Best Payment Gateways for Online Gambling Business​

The iGaming industry is evolving, and seamless payments are the new standard.

1. What are the top payment processors for online casino?
2. How can operators choose the best payment solutions for their platform?
3. Which innovative payment methods are shaping the future of iGaming?

In this guide, we’ll explore the best payment gateways for online casinos and show you how to choose the perfect solution for your platform.

In 2023, the iGaming industry recorded 4,792 casinos and online gambling platforms, and a projected 10% annual growth until 2032. This explosive growth means operators must deliver a faster and more user-centered experience.

Top-tier online casinos are already changing the game with super-fast payment options like instant bank transfers and cryptocurrency. Players no longer have to wait days for their winnings. And honestly, that’s what users expect from every operator.

Having worked closely with payment processors in the iGaming industry, we’ve seen firsthand just how the right payment gateway can impact an operator’s success.

In this article, we’ll explain what payment gateways exist, what challenges facing online gambling businesses, and how to choose the right payment method. Plus, we will explain what payment methods of the future will look like, and how operators can stay ahead in such a rapidly changing world.

The Importance of Payment Systems in iGaming

In 2024, the online gambling market size reached $93.26 billion, and it’s expected to soar even higher, reaching 153.21 billion by 2029. That’s annual growth at 10.44% over the next five years. According to Statista, the number of users is expected to climb 291.4 million by 2029.

For operators, this growing market means stepping up their game to deliver a seamless and secure user experience to avoid being ‘swiped left’ by users.

Localized and diverse payment options are not just nice to have, they are a must-have. Whether it’s PayID / PayTo in Australia or Netbanking / UPI / Paytm in India, players are more likely to deposit when they see payment methods they trust, as it fosters confidence in the platform.

On the other hand, if their favorite method isn’t available, they might just walk away, no matter how perfect everything else is.

That’s where payment service providers (PSPs) step in. They handle money transfers between players and operators. Sounds simple, right? Not always.

Finding a reliable PSP can be tricky. Some providers inflate their numbers, mess with pricing, or even put your funds at risk.

And what about startup operators?

They have it even harder, often struggling due to small turnovers. But with the right guidance and a bit of insider knowledge, it’s possible to find a provider that fits your needs.

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So, what’s the takeaway here?

You should find PSPs that offer fast, secure transactions and protect your customers’ sensitive data. Thus you will build a reputation for keeping player data safe, and even the most skeptical players - those who worry about strict identity checks - will stick with you.

Top Payment Gateways and Methods in iGaming

Here’s an in-depth exploration of the leading iGaming payment solutions and why they matter:

PayTo / PayID

PayTo and PayID are two payment services from Australia that make transferring money faster, simpler, and more secure. Let’s take a closer look at each service.

PayTo is designed to replace the traditional direct debit methods. It allows real-time payment agreement, making it perfect for handling recurring transactions, deposits, and payouts on iGaming platforms. Approval is required once, making it easy to handle both one-off and recurring payments without checkout.

PayID has already been adopted by 12.7 million Australians, and it’s easy to see why. With PayID, there’s no need to share bank account details when sending money. All you need is your phone number or email address, making it simple and secure.

Skrill

Skrill is a digital wallet that makes transactions quick and affordable, whether you’re using a bank account, credit card, or funds already in your Skrill account. Users don’t need to share their financial details during transactions, which gives players extra peace of mind.

Skrill supports instant deposits and withdrawals which players love because nobody wants to wait around for their money.

While Skrill isn’t as big as PayPal in the USA, it’s a British company and is perfectly positioned to ‘make waves’ in the UK market.

Description: Statista highlights Skrill's brand awareness, usage, and loyalty metrics among U.S. digital payment users in 2022.

Neteller

Neteller is a handy digital wallet that makes it easy for users to deposit, withdraw, and transfer funds. It’s especially popular in the online gambling world because of its high transaction limits and swift processing.

Now, let’s talk about its popularity. In Germany, only about 2% of digital payment users say they like Neteller. Not great, right? But here’s the twist: among the 15% of people who actually know the brand, 7% are fans.

So, it’s clear that awareness plays a huge role. If more people knew about Neteller, those numbers could look very different.

