In the world we currently live in, we are afforded a wealth of options for how we go about paying for things. The days of cash are dwindling fast and the concept of fiat money that we are so accustomed to is being challenged by new digital currency that is gaining greater recognition by the year. And plastic debit and credit cards are even being revamped and reformatted into contactless form to reflect the digital age we live in.
As the digital movement builds more momentum, the landscape of finance and payment methods in the United Kingdom is slowly changing, which is being reflected in one of the newly established forms of online entertainment in recent years. Online casinos have been around for decades already but have only recently made a splash due to major enhancements in game play and experience.
With deposits and withdrawals forming a key part of online casino play, online operators need to keep up with the latest payment methods to ensure they can reach the full target audience. With more payment options at our disposal than ever before, how could our payment habits evolve in the coming years?
The Digital Footprint
It does not seem that long ago that debit and credit cards were rendering the need to use cash redundant. Credit cards were introduced in the UK before debit cards in 1966, with the first debit card arriving in 1987. And for a couple of decades, people got extremely comfortable with using the cutting-edge chip and pin technology to make everyday payments.
However, with the progression of technology and software, card payments themselves evolved, first to offer online banking services and payment avenues through e-wallets such as PayPal that allowed money to be transferred electronically, and later into contactless payments with the help of Near Field Communication (NFC) to transfer encrypted information.
These enhancements gave debit and credit cards wider usage and online transfers specifically were an ideal way to make transfers to credit card casinos. Heightened security and encryption measures coupled with fast transfer times were appealing to online casino enthusiasts looking to explore the new phenomenon in the late 1990’s.
However, the UK Gambling Commission (UKGC) voted that the use of credit cards on online casino platforms posed too high a risk due to the ability to rack up unpayable debts. Therefore, the decision was taken on 14th April 2020 to ban the use of credit cards on online casinos licensed by the UKGC.
The Emergence of Digital Currency
While people are still familiar with debit and credit cards, more so nowadays in the contactless form, the landscape of currency is being rapidly altered by the presence of cryptocurrencies. Digital currencies such as the original Bitcoin, Ethereum, Dogecoin, and Binance are finally gaining greater recognition due to the transition into the digital era and more exposure and operation within the online realm.
Cryptocurrencies are also finding more everyday use, including on online casino platforms with the term “crypto casinos” slowly emerging in the industry. Crypto users have been won over by the almost instant transfer times and enhanced security measures powered by blockchain technology. Transaction fees are much lower, and users retain greater privacy when transferring with cryptocurrency, which in the age of heightened data privacy, is becoming more valuable.
A Digital Future
One obstacle for cryptocurrencies is the lack of universal recognition, with markets including the UK still assessing the risk factors involved with anonymous and untraceable transfers. But with the trajectory it is currently on, it only seems a matter of time before cryptocurrencies become accepted and used across the world.
Due to the digital nature of online casinos, they prove a good study case for online payment methods. As one of the most popular forms of online entertainment across the globe, online casinos also provide a good indication of where online payment is heading. While all methods introduced in the past couple of decades are available somewhere in the world, future online casino players might wonder what a debit or credit card is should cryptocurrency take over the world.
