The gaming industry generates about $100 billion annually, which is more than individual sectors of the global economy or even the GDP of some countries. Gamers are an audience that willingly pays for entertainment. This is the reason why so many FinTech companies are looking for ways to enter this market. Today, we invite you to study the key FinTech trends or innovations that take place in the world of iGaming. Let’s begin!
Three Main FinTech Trends that Influence iGaming
Our experts have noted three main areas in which FinTech innovations can be implemented in the best payout online casino: social scoring, biometric payments, and the use of blockchain technologies. Now, let’s consider all these novelties in detail:
1) Social scoring
In the process of assessing and segmentation of users, the concept of social scoring has been introduced. By providing such a tool to gambling companies, FinTech allows you to expand the user database for identification and work with the client. Thus, the tariff plan for a player from an Indian province who logged into the game via Windows will be different from an American using iOS. The purpose of user profiling and social scoring is to create a safer environment for online businesses, as well as to increase the revenue of gaming companies.
2) Alternative payment methods based on biometrics
The market is rapidly developing alongside interesting biometric solutions. Identification by a fingerprint is no longer a surprise, but recognizing the retina of the eye or identifying the player’s voice is a completely different level. The user has to blink to confirm that they are a living person, and not a static photo. This is also an element of the game that is of interest to users. Overall, the mobile payments sector is starting to offer an increasing number of substitutes for standard credit cards – a trend that will develop in the long term.
3) Blockchain technology in bets’ regulation
The introduction of Blockchain technology into gambling has had a significant impact on the industry. Blockchain provides an unprecedented opportunity for online casinos and betting platforms to regulate key transactions using smart contracts.
Random numbers and payouts can be controlled by smart contracts that are completely public and implemented on the Ethereum blockchain. Now players can see everything:
- reasons for moving transactions, and
- the mechanism of randomness.
If a casino or lottery tried to interfere with the probabilities, it would be immediately detected by the user. Using cryptocurrencies to operate in the gambling domain has become a popular practice for many payment systems. Blockchain technology is slowly penetrating different areas of our life, so it will change many things forever.
There are many payment systems, but not all of them are suitable for the gaming business. Not every aggregator is ready to adapt its product specifically for this niche. iGaming has increased risks and therefore requires the highest level of security.