The Gaming Payment Solution Gamