It has been reported that PayPal, one of the world’s largest online payment processors, could soon be entering the US online gambling market.
Although the company has to date not made any public statement regarding these plans, it is understood that PayPal will commence processing payments for regulated online poker and casino sites in Nevada, Delaware and New Jersey within the next few months.
US players will be thrilled with this move as they are familiar with PayPal and regard the brand as a trusted online payment method.
Players in the US have thus far had hassles when attempting to pay with brands such as Visa or Mastercard and will, therefore, welcome the fact that they will be guaranteed a payment method such as PayPal that can be used by them without giving any problems.
Individual states such as New Jersey and Nevada have managed to move forward with regulated online gambling industries but the same cannot be said for banks and financial institutions that have not yet caught up. On average, there is a decline rate of 25% when at attempt is made by players to pay with their credit card and it is hoped that this problem will be solved if PayPal enters the market.
Although alternative methods such as Neteller and Skrill are available in the regulated US market, these brands are not well known among US players. PayPal’s entry into the market will be extremely welcomed by players as it is a brand that they know and trust.
PayPal currently services 150 million people across the globe and is known for its solid platform and tight security. The group also handles credit card processing and has an e-check system.
The recent announcement that Neteller, the leading Internet payments solutions provider, has re-entered the US online gambling market is yet another indicator that online gambling legislation is currently heading in the right direction in the United States.
The company that owns Neteller, Optimal Payments plc has partnered with Bally Technologies, one of the leading providers of casino equipment, casino management services and networked and server based systems, in terms of which it will provide payments and all related services to Bally as well as to its online gaming customers.
Bally is hoping to integrate Optimal Payments’ Netbanx payment platform into its product for the regulated US gambling market’s operators, thus enabling Bally’s customers to have the use of the entire range of Neteller services and products.
Vice President of Business Development at Bally, John Connelly, said that they are very excited to partner with Optimal Payments in order to bring an integrated gaming and payments solution to their online gaming customers in the US. Connelly added that Bally had been looking out for strategic partnerships with the best of service providers and the partnership with Optimal Payments was a good example of this. Connelly also said that besides Neteller’s vast expertise in payment processing Bally would also benefit from Optimal Payments risk management services.
President and Chief Executive Officer of Optimal Payments, Joel Leonoff, said that they are thrilled to be working with Bally and its customers and that the partnership is part of Optimal Payments’ continual aim to bridge the land-based with online worlds. Leonoff added that he predicts that seven other states will be offering online gambling in 2014.
