PayPal to supersede Bitcoin from Online Gambling in the US?
After a 12-year hiatus, PayPal is again targeting the US virtual casinos with their payment solutions for players. Will this return be marked with success?
The global e-payment operator PayPal is said to have made a comeback to the US virtual gambling market to enable Internet casino players to perform currency deposits and payouts on the gambling portals. Many think PayPal’s decision to do so may be a response to the overwhelmingly strengthened presence of Bitcoin gambling in the industry.
Some 12 years ago the company officially discontinued its payment services on the American casino gaming websites at the backdrop of their incorporation with the commerce giant eBay. Late in 2014, PayPal separated from eBay to concentrate again on providing their services in a more diversified manner, and may now be targeting the Internet gambling market as a highly prospective business area.
The holy place is never empty, and after PayPal deliberately removed itself from virtual casino gaming (they still enabled players to send and receive players to/from a range of EU portals, however), BTC came willingly into its place, which led to Bitcoin online gambling gradually yet steadily becoming a separate branch of the industry, with many Bitcoin casino operators having made fortunes on their services by now.
Today, online gambling is lawful in just three states in the US, and as explained by PayPal themselves, currently the company is in the process of testing their services with 4 biggest operators in the country’s Internet casino gaming market, with the renowned Caesars Entertainment being one of them. There have probably been really good reasons for PayPal to come back to the US online casino industry, as the latter is estimated by Morgan Stanley to roll over up to the impressive $5.2 billion over the next couple of years. Bitcoin transactions in the market are essentially unregulated at all, and that is why deposits and payouts in the cryptocurrency have become so astoundingly popular.
Earlier, PayPal had to deal with state regulatory bodies which finally forced the payment provider to draw away from the gambling business, meaning the company may need to obtain certain obligatory licenses to operate in the US market. At any rate, Bitcoin gambling still stays a more preferable option for gamblers wishing to retain their financial anonymity.