Many factors continue to drive growth in the global iGaming marketplace, which reached a peak of $63.53 billion at the end of last year. Furthermore, these factors will continue to drive exponential expansion through 2030 as the market grows at a CAGR of 11.7% over the course of the next seven years. Of course, the continued growth of the North American market will be key here, while slots also play an increasingly influential role in facilitating an increased GGY.
Another factor is the diversity and availability of iGaming banking methods, which have continued to evolve and make real money wagering more accessible. In this article, we’ll explore this further while asking which payment methods will have the biggest impact going forward.
The Evolution of iGaming Banking Methods
Historically, players would fund their online iGaming accounts using their bank accounts, either through direct bank transfers (which could take between five and seven working days to complete) in some instances or Visa debit card deposits.
Of course, many regulated markets also allow for credit cards, such as Mastercard, which provide an even more convenient and quicker way of crediting your account.
However, this practice has been outlawed in the UK market since April 2019, after a consultation raised concerns about wagering with borrowed funds and suggested that up to 20% of UK casino deposits were made using credit cards.
Through the digital age, we’ve also seen the advent of e-wallets, which have largely revolutionized how gamblers credit their casino accounts. These include Neteller and Skrill, renowned for underpinning rapid withdrawal times (often within 24 hours, depending on internal casino processing times) and their innate accessibility.
These platforms are also inherently secure and enable you to maintain a separate bankroll from your bank account, making it much easier to manage your funds responsibly and effectively over time.
Addressing Issues of Fees and Bonus Accessibility
While e-wallets helped broaden the payment ecosystem and appealed to a broader range of gamblers, they’ve always encountered significant issues regarding fees. For example, PayPal, Skrill, and Neteller charge fixed or percentage-based fees to both users and casino brands, often based on each individual transaction.
Because of this, customers depositing through Skrill or Neteller are often prohibited from participating in welcome bonuses, while many real money online casinos have yet to embrace PayPal as a preferred payment method due to the potential impact on revenues and profitability.
The good news is that this gap in accessibility has been bridged in several ways. Firstly, we’ve seen the evolution of e-wallets such as EcoPayz, which minimize fees and combine the convenience of electronic wallets with affordable and accessible gambling.
The focus on reducing fees and costs across the board has also seen increasingly innovative payment methods enter the fray. Take the Paysafecard, for example, which provides a prepaid deposit option (up to $40 per transaction) and is secure and incredibly easy to use. It’s also free from significant fees or charges, while the fact that single vouchers cannot be reused helps with concepts such as responsible gambling and disciplined bankroll management.
Then there are the pay-by-mobile phone and cryptocurrency payment methods, which have evolved casino banking options to an entirely new level and represent the future of online gambling worldwide (but we’ll explore them in a little more detail below).
The Key Payment Methods in the Future Market
Before we conclude, let’s summarize the payment methods that are most in demand and likely to drive future growth in accessibility across a broad demographic of players. These include:
- Cryptocurrency: While few Bitcoin (BTC) tokens are left to be mined, third-generation blockchains are creating a wider range of crypto payment options in the casino realm. Ultimately, it’s fair to say that crypto-gambling will likely be a preferred form of online entertainment in the coming years. This comes with a caveat, however. Currently, the legislation surrounding cryptocurrencies and gambling is lagging behind the technology that makes it possible. As such, crypto casinos remain unregulated in the US, so we’d urge you to visit a comparison website. Here you can find the most popular options for playing at online casinos in the USA for real money, the safest option from a regulatory standpoint.
- Pay By Mobile Phone: This convenient payment method is ideal for casual gamblers, which can incrementally top up their casino accounts using their monthly contract bill or remaining pay-as-you-go (PAYG) balance. This method is limited to deposits of just $30 a day and $240 a month, which helps to promote careful bankroll management while being more than adequate for casual and infrequent players (who account for the vast majority of gamblers stateside).
- PayPal: Despite PayPal’s issues with fees (from the perspective of both players and operators), its popularity among users on a global scale means that a growing number of online casinos are now incorporating the platform into their tech stacks. This option transcends iGaming and can reach a broader range of potential players. At the same time, it offers the added advantage of allowing you to manage multiple funding sources (including debit and credit cards) through a single, secure interface.