Kendal Smith
Author
The digital payments space has completely changed in the course of the last 20 years. Some of us are old enough to remember when PayPal was considered revolutionary and exciting, while nowadays PayPal is considered to be something of an overpriced dinosaur in the industry.
The rising cost of living in the UK hits businesses by more late payments. Source: pexels.com
There are now dozens of different payment processors and methods for internet users to choose from, but not all of them are created equal. Many of the newest processors are less focused on user safety and security, and are instead more interested in growing quickly, at scale.
It is arguably more important than ever before to choose the right payment processor as there are now so many different hacks and scams that are continually being run around the world. Sometimes it feels as though a week does not go by without a new story about a massive hack or new computer virus.
Taking the time to learn about the different payment processors available and their traits and characteristics will help you to stay safe while shopping online. Keep reading to learn more about the most popular online payment methods around the world.
Finding the best way to pay
Everyone has their own payment preferences, which are determined by where you live, what kind of bank account you have, and how much you value factors such as speed, efficiency, security, and privacy. It can be difficult to know which processors to use and which work best for the particular platform you want to make payments on.
Fans of online gambling are always looking for the best and easiest payment methods when playing with their hard-earned cash. When looking for the best payment methods to suit your needs and preferences, there are several characteristics you should look for. Make a note of the processor’s associated fees, its processing times, and if there are any geographical limitations. On top of that, if a particular processor is fairly new and has not yet firmly established itself in the industry, look for reviews that other users have left so that you can get a sense of what the processor is like and what the downsides are.
Credit cards and debit cards
The most popular payment methods continue to be credit cards followed by debit cards. We all have at least one credit or debit card, and these are the easiest, most convenient ways to pay. In fact, paying by card has become even simpler thanks to the rise of online banks and banking apps that allow you to pay directly from your phone.
Digital-only banks are becoming increasingly popular and starting to push traditional banks into offering more innovative, tech-forward features. One thing that is limiting the international expansion of these banks, however, is that most of them have limited geographical reaches.
E-wallets
The second most popular way to pay is through e-wallets, which are one of the most efficient payment processing methods. E-wallets essentially function as digital wallets that securely store your financial information. E-wallets have added safety because you can make payments without having to input the details of your card with every transaction.
Some of the most popular e-wallets include Google Pay, Apple Pay, Venmo, M-Pesa, Alipay and PayPal. Some of these e-wallets add an extra level of security by using two-factor identification or through biometric tests.
Bank transfers and prepaid cards
Bank transfers and prepaid cards are some of the more traditional ways to pay, and they are waning in popularity. The reason why these payment methods are less popular than paying by card or e-wallet is essentially convenience. Bank transfers can involve lengthy processing times and prepaid cards are a hassle to manage.
While there will always be a place for bank transfers and prepaid cards, it is likely that this segment of the industry will not change greatly because there is no great need to make online payments using bank transfers.
The rise of crypto
Whether you are a fan of cryptocurrencies or not, the truth is that blockchain technology and cryptocurrencies are now an important aspect of the global economy. Although cryptocurrencies were first designed and launched to be used as a fiat currency, they have quickly morphed into investment instruments.
In fact, these days, cryptocurrencies are primarily used for investment more than anything else. Most businesses and companies still do not accept crypto, in part because of the volatility of the currencies.
One sector that has welcomed crypto with open arms, however, is the online gambling and sports betting industry. Many online casinos accept payments made through crypto wallets for the biggest currencies, including Bitcoin, Litecoin, Ethereum and Ripple. There are even specialist crypto casinos. These casinos tend to accept some of the more niche, smaller cryptocurrencies such as Doge, Tether and Binance Coin.
There are a few reasons why someone would prefer to use crypto for payments on online casinos. Firstly, it is a secure and private way to make payments – this is especially relevant when it comes to online gambling because an individual may not want other people to know about their gambling habits and also may live in a country where gambling is illegal.
In addition to the added privacy and security of using crypto, some people just love engaging with new technology and find the entire process exciting, fun and invigorating. Similarly, many people who are investing in crypto are gambling because the market is so volatile and unregulated. In a sense, people who gamble with crypto are gambling twice because the value of the crypto is also subject to unpredictable changes.
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