Top online payment providers Skrill and Neteller will stop providing its services to the Brazilian iGaming market. Can Bitcoin Cash be a better alternative?
Skrill and Neteller will cut itself off from the Brazilian online gaming market next month. This comes during the attempt of the Brazilian government to change its gambling laws.
With the exit of the two popular payment options, online casino operators now look for other alternative payment services. Some, however, look at altcoins like Bitcoin Cash as replacement for Skrill and Neteller.
Strict Government Regulations Force the Exit
Neteller recently sent emails to Brazilian players, informing them that it will stop processing their deposits into their online casino accounts beginning Feb. 21. Skrill account holders also received the same email notice from the payment processor. The notice also prompted the said players to withdraw their online casino funds to their Skrill and Neteller wallets before the end of February.
The decision for the two payment processors to pull out of the Brazilian gambling market may come from the Paysafe Group which owns both payment service providers. The Paysafe Group consistently cuts some of its ties with iGaming companies because of heavy government regulations in certain countries. Skrill experienced a similar situation in Russia where regulators blacklisted the wallet provider.
To this date, however, many fiat and Bitcoin casinos still accept Neteller and Skrill as payment options.
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Updated Gambling Laws May Be Far From Happening
Brazil is going through an overhaul of its gambling laws. The country’s old regulatory framework of its gambling laws does not cover online gaming and betting services. This has attracted many foreign operators to enter the gray market.
A regulated gambling market in Brazil will also attract many operators to the booming industry in the region. There have been, however, little to no progress with the reformation of Brazil’s gambling laws. Two gambling law bills that are filed with the National Congress have not been voted on.
As the passage of the bills move at a glacial speed, the country’s senate office published a poll that shows 86 percent of 2,672 respondents favor the legalization of online gambling. About two-thirds of the respondents believe that legalizing online gambling will benefit the country.
Switching to Bitcoin Cash: The Best Move?
Fiat payments are often at the mercy of a country’s regulatory body or banks. This is why some operators turn to cryptocurrencies for a payment solution. In recent years, though, some of the most used digital coins have become less viable as a payment option. This is due to the high costs of its transactions fees as well as long processing time.
One of the alternatives that other operators are adopting is Bitcoin Cash, which has an adjustable block size limit of 8mb. This allows for faster transaction than its predecessor. It also offers low transaction fees than other major cryptocurrencies.
There is a rise in Bitcoin Cash adoption in the iGaming market. One of which is Bodog which is also one of the gambling sites that accepts Brazilian players.
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