There are now many options for making transactions online and for online casino players, they must weigh up the pros and cons for each method before deciding how they will deposit and withdraw cash from their account. Sites offering bingo slots like Jackpotjoy allow players to use secure third party payment services like PayPal, there is also a growing number of casino sites that accept Cryptocurrency transactions.
PayPal has been around for a number of years and has a reputation for being secure. Whereas, crypto is a relatively new fintech that offers player’s anonymity but is yet to become a main payment method online.
Both PayPal and cryptocurrencies have their benefits and limitations. We explore what exactly each of these methods are and which is better for online casinos:
What is PayPal?
PayPal is a service that allows users to make payments, send or receive money and accept payments without needing to enter their bank details each time. Founded in 1998, the idea was an instant hit and within three years the company was handling more than $3 billion dollars in payments from consumers and online corporations.
In 2002, PayPal was acquired by online marketplace eBay for $1.5 billion dollars. Over the years, the service has become the go-to choice for internet auction sites, online marketplaces and retailers.
To get started with using PayPal, the individual must sign up for an account on PayPal’s website, add their bank account or card details and then, when they are ready to make a transaction, they just need to check out with an email and password or phone number and pin code.
Plenty of online casinos accept PayPal. In fact you will likely have a hard time trying to find one that doesn’t.
What is cryptocurrency?
Cryptocurrency is a digital currency that is secured by cryptography and based on a network that is distributed across a large number of computers. Due to the fact they run in a decentralised structure, cryptocurrencies are independent from government and central authority control.
Cryptocurrency can be mined for or it can be purchased from a cryptocurrency exchange. The more well known cryptocurrency is Bitcoin, which operates on blockchain technology.
The blockchain is a set of information blocks on an internet based ledger. Each block holds a set of transactions that have been independently verified.
Cryptocurrency regulations vary widely between countries. For example, in El Salvador and the Central African Republic, crypto is considered legal tender, but in China, crypto exchanges and mining are banned within the country’s borders.
While the majority of online casinos are yet to embrace crypto as a transaction method, there are a rising number of sites beginning to accept it.
Pros and cons of PayPal
Security has to be one of the biggest advantages to using PayPal to make transactions on an online casino site. The platform is one of the world’s leading payment systems and it supports reliable encryption technology.
Using encryption, no third party will be able to read your personal details. This can help to protect you from cyber crime and fraud.
Another advantage of PayPal is the speed at which transactions can take place. Timings do differ between online casinos, so it’s important to read the site’s terms to know what to expect. However, with PayPal you can often see the winnings in your account within 24 hours of making a withdrawal request.
Another plus point is that PayPal is generally very easy to use, you just need to log into your account and follow the basic steps on screen. You may be asked to verify your identity with multi factor authentication as an extra security step.
While some payment providers will only accept either deposits or withdrawals, PayPall does both and negates the need for signing up with multiple providers.
However, something to consider with PayPal is that ID verification is required, so you will need a valid form of ID, such as a passport, and some form of proof of address. This can be problematic for those with passports and/or driving licences or those lacking a permanent address.
Not every casino accepts PayPal, so be sure to confirm this before signing up. You should also look out for any transaction fees.
Pros and cons of Crypto
One advantage of using a crypto casino is privacy, due to the decentralised nature of the currency. Furthermore, the use of blockchain adds an additional level of security and can help protect you from fraud.
Another pro point is that you can save money with crypto as there are usually no transaction fees.
However, you should take note of the fact there is no licence and no regulatory body to hold the room until payment. Crypto is also a volatile market, so consider your appetite towards risk.