Everything you need to know about iGaming payments

The first letter in “iGaming” stands for the internet, which is notable. The iGaming companies were built on the web foundation and naturally rely on reliable and secure payment providers. Here at Genome, we work with such clients and know a lot about iGaming payments. Find out how they work in the article below. 

What are iGaming payments?

Deposits that people make when playing online games, cash withdrawals that customers get after winning at online casinos, or any other online gambling-related two-sided transactions are all considered iGaming payments. Any payment solution or alternative payment method would be considered an iGaming payment as long as it is made within this industry.

The are three generally accepted main categories:

Deposits. Clients make these online transactions via any payment option to deposit funds to their iGaming or online gambling accounts. These include one-time online payments and subscriptions or membership systems.

Withdrawals. It is a process of cashing out your iGaming payments to your account or digital wallet. In other words, these are payouts to users – mostly winnings, but refunds are also possible.

In-game purchases. These are offered by online gaming companies to customers, providing an exceptional gaming experience. Notably, these payments are more relevant for video games.

All these can be made thanks to iGaming payment solutions offered by specific financial institutions and payment service providers.

The role of payments in iGaming

To better understand the crucial role of fast and efficient transactions, imagine that your payment provider is like an internet provider – the connection drops are unacceptable on a technical level. This could hurt any iGaming platform, not to mention terrible user experience.

The deposit and withdrawal process must proceed seamlessly but securely to protect financial data. Data breaches are also a real threat, as terabytes of data can be stolen from casinos as a result of a hacker attack. 

Key features of iGaming payment providers

Our team spent a lot of time communicating with our clients, as well as other iGaming industry experts, and one thing is clear. 

An online casino needs the right payment platform with a trusted payment gateway that can work with both merchant accounts and a business bank account, preferably providing mobile payments with a variety of payment solutions. 

The criteria for choosing the best solution is pretty lengthy, but let’s go through it step by step.

Speed and efficiency

Fast transactions matter greatly within the iGaming industry, and the deposit and withdrawal processes rely on them. Instant deposits are good for business and very beneficial for the clients’ experience. This is why a payment provider should have a real-time payment processing system. 

Notably, a payment provider must possess good hardware and an integrated payment gateway to handle multiple simultaneous transactions.

Security measures

iGaming platforms have to deal with very sensitive financial data. Payment providers must comply with global and local regulations – anti-money laundering (AML), know your customer (KYC) protocols, not to mention fraud detection systems and encrypted payment channels. As in the case of Genome, security and personal/payment data protection are among our top priorities.  

Flexible payment options

The iGaming industry is global by nature, as different geographical regions demand that a company accept payments in a variety of currencies; any sort of payment, even alternative payment methods like cryptocurrencies, may be required within your merchant account. 

Digital wallets, bank transfers, prepaid cards, popular cryptocurrencies, and even prepaid vouchers are among the most popular payment methods.  

Online gambling platforms benefit a lot from implementing these iGaming payment methods, and it’s a good sign of customer support that leads to higher customer satisfaction.

Cross-platform compatibility

iGaming operators may order the best value features on the market but forget about the implementation on a technical level. Payment providers should not only be secure but also compatible with online gambling company’s hardware and software. And, of course, it must have technical engineers to handle the installation.

Another thing is the implementation of uninterrupted payment processing for the entirety of the platform. It is harder to achieve and requires advanced payment gateway services. Before partnering with a financial provider, consult with its customer support team about this issue. 

Fast withdrawals

The player’s enthusiasm is based on how enjoyable the process is and the opportunity to win. Online casinos or any iGaming operators must provide quick access to player’s jackpots. 

Suppose an online casino makes it so that the player can easily receive their money from winning. In that case, it will gradually increase customer loyalty and boost the company’s reputation on the market. 

Choosing the right payment method for iGaming

Selecting the right payment option may be challenging, but the choice will highly impact online gambling companies. In general, you will find yourself asking: “What payment methods would my potential clients use?” – answering it is half of the deal.

In other cases, iGaming platforms may consider payment methods following these criteria:

Factors to consider

Speed of transactions. We are talking about digital wallets, bank transactions, card payments, etc. Customers love instant transactions, and any iGaming business should strive to provide those by using a payment gateway that can handle such a task.

Even additional fees are not an issue if clients are happy and generate more income.

To find the right payment provider, iGaming operators should seek out financial institutions that can offer a real-time payment solution plus multi-currency payment methods.

Also, open banking API providers usually have better tools to provide the swiftest deposit and withdrawal process.

Transaction costs. Even local payment methods will require an additional fee for their services; the question is how it will influence your clients’ spending habits.

Check the payment provider’s pricing, compare it to other options on the market, and ensure that the pricing is transparent. If possible, negotiate lower fees for some of the services. 