Description: NETELLER brand awareness, usage, popularity, loyalty, and buzz among digital payment users in the UK in 2022.

AsiaPay

AsiaPay offers an extensive range of payment options, over 100, to be exact. These include credit and debit cards, eBanking, digital wallets, and even cryptocurrency, so businesses have plenty of ways to cater to their customers.

The platform operates across 15+ countries, including Hong Kong, Australia, China, Malaysia, the Philippines, Singapore, Taiwan, and Thailand, making it a strong choice for businesses in the Asia-Pacific region.

What’s great about AsiaPay is that it works for everyone, from small startups to big multinational corporations.

Paytm

This is a B2C and B2B payment solution from India with over 330 million users. Paytm allows users and merchants to make online payments. Users can add money to their individual accounts using multiple payment options, from bank transfers to net banking.

To sum up, players from different regions have their own favorite ways to pay. For example, in India, Paytm is a popular choice, while in Europe, players tend to prefer Skrill or Neteller. Offering the right payment options ensures you keep players happy, engaged, and coming back.

Now, let’s compare top payment gateways for the four most important criteria: transaction fees, speed, and special features.

Table 2. Leading Payment Gateways Comparison

Description: Comparison of top payment gateways

New Payment Methods in iGaming

Buy Now Pay Later (BNPL) services are revolutionizing payment flexibility, and their presence in the iGaming industry is no exception. With BNPL, players can make deposits or purchase in-game credits without needing to pay upfront, spreading payments over time with interest-free or low-interest plans. This option is particularly appealing to players who prefer to manage their finances more fluidly while enjoying their gaming experiences.

Cryptocurrencies and Blockchain in iGaming

The global crypto gaming market has experienced exponential growth in recent years. According to official stats, its value was estimated at $50 million in 2019. By 2024, its value is projected to soar to $250 million, representing a compound annual growth rate of nearly 38% over five years. But unofficially, the market can be tens or hundreds of times larger. This just goes to show how much untapped potential lies in this fast-growing industry.

Globally, over 560 million people are expected to own cryptocurrency by 2024. The appeal is clear: fast transactions, robust security measures, and low fees make cryptocurrencies an attractive option for individuals and businesses alike. Additionally, digital currency payments stand out for their ability to protect users’ personal information and process transactions almost instantaneously.

Cryptocurrency gateways play a key role in simplifying these transactions. The process is straightforward: choose a currency, lock in the amount, and send it to the wallet address. That is enough to complete the transaction.

What makes cryptocurrency payments both fast and secure?

The speed of transactions is based on the decentralized nature of the blockchain network. These transactions are not constrained by geographic or banking hours. They operate 24/7, enabling almost instant transfers.

As for security, when you own cryptocurrency, you have a private key that only you know. This private key allows you to access and spend your cryptocurrency. Without your private key, no one else can access your money.

Once a transaction is added, it’s locked in and verified by a lot of computers around the world. If someone tries to mess with it, the transaction won’t be accepted.

Moreover, it’s decentralized. Instead of one bank keeping your money safe, cryptocurrency uses a network of computers all over the world. This decentralization ensures there is no single point of vulnerability for hackers to attack.

What does it mean for operators?

For operators, accepting cryptocurrencies minimizes risks associated with costly problems such as chargebacks, when players dispute transactions and reverse payments.

Unlike traditional payment methods, cryptocurrencies eliminate banks or other intermediaries, resulting in lower fees for deposits and withdrawals, so operators can save money on payment processing.

iGaming operators can accept payments in cryptocurrency from players anywhere in the world, including regions where traditional banking systems or local regulations might block gambling-related transactions. This opens new markets and expands the player base.

Adopting cryptocurrencies enables operators to offer players faster, cheaper, and more secure payment methods while reducing operational risks and costs. But anonymity that cryptocurrencies provide, must comply with anti-money laundering (AML) and know-your-customer (KYC) regulations, which are non-negotiable in some jurisdictions.

We can introduce you to a trusted cryptocurrency payment provider that already partners with major operators in the iGaming industry. This provider offers an incredibly competitive fee structure of just 0.4% for both deposits and withdrawals, which is significantly below the market average. All you need to do is reach out.

