In a short period of time, the iGaming industry has exploded in all corners of the world. That includes the African continent, which has seen dramatic growth in both sports betting and online casinos in just the last couple of years, fueled in part by easy access to platforms on mobile devices. As one of the most developed countries on the continent, South Africa is naturally an industry leader in the iGaming space for a variety of reasons.
One reason that can’t be overlooked is the development and implementation of modern payment methods. New payment methods add a layer of convenience for iGaming customers by expediting both the deposit and withdrawal of funds. It also exemplifies the type of modern technology that has allowed iGaming to grow in Africa so quickly. That makes it worthwhile to take a closer look at some of the payment innovations that can be found in South Africa’s iGaming industry.
A2A
Making account-to-account (A2A) transactions has been revelatory to South Africa’s economy, and it’s been particularly prevalent with iGaming platforms. Most e-commerce platforms in South Africa are seeing A2A transactions make up a significant amount, with online casinos in South Africa following suit. Online casinos require speed and security with the countless transactions they process, making A2A a good fit that is helping them to grow.
With A2A payments, there is no third party, like a credit card company, getting involved. This means one less roadblock with regard to offering a smooth transaction. It also means one less entity that’s trying to make a profit or add a service charge. Of course, all customers want these perks, but it’s particularly important on iGaming platforms because these platforms need to be able to replicate the quick turnaround of a brick-and-mortar casino. With A2A transactions, online casino and sportsbook customers can make fast and safe transactions, the same as they would if they were exchanging money with friends, adding to the accessibility of gaming platforms.
Cryptocurrency
In Western countries, cryptocurrency has already become mainstream, but it’s still very much an emerging enterprise in South Africa and everywhere else on the continent. It’s also impossible to talk about the iGaming industry without talking about cryptocurrencies. The two have risen to prominence at the same time, making them inherently linked in more ways than one.
Crypto transactions are both fast and offer a high level of security. This is exactly what online casinos and sportsbooks need to provide for customers. There is no personal information shared when trading crypto or using crypto to make bets on iGaming platforms. This is a key distinction between other types of payments that can sometimes be circumvented by hackers and other nefarious characters. When you factor in lower fees, it’s also an ideal way to fund an iGaming account. The fact that South Africa is slowly coming around on crypto means there is another strong factor that’s helping the iGaming industry grow.
Prepaid Vouchers
Similar to A2A and crypto, prepaid vouchers allow people to deposit funds with online gaming sites without linking to their bank accounts. For those who don’t have a traditional bank account or don’t trust bank security, this creates easy access to iGaming platforms. Thus, online casinos and sportsbooks are able to attract a different set of customers to further their growth.
Both e-vouchers and Paysafecard have become popular methods for online casino users. Either can be purchased online or even at retail locations, meaning no bank details are needed. With just a little bit of cash, it’s possible to buy a voucher that quickly turns into funds at an online casino or sportsbook. In a country like South Africa, where it’s not a given that everyone has a bank account, these vouchers have helped expand the potential audience of iGaming platforms, enabling further growth and accessibility.
In the Future
New payment platforms have already altered countless industries, including iGaming, and that isn’t likely to slow down in the future. Cryptocurrency is still emerging in Africa, while A2A has only scratched the surface of what’s possible for financial transactions that don’t involve traditional banks. With AI technology coming on strong as well, there are bound to be new platforms and digital wallets that feature the speed, safety, and convenience that fit the iGaming industry perfectly and will allow it to keep thriving in South Africa in the years to come.