Balancing fees with good service is key to managing operational costs.

Security and compliance. Online gambling, like any iGaming business, belongs to the high-risk category for a reason. Many banks don’t want to work with iGaming platforms because the industry deals with a huge number of transactions and is prone to chargebacks. Additionally, it is often a prime target for cyber threats – stealing card details, unauthorized access to bank accounts, pay-ins fraud, and more.

Online casinos, as a place that processes large sums of money, naturally attract attention from criminals.

Adhering to stringent regulatory requirements and integrating a reliable encryption system would better protect your iGaming business. It would be much harder for third parties to interrupt casino credit card processing.

Genome’s services for iGaming

Genome is an electronic money institution that offers tailor services for many types of businesses, including the iGaming industry. Once you start a business wallet on our platform, you automatically get a dedicated EUR IBAN account for all your needs. 

You can also access accounts for storing multiple currencies in a matter of seconds, including USD, GBP, PLN, CHF, JPY, CAD, CZK, HUF, SEK, and AUD. 

Moreover, Genome’s batch transfer feature streamlines high-volume C2B2C transactions, enabling businesses to handle deposits, withdrawals, and payouts simultaneously. It is ideal for industries like iGaming, as it ensures efficient management of critical financial transactions. If you have any questions, our customer support team is always ready to assist you!

Last but not least, we also provide SEPA Instant and Credit Transfers, enabling safe and quick payments. 

Need to make corporate payments? No problem! Issue as many virtual Visa cards as you need for online and subscription-based purchases, or order a physical card. All our cards are compatible with Google Pay, Apple Pay, and Garmin Pay. 

Best practices for iGaming operators

Optimizing the payment process in the iGaming industry helps to boost user trust and overall provides customer satisfaction.

So, what are the best practices the iGaming operators should be implementing?

• Customers’ pay-ins must be uninterrupted and fast, as well as the withdrawal processes. In addition, your customer support will not be overloaded.
• Multiple payment methods will attract more clients: digital wallets, bank transfers, cryptocurrencies, etc. The iGaming operators, however, should be transparent about transaction fees.
• Transparent fees: open pricing is not only good for business but will surely be appreciated by customers.
• Cross-platform solutions: smartphones, tablets, laptops – there are many options people can use for iGaming. The best you can do is get the right payment provider that can handle all of them.

Additionally, you should not underestimate the importance of regulatory compliance. Some international financial regulations, such as GDPR, PSD2, AML policies, etc., were built to protect businesses and their customers from fraud and any legal risks.

Also, there are local regulations that serve the same purpose. It generally depends on which country the iGaming payment solutions are provided in.

Either way, before partnering with a financial provider, you need to check if it adheres to all the regulations in the regions in which you operate. 

Conclusion

In conclusion, selecting top iGaming payment solutions requires balancing secure transactions, competitive transaction fees, and seamless user experiences. Prioritize platforms tailored for iGaming payments, offering robust fraud protection, regulatory compliance, and diverse international and local payment methods to meet both business needs and customer expectations effectively.

Additionally, you need to look for a platform that caters to your specific needs as a business. For instance, Genome offers tailor-made financial services for iGaming companies, including batch transfers, mass payouts, dedicated IBANs, SEPA Instant Transfers, and more!

FAQs

What are the most secure payment options for gaming platforms?

The security of a payment depends on encryption and fraud prevention tools offered by the payment provider to prevent unauthorized access to your payment information and funds. Credit/debit cards, e-wallets, and bank transfers usually all function safely with multi-layered security measures and can be used for your gambling business.   

How does fast payment processing improve gaming?

Fast payment processing minimizes delays in pay-ins and withdrawals, allowing players to enjoy uninterrupted gameplay and quick access to the jackpot. This enhances user satisfaction and fosters trust in the platform.

Why is regulatory compliance important for iGaming payments?

Online gambling functions under government- and regulatory-issued licenses and must abide by them to keep data and money safe. 

Also, regulations exist for a reason – they, in fact, help to protect iGaming platforms from penalties and reputational damage by protecting customers’ rights.

What should a payment solution offer for iGaming?

An ideal iGaming payment provider should provide speed, security, diverse payment methods, cross-platform compatibility, and cost-effective transaction processing. It should also ensure compliance with global and local financial regulations.

What factors should operators consider in payment methods?

iGaming operators should look at speed, cost, security, flexibility, and compatibility. However, the priority should also be based on the preferences of their target audience. The best payment method is the one that customers will use, or, overall, a universal, global payments method. 

How can gaming platforms ensure payment security?

Platforms can enhance payment security by partnering with providers that use encryption, two-factor authentication, fraud detection, and regular audits. Additionally, adhering to international regulations ensures a secure financial ecosystem.