The coming year could see cash lose its mantle as king within the betting and gaming sector, according to OKTO Group’s director of gaming Simon Dorsen.
Offering his insight to CasinoBeats, Dorsen emphasised that technological advances over the next 12 months are likely to see sports betting and gaming further reap the rewards of the latest payment technology, specifically when it comes to the evolution of digital wallets.
He stated: “I’m going to go big here and say that 2020 is the year that cash is no longer king. As it stands, the cost of carrying cash for gaming operators is increasing significantly, and many are having to ‘float’ a large portion of cash to regular players that keep regularly coming back within a short period. This needs to change.
“For operators, the cash ‘float’ isn’t sustainable, and for players, elongated withdrawal times in a digital age are proving to be a significant pain point. Today’s demographic wants the freedom to receive their money fast and in a safe, secure way that allows them to spend it how and when they choose.
“If operators want to stay ahead in 2020, they need to work with licensed, innovative companies that understand both gaming and fintech, and can deliver on the latest in payments technology. I predict that operators that adapt first and begin to embrace the cashless revolution now will be reaping the rewards come end of the year.”
Underlining the importance of the gaming industry’s flourishing relationship with Fintech, he continued: “As ever, regulation will be where the buck starts and stops, and the importance of paying attention to regulatory hurdles in 2020 should never be underestimated by operators.
“Europe in particular is a true patchwork of regulatory regimes. Separate licenses for online and retail that limit movement of funds between the channels are essential.
“This is none more so the case than when it comes to AML and KYC procedures. Gaming operators who are scrambling to solve these solutions themselves would do well to invite an expert to provide the answer for them. By bringing in an already certified solution, you’re good to go across multiple markets with a ready-made provider that already has the required regulatory approval.
“With the relevant licences, PSPs are well positioned to integrate onboarding and identity checks into the overall payments process, leveraging the best technology and security software available. Choosing the right partner can help operators optimise the identification process in a compliant and cost-effective manner that actually boosts customer engagement and helps establish a trusting relationship from the get-go.”