The Risks Of Online Payments In The Gambling Sector
The ongoing technological advances in online payment are making our lives more convenient. Digital wallets, mobile payments and other payment options are easy to use. But, despite the comprehensive security features, there are still loopholes and issues that criminals may exploit. Financial risks are always present and they continue becoming major challenges.
Let’s take a look at some of the financial risks that you may encounter when doing online payments in the gambling or gaming sector:
Fraud- resourceful criminals are always looking for new ways to circumvent security measures. While older fraud methods are being rendered ineffective, new ones are being implemented. Fraud has always been present in the online payment environment. Merchants and consumers must arm themselves with knowledge, tools, and vigilance to address this problem.
Chargebacks- chargebacks cancel online transactions and they can be costly. For merchants who operate in e-commerce platforms such as online gambling sites, frequent chargebacks could ruin their reputation. Repeated chargebacks may mean an end to their online business. Depending on the e-commerce platforms, merchants should use a digital consumer-to-merchant payment gateway to prevent and address chargebacks.
Multi-Currency Incompatibilities- many merchants are enjoying quick growth in transaction volume by offering multi-currency payments. They are able to encourage international shoppers to perform transactions. Unfortunately, setting up and implementing multi-currency system are not always easy. Merchants and customers must use banks that seamlessly process international transactions. Some countries have specific regulations that become hurdles in allowing smooth multi-currency payments. Lack of government support, payment processing restrictions, and even bans on online payments may slow down or prevent transactions.
Credit Card Theft- credit cards are still the most common way of making online payments. A secure credit card transaction should involve SSL certificate and end-to-end encryption. But, it is fairly easy for criminals to steal credit card data if merchants and consumers don’t implement fully secure transactions. It is highly advisable to use secure 3rd party gateway that adds another layer of security. Merchants should make sure that their sites are compliant to PCI (Payment Cards Industry). It helps detect potential data theft, which can be very costly for customers.
KryptoX is the leading digital consumer-to-merchant payment gateway for the gambling and gaming sector. KryptoX’s Payment Gateway can help with everything from integration to multiple payment and fraud solutions.
To learn more about the risks of online payments in the gambling sector in 2020, contact KryptoX today and speak with a cryptocurrency expert who can answer any questions you might have.
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