Sean Mackay, CoinPayments: “Cryptocurrencies play a crucial role for igaming operators”

CoinPayments’ CEO spoke with Focus Gaming News within the framework of the company’s 10th anniversary.

Exclusive interview.- Sean Mackay, CEO at CoinPayments, talked about all the edges that make up the current implementation of cryptocurrencies in the gambling business. In an interview with Focus Gaming News, the executive analyzes the evolution of the sector, the benefits, the challenges, and the scope it has in different regions of the world.

How is CoinPayments celebrating its 10th anniversary?

We are happy to have reached this important milestone and to commemorate our 10th anniversary. With a decade of dedicated service, CoinPayments has revolutionised the digital payment landscape and played a key role in the mass adoption of cryptocurrencies.

This milestone celebration signifies a decade of tireless effort, unwavering commitment, and continuous innovation. Over the years, we have strived to provide secure and efficient payment solutions to merchants, igaming operators, Forex platforms and multiple users worldwide.

Since our inception, we have grown into a global leader, empowering businesses, and individuals to embrace the benefits of cryptocurrency payments. As we reflect on our journey, we express our gratitude to our loyal customers and partners who have been instrumental in our success.

The 10th anniversary is not just a celebration of our achievements, but also a testament to our unwavering vision and determination to shape the future of digital payments. We look forward to continuing our journey and pushing the boundaries of what is possible in the next decade and beyond.

How do you think digital payments have evolved in the last decade?

In the last decade, digital payments have undergone significant evolution, driven by advancements in technology and changing consumer preferences. Cryptocurrencies have emerged as a notable development within the digital payments landscape. This technological advancement has brought numerous benefits and convenience to both businesses and individuals worldwide.

Cryptocurrencies like Bitcoin initially emerged as an alternative form of digital money, mainly used by tech enthusiasts and early adopters. However, over time, their acceptance and adoption have expanded considerably.

Today, we witness a growing number of merchants, both online and offline, accepting cryptocurrencies as a form of payment. Major companies like Tesla, Microsoft, and PayPal have integrated crypto payment options, signalling a shift towards mainstream acceptance.

This technological advancement has brought numerous benefits and convenience to both businesses and individuals worldwide.

Additionally, advancements in blockchain technology have led to the creation of numerous other cryptocurrencies, each with its own unique features and use cases, further diversifying the options available for crypto payments. Overall, the last decade has witnessed the transformation of crypto payments from a niche concept to a recognised and increasingly utilized method of conducting transactions.

The infrastructure supporting crypto payments has also improved significantly in the last decade. The development of user-friendly wallets and payment platforms has made it easier for individuals and businesses to transact using cryptocurrencies.

These platforms provide secure storage, convenient conversion between crypto and fiat currencies, and seamless integration with existing financial systems. Moreover, the introduction of stablecoins has addressed the issue of price volatility associated with traditional cryptocurrencies, making them more suitable for everyday transactions.

As a result, crypto payments have become more accessible, efficient, and reliable, fostering broader adoption and acceptance.

What differences do you find between the different regions regarding its implementation?

Regarding regional differences in crypto payment implementation, there are varying levels of adoption and regulatory approaches worldwide. Some regions have embraced cryptocurrencies more actively, fostering favourable environments for their use.

For instance, countries like Switzerland, Singapore, and Malta have implemented crypto-friendly regulations, encouraging innovation and investment in the crypto space. On the other hand, some regions have adopted a more cautious approach, with stricter regulations or even bans on cryptocurrencies. China, for example, has implemented restrictions on crypto trading and mining.

Such regional disparities in regulations and attitudes towards cryptocurrencies impact their adoption and implementation on a global scale.

What role do cryptocurrencies play today within the online gaming industry?

Cryptocurrencies have gained significant traction in the igaming industry, providing a range of benefits and posing some unique challenges for operators. Today, cryptocurrencies play a crucial role for igaming operators as a popular alternative payment method and as a means to enhance security, privacy, and accessibility for players.

One of the key benefits of using cryptocurrencies in igaming is increased transactional speed and reduced costs. Traditional payment methods often involve intermediaries, such as banks or payment processors, which can result in delays and additional fees.

Cryptocurrencies, on the other hand, enable near-instantaneous transactions and lower transaction fees, allowing operators to streamline payment processes and offer more efficient services to their customers while avoiding critical hurdles such as chargebacks.

Cryptocurrencies also offer enhanced privacy and security features. Transactions conducted with cryptocurrencies are typically pseudonymous, allowing players to maintain a level of anonymity. This can be appealing to individuals who prefer to keep their gambling activities private. Additionally, the use of blockchain technology in cryptocurrencies ensures transparency and immutability, reducing the risk of fraud and ensuring fair gameplay for all participants.

“Cryptocurrencies have become an important component of the igaming industry.”

Sean Mackay, CEO at CoinPayments.

Cryptocurrencies also provide igaming operators with the opportunity to tap into new markets and attract a broader player base. By accepting cryptocurrencies as a payment method, operators can cater to tech-savvy individuals who prefer digital currencies and expand their reach globally.

Cryptocurrencies eliminate geographical barriers and enable international transactions without the need for currency conversions, making it easier for players from different countries to participate in online gambling.

Integrating cryptocurrencies into igaming operations can come with challenges. One of the primary challenges is regulatory uncertainty and iGaming operators must navigate complex legal frameworks to ensure compliance. This uncertainty can deter some operators from fully embracing cryptocurrencies or limit their availability to certain regions.

Another challenge is the volatility of cryptocurrencies. The value of cryptocurrencies can fluctuate significantly within short periods, which poses risks for both players and operators.

Operators must manage the potential impact of price volatility on their revenue streams, while players need to consider the potential for their cryptocurrency holdings to decrease in value. Stablecoins, cryptocurrencies pegged to a fiat currency, have emerged as a possible solution to mitigate this volatility.

See also: Sean Mackay: “Crypto payments are very well suited for online gaming”

In summary, cryptocurrencies have become an important component of the igaming industry, offering benefits such as faster and cheaper transactions, enhanced privacy and security, and access to new markets. As the challenges related to regulatory clarity become easier and price volatility is addressed, cryptocurrencies are on track to reaching their full potential in the igaming space.

What new services and feature updates will CoinPayments present at iGB Live 2023?

In the coming months, there’s going to be some great releases of new features, new products, and even new use cases for crypto in general. We are hard at work making major improvements to our platform; more secure, more scalable, faster, and more features tailored towards both merchants and iGaming businesses which we will demonstrate at iGB L!ve 2023.

What are the next steps within the company’s 2023 calendar?

CoinPayments is well-positioned to capitalise on the growing demand for cryptocurrency payments. As more businesses and individuals embrace cryptocurrencies as a viable form of payment, we expect to see significant growth and expansion of our user base in the year ahead. Although we are in a crypto winter right now, things are slowly starting to heat up, so it’s business as usual here at CoinPayments.

During the past few months, we have had our heads down building in the same way that crypto projects out there do during a crypto winter. As we have seen, in the coming months, we will release a series of new features, new products, and even new use cases for crypto in general. We are hard at work making major improvements to our platform; more secure, more scalable, faster, and more features tailored towards both merchants and igaming businesses.

The key takeaways here are:

• We have used the down time in the market to focus on building.
• Later this year we plan to release a significant update to our platform, making it faster, more scalable, and more flexible.
• We have had a chance to speak directly with clients in the gaming space and we know what’s important to them in a crypto payments platform, and we are prioritizing our feature releases accordingly.