Challenges and Risks of Payment Systems in iGaming

The key challenges include:

• High Fees: Processing payments, especially across borders, can be expensive and cut into profits.
• Chargebacks: Using traditional payment methods, users can dispute payments. For operators, these disputes cost money and lead to penalties from payment processors.
• Integration Complexities: Businesses need to offer a variety of payment options like bank transfers, e-wallets, and cryptocurrencies, to remain competitive in the industry. But making all of these work together can be technically challenging and time-consuming.
• Regulatory Risks: Payment rules vary by region and change frequently, making compliance tricky. For example, India has strict monitoring of gambling-related payments, and services like  PayID and PayTo are no longer accessible in Australia.
• Reputation Risks: Using unreliable or unregulated payment systems can hurt a business. If your payment system is associated with fraud or similar issues, it can damage your reputation and push customers to competitors.

Finding trustworthy payment systems is a significant challenge due to the risks outlined above.

Many potential partners lack transparency regarding successful transaction rates, with some providers inflating their statistics. Certain partners either avoid formal contracts entirely or include clauses permitting unexpected price adjustments.

In the worst case, partnering with an unreliable payment service provider will mean saying goodbye to the operator’s funds.

How to manage these risks?

Solutions like PaymentIQ, Praxis, Devcode, and other payment orchestration platforms already include multiple payment providers, making integration faster and easier. Furthermore, integrating new payment methods typically requires only 1-2 days. A signed contract is often the only requirement to begin collaboration swiftly.

Another way to avoid these risks is to use a ‘cashier’ system that acts as the financial gateway between the players and the operator, managing transactions securely and efficiently.

Choosing the Right Payment System for iGaming

Choosing the right payment methods is crucial for the success of your iGaming business. Below are key tips to guide you in making informed decisions.

Probably the most important part of this post, so read carefully:

Understand Your Users' Needs: The first step is to recognize your players and their preferences. While some users prefer traditional payment methods, others may lean towards cryptocurrencies.

Prioritize Global Accessibility: To cater to a diverse player base, choose payment methods that are accepted globally.

Diversify Your Payment Providers: Working with multiple payment providers reduces dependency on just one.

Verify Licenses and Documentations: Partner only with licensed providers. Verify their company structure, ownership and client history by reviewing the official documents rather than relying on verbal assurances.

Check Success Rates: Request detailed statistics on daily transactions over the past 6 months to make sure their words align with real data.

Partner with Trusted Providers: Collaborate with providers recommended by credible industry experts or peers. Another great way to find reliable payment providers is by reviewing the sponsors and exhibitors at gambling industry events.

However, the top-tier payment providers are often difficult to access. Securing their services typically requires strong industry connections or trusted referrals.

Seek Expert Guidance: Navigating the complex landscape of payment solutions can be tricky. Experienced professionals, like us, can help you identify reliable providers and secure partnerships related to your needs.

The Future of Payment Systems in iGaming

What awaits us in the future? We predict four key trends:

Cryptocurrency

Cryptocurrency is now a key payment method in iGaming, with 6/10 of professionals predicting it will drive growth in new markets. As ownership of Bitcoin, Ethereum, and stablecoins continues to grow, iGaming operators must offer these payment options to stay competitive.

Open Banking

Open Banking connects iGaming platforms directly to users’ bank accounts. Benefits of Open Banking include streamlined deposits, enhanced security through Strong Customer Authentication (SCA). It also enables personalized solutions, such as setting limits for responsible gaming.

Regulated under PSD2 in Europe, Open Banking provides stronger customer authentication, seamless and real-time transactions.

Localized Payment Systems

Countries are developing unique payment systems designed to local needs. Systems such as PIX in Brazil, Interac in Canada, Sofort in Germany, and Netbanking in India simplify operations for iGaming platforms by addressing region-specific legislation, user habits, and infrastructure.

Fiat-Crypto Solutions

Solutions combining fiat money and cryptocurrency are gradually replacing traditional bank cards like Visa and Mastercard. For example, on-ramp services that allow users to convert fiat directly into cryptocurrency for seamless casino deposits.

Ready to take your iGaming platform to the next level?

Book a free consultation with us today to explore how these trends can drive your success.