Instant Payments in iGaming: Challenges and Advances According to Flutter International

Instant payments have become a key expectation for iGaming players in advanced regulations, but their full adoption still faces significant obstacles. Olga Gunchenkova, Director of Payments at Flutter International, explains that many of the barriers stem from technical and infrastructure limitations, rather than a lack of willingness from operators. She also highlights that A2A payment methods and open banking have accelerated changes in major markets, although these systems still need to be adapted to the specific requirements of the sector.

Player Expectations and Payment Realities in Europe and Brazil

Flutter International, responsible for operations in markets as diverse as the United Kingdom, Germany, the Nordic countries, and Spain, observes that each jurisdiction has its preferred payment methods and regulations. Gunchenkova points out that the emergence of open banking and account-to-account (A2A) payment APIs has transformed the landscape, but the pace of adoption varies.

• In Brazil, Pix accounts for approximately 40% of online transactions since its launch in late 2020, establishing itself as the predominant method in the country.
• In Europe, Sofort and Multibanco have been used for years in e-commerce and iGaming, while Bizum in Spain is rapidly gaining ground.

Many methods designed for retail do not meet all iGaming requirements, especially in functions such as withdrawals and account holder verification, which necessitates adjustments to comply with regulated licenses.

"Many methods only offer deposits and do not cover withdrawals or the verification of account holders, both required by iGaming regulation" — Olga Gunchenkova, Flutter International

Transaction Failures: An Infrastructure or Prioritization Problem?

Negative experiences—such as payment failures or slow withdrawals—often lead players to switch operators. For Gunchenkova, much of the challenge originates from payment infrastructure, not from the direct management of the operator.

A clear and transparent process is essential. She details that unclear messages on the payment page or ambiguous technical responses contribute to user abandonment. When the operator receives useful communication from their payment infrastructure, they can effectively guide the customer. However, financial ecosystem participants do not always provide informative response codes or real-time APIs.

A recurring problem is the lack of clear communication about the reason for rejection and the steps to follow:

• Example: “You do not have sufficient funds on your card to complete the transaction. Please modify the amount and try again.”

If payment confirmation is not explicit, the player may attempt to duplicate the transaction. In summary, many barriers hindering the payment experience stem from basic technical infrastructure and are not always under the operator's control.

Instant Payments in iGaming: What Limits Their Full Adoption?

In countries with banking highways for instant payments, players expect to receive funds almost in real-time. The European ecosystem is advancing with SEPA Instant, and systems like Faster Payments in the UK or Pix in Brazil are already processing instant transfers in both directions. Swish in Sweden offers similar functions.

Instant transfers to cards are also growing, although their penetration in iGaming depends on regulation and local offerings. Flutter International implements instant payments whenever technology is available in the relevant market.

However, each withdrawal must pass fraud and money laundering controls. Larger withdrawals undergo enhanced reviews before releasing the funds to the selected payment instrument. This means that not all transactions reach the player in seconds, as the protection of their funds takes precedence over speed.

"Even with instant payment technology, each withdrawal must pass fraud prevention controls before being sent to the player" — Olga Gunchenkova

The Payment Experience as a Competitive Factor in iGaming

In the iGaming sector, payments are not seen merely as a back-office operation but rather as a lever for loyalty and conversion. Gunchenkova recalls that operators adopted solutions like Apple Pay, saved card functions, and digital wallets with one-click payments earlier than other sectors.

The shift towards open methodologies and card tokenization has further bolstered payment infrastructure in recent years, aligning with trends both online and in brick-and-mortar commerce. Each technological advancement enhances customer convenience, increasing conversion rates and player retention in regulated markets.

This pace of innovation compels operators to continuously review their integrations with payment providers to avoid falling behind competitors seeking to differentiate themselves at the critical stage of the financial transaction.

Adapting to Change: Next Steps for Operators

The process of adopting instant payments depends not only on the country’s infrastructure and the provider but also on the operator’s ability to integrate scalable systems, maintain clear communication, and meet regulatory requirements. Collaborations with leading payment providers are vital to enabling functions like immediate withdrawals and agile account holder verification.

The trend in innovative markets shows that those investing in the payment experience gain a competitive edge while continuously adapting to new technologies, regulatory processes, and player demands.