number of reasons. This means that if you offer crypto payments, you can cater to those and others that will take up crypto in the future.
Reputation
Cryptocurrency is a dynamic and innovative technology that is making continued waves around the world. Those that use it will demonstrate to players that they have their finger on the pulse, are up to date with the latest trends, and take technology and innovation seriously. It will help set you apart from other operators that are still relying on card payments and bank transfers, positioning you as a forward-thinking provider that knows what players want. In a highly competitive sector with more and more platforms joining the market every day, you want to stand out. Offering crypto payments either alone or with fiat payments is a surefire way to achieve that.
Security
As the online gambling sector becomes more popular, unfortunately, it has become a target for cybercrime. Players have concerns about using their cards linked to their bank accounts on gambling platforms. While operators can take measures to increase security and keep player information safe, introducing cryptocurrency payments can also help. This is because making crypto payments does not require any link to a bank account, or credit, or debit card. Once the transaction is made, it is logged on the blockchain and cannot be deleted or amended in any way, leaving a perfect paper trail. It is also impossible to hack the blockchain as it is decentralized, so transacting with crypto offers much more security than with fiat.
Privacy
Another key benefit of crypto payments that players love is that they are anonymous or at least pseudonymous. Crypto is decentralized and not linked to any bank or central institution. Even when transactions are made, player data such as name, address, or anything else is required or saved. While you, as the operator, will know who your player is, the transaction will be secret on the player’s side, with no bank, institution, or government entity being notified or aware of it and no chance of it turning up on a bank statement. This allows players to keep their gambling activity private to the level they wish.
Fiscal benefits
In most jurisdictions, cryptocurrency is not considered an actual currency or asset and is not subject to fiscal rules. Of course, this will depend on where your players are based and the specific frameworks in place for them. As for you as an operator, how you declare crypto revenue will depend on your online gambling license and the jurisdiction you are based in. Fast Offshore can help you with all of these matters, from setting up, getting licenses, and taking the step to offer crypto payments.
Efficiency
When it comes to efficiency, cryptocurrency is heads and shoulders above some other kinds of payment methods. There is no need to log into an app, input lots of data, and go through lots of authorizations before waiting hours or days for it to clear. With crypto, the transfer is simple and straightforward from your wallet to the provider, and it can be ready to use in a matter of moments. As well as being easy and fast, the costs associated with such transfers are often much lower than with fiat, leaving players and you with more money.
But what about regulation?
But are crypto payments on online gambling sites legal? The answer is a large yes. Depending on where you are licensed and based, taking crypto payments does not require any further permits or permissions. Some jurisdictions, such as Costa Rica, do not even require you to have an online gambling license when you have a crypto casino, while others, such as Kahnawake, will require just a regular license. With the latter, you also have the opportunity to offer fiat payments, but with Costa Rica, you can only offer crypto. As for fiscal, anti-money laundering, and security regulations and frameworks, it is best to check with Fast Offshore. We can advise you on all the relevant compliance that you need to consider as you run your business.
Fast Offshore
If you want to find out more about crypto gambling, Fast Offshore can help. We have been working in iGaming for the last 26 years and have extensive experience and knowledge of local regulations, preferences, processes, and more. Not only that, but we can also help you get set up in offshore jurisdictions that allow you to offer your services throughout the world. Our team can assist with company incorporation, licensing, structuring, payments, and ongoing compliance- all you have to do is ask. To find out more about online gambling and crypto over your business, contact Fast Offshore today.
Original article: https://www.yogonet.com/international/news/2023/02/13/66076-why-igaming-operators-should-be-accepting-crypto-payments
