The rise of iGaming since the first iGaming website was launched back in 1994 has been staggering. By 2000, the iGaming industry had reached US$2bn in revenue and it has not looked back since then. You also must consider that this was all achieved in an era where technology was not as sharp as it is today, and brick and mortar establishments were still the default. Nowadays, the script has been flipped, and the online world is very much becoming the default for many gamers in particular.
For that reason, the need for cash is slowly becoming more redundant with many other alternative methods of payment being used to fund iGaming ventures. Prepaid cards are one of those alternatives, along with bank transfers and even cryptocurrency, and more online users are funding their ventures via this method. For iGaming, this also comes with many advantages, which could see the use of prepaid cards increase in popularity. It is forecasted that the global prepaid card industry will generate US$14.4 trillion by 2032, which provides evidence that prepaid cards could become more widely-used than its brother and sister cards, debit and credit. The ultimate benefit of having a card with a spending ceiling is the ability to control spending, for yourself or others. For internet gamers, this can be vital in preventing any risk of addiction or spending more than you can afford. Quite simply put, prepaid cards offer security.
In the iGaming industry, prepaid cards have existed as a payment method on online casino platforms for many years but have only recently caught on to a wider audience. This is primarily down to the convenience of prepaid cards. Overall, it is not a lot of work using a prepaid card, like Paysafecard for example. The process to set up an account and acquire one of these cards is straight forward. You simply register an account, buy a prepaid code (16-digits) with a desired payment method, and use the code in online web shops or high street outlets. For internet gamers, Paysafecard is a known and verified payment method and there are many Paysafecard casinos in the online realm.
Another reason why more people are using prepaid cards in iGaming is the anonymity it brings. To acquire a prepaid card, you usually have to register your details with the provider, but to use one, you simply input the information on the voucher. As we previously mentioned, Paysafecard users receive a 16-digit code they can use to make payments. For companies such as Visa, Mastercard or AMEX, the method for making payments differs slightly, but not too much compared to the standard use of these cards for transactions. Visa users need to enter the card number, expiry date and CVV (3-digit code on the back of the card) to activate the card. AMEX users have a slightly more complicated route, in that the AMEX gift card needs to be registered first using the 15-digit card number before making online purchases.
The internet gaming world is an ever-growing community with avenues such as eSports slowly bridging the gap to real life sporting action. The potential is huge, and the investment therefore in iGaming will only increase. For this reason, payment methods overall will be better explored and utilized. For prepaid cards, there is much potential here as well. There are a few things that online gamers should look out for and accepted payment methods are certainly one of them. Although prepaid cards are not accepted on every online gaming platform, more and more are becoming aware of their increased use. The amount of people playing games online reached an incredible 3.38 billion in 2023 and prepaid card users certainly make up a good chunk of that total. In a gaming world that is evolving ever faster, on a more global scale, along with heightened sensitivity over personal data, the convenience and anonymity provided by using prepaid cards will only grow in value. iGaming companies would do well to keep an eye on this space.
