Online gaming is a multi-billion-dollar industry that is only continuing to gain pace, with new technology like VR and the Internet of Things not only enhancing security but also the user experience. Yet despite its successful growth, especially in Europe and the UK, the United States of America has historically been difficult to enter. This is entirely due to the various laws across each individual state that keep gaming and betting restricted, in particular the 1992 Professional and Amateur Sports Protection Act that banned commercial sports betting in most states.
However, in 2018 the Supreme Court overturned the bill and reopened the door for gaming and betting companies opening opportunities to make a mark in this lucrative market. This has led to countless new operators both local and foreign, to expand gaming profiles across the country over the last two years, and we at PXP Financial have been here to give them a helping hand.
At PXP Financial, we have been supporting US gaming outlets since 2013, however it has been in a restricted nature, only having a presence in certain states such as New Jersey. This allowed us to already have a good understanding of the US gaming market and so we could use our expertise to support those looking to enter and grow in the market, while also expanding out our own brand. Now we operate in 9 of America’s 51 states and that number is only going to increase in 2021 and beyond.
A lot of this growth happened in the turbulent year, 2020. Even amidst the uncertainty that is COVID-19, we’ve rolled out our support in 9 US states, using a similar strategy to what we did in Europe – supporting gaming operators with their own expansion needs and acting as consultants to help them grow their new market. The US is a new market for many and we have been excited to be the pioneers of payments for many newcomers looking to get a foot in the door.
Just some of the partners we’ve supported this year include:
BetMGM is a sports betting and gaming entertainment company founded in New Jersey in 2018 and has since developed into the market leader for its area. Earlier this year PXP Financial partnered with the company to support its expansion plans by providing a state-of-the-art, all-in-one payment solution and service and now the payment experts will be utilising its full-service gateway to support further expansion across the US.
PXP Financial is supporting BetMGM with a single API integration that connects all alternative payment and card solutions across multiple US states. This makes managing the payment process across the US much simpler while rolling out BetMGM’s offerings into new states, as there is no need for multiple integrations. PXP’s full-service gateway has already been deployed with BetMGM across seven US states including Tennessee, Indiana, New Jersey, Colorado and West Virginia, Pennsylvania and Michigan.
A subsidiary of Penn National Gaming, Inc., Penn Interactive is an innovative gaming operator based out of Pennsylvania that was looking to expand its offering into new markets, while keeping the back-end technology and payment process simple and easy for customers. Having been introduced to us through another partner of ours, White Hat Gaming, we were the perfect fit support their goals.
Our fall-service gateway allowed for multiple connections to various payment service providers all in one place. We also offered Penn Interactive a fully managed service to include reconciliations and risk monitoring to keep the payments process secure across a wide market. With our technology and gaming licenses, we made it easy to expand Penn’s influence, and the roadmap for already looks very exciting.
We were already a partner with Tipico in Europe and so when the global sportsbook operator to decided to expand its operations into the US, it felt natural to extend our partnership into that region as well. The US partnership launched in October, in New Jersey, but the plan is for the business to broaden out into multiple states in 2021.
Like with Penn Interactive, PXP Financial is supporting Tipico through its extensive knowledge of the US market, it’s capability to work with multiple payment solutions and with its all-in-one, full-service gateway. The close and intensive relationship between Tipico and PXP Financial Inc. means the two will be able to support each other in both parties US brand expansion.
Bring on 2021
2020 has been a major step in the US for our gaming division and we are excited to roll out our further expansion plans in 2021. We already have a few more announcements in the pipeline and we cannot wait to share them with you.
If you want to learn more about how PXP Financial supports its gaming partners, in all regions, then read up on the gaming section of our website: https://www.pxpfinancial.com/gaming