Gambling operators and suppliers are using innovation to provide players with efficient payment processing options that also offer responsible gaming resources and tools.
The topics of financial segmentation and responsible payment tools were discussed at SBC Summit Americas in Fort Lauderdale during its Player Protection Symposium.
Financial segmentation and responsible payment tools were examined by a panel of industry experts that included PrizePicks Senior Director of Responsible Gaming Phil Sherwood, idPair CEO Jonathan Aiwazian and EDGE Markets CEO Seni Thomas.
The discussion also included Birches Health founder and CEO Elliot Rapaport.
Need for budgeting tools in gaming
The expansion of gaming across America has seen a bevy of payment processing options provided by operators and suppliers. The competition provides players with a variety of payment options that in some cases lack accessible RG resources and tools.
“You think about all the budgeting tools you have and if you look at the gaming industry there’s so much fragmentation,” said Thomas. “Gambling is a high-risk activity where you actually have less tools to enable you to understand where your money is and how you’re spending it.”
Thomas is aiming to alleviate fragmentation in gaming with his company’s EDGE Boost product, a first-of-its-kind solution that provides users with a bank account for gaming.
The platform offers a dedicated debit card allowing users to separate gambling transactions from normal finances. EDGE Boost recently closed a $17.2 million seed round led by VC fund Bullpen Capital. The platform, which offers cashback incentives and personalized spending limit suggestions, also recently secured a strategic partnership with startup launchpad Defy the Odds. Since its soft launch in 2024, EDGE Boost has processed more than $300 million in transactions and offers insurance with the FDIC.
Operators and suppliers can protect players by informing them of the resources available.
“It’s important making sure they [players] are aware of the tools that are available and not creating unnecessary friction points that’ll just lead players to other funding sources and other platforms,” Aiwazian attendees.
Partnerships drive innovation in RG
Operators are also finding partnerships as a pathway to providing adequate resources.
“From an operator’s perspective, third-party collaboration is the secret sauce,” said Sherwood. “PrizePicks has accomplished a lot in the last year and we could not have done it without our partners.”
Birches Health also benefits from partnerships as an independent RG resource.
“We [Birches Health] are a behavior healthcare company so we have been able to develop an expertise around that,” said Rapaport. “We don’t claim to know everything but we know what we’re good and that has enabled us to partner with other organizations and have well-rounded conversations.”
Earlier this year, Birches secured a partnership with Wire Industries—the owner and operator of sports betting marketplace WagerWire. The deal sees Birches and Wire Industries collaborate to provide social media content and clinical materials on RG.
Providing frictionless and responsible payment tools through third-party partnerships also draws concerns from operators, RG tool providers and suppliers across the country.
“There’s concerns about security and because there are so many competitors out there, not knowing which apple to take a bite out of are big challenges,” added Sherwood.
There is also a need to bridge the gap between operators and third-party platforms.
“There are so many fintech tools out there today that operators cannot tap into directly,” added Thomas.
Operators and suppliers will continue discussing the need for frictionless payment options that also provide responsible payment tools. Gambling industry experts will continue to push the conversation forward in a competitive industry that must also protect players.
