Crypto payments in iGaming are booming—a perfect match. According to the UK Gambling Commission, online gambling accounts for over 40% of the market and is growing. With the high risk of gambling, digitally withdrawing and depositing funds is more difficult than ever. Crypto’s transparency, globality, and speed make it an obvious payment medium. Players and platforms are using crypto’s many benefits, a trend so strong it could be a revolution.
There’s a lot to cover, so today, let’s discuss the crypto market’s current state, the merchant- and player-side benefits of integrating a payment gateway for online gambling business, and the iGaming industry’s most popular coins and payments.
Deeper Crypto Analysis
As many readers know, last year’s crypto market capitalization attracted vultures. After Bitcoin’s record high, the market fell to $770 billion in November 2022.
The Terra Luna collapse and the FTX scandal tarnished stablecoins and centralized exchanges, respectively. Therefore, crypto’s flame is flickering.
Crypto users are growing every second, making it a lucrative market for businesses. Crypto users today are smart and solvent. They are paid in stablecoins like USDT and legitimately use the blockchain.
Chainanalysis’ 2022 Global Cryptocurrency Report shows that 2021 crypto bulls are still investing. Vietnam, the Philippines, Ukraine, and India—the top four countries on the 2022 Crypto Adoption Index—are also seeing rapid adoption.
Why Are Cryptocurrencies So Popular in iGaming?
With general adoption rising, what is driving the iGaming industry to lead? As mentioned in the introduction, a cryptocurrency high risk gateway is the best solution for iGaming industry issues.
1. Crypto payments globality
First, onboarding a crypto payment gateway lets merchants accept payments worldwide and give customers a smooth and fast checkout experience. I-gaming is globally unrestricted.
Players often bet on international games. Indian cricket fans and Australian SuperBowl bettors are examples. Opening your platform to the world increases cross-border potential. That’s why 77% of iGaming merchants who accept crypto see an increase in cross-border sales, according to Checkout.com’s state of the crypto report. Digital asset payments are 24/7 and available in most countries, creating new business opportunities.
2. Reduced processing fees
Crypto fees are lower than fiat gateway fees, so iGaming companies can save on processing costs and invest in other areas. Crypto fees can be as low as 0.8%, compared to 3.5% for fiat merchants. Cryptoprocessing.com offers discounts and affiliate programs to lower fees even further.
3. No refunds
Decentralized crypto has no chargebacks. Blockchain transactions are final by default. Controlling fraud in online payments in the I-gaming industry is especially important when chargebacks are low. Businesses can use capital because chargebacks reduce rolling reserves. It indirectly boosts company turnover.
iGaming’s Most Popular Cryptocurrencies
Crypto, like fiat, is more than Bitcoin. CoinGecko estimates over 12,000 coins. How do interested iGaming parties choose coins? We examined CryptoProcessing.com’s 2022 internal volumes and iGaming client transactions.
- CryptoProcessing.com processes 75% of deposits and 41% of withdrawals in BTC.
- iGaming also uses Ethereum, Litecoin, and Tether.
- BTC accounts for 47% of deposits and 32% of withdrawals.
- Tether, Ethereum, and Litecoin dominate altcoin volume.
Despite the rise of altcoins, Bitcoin still leads.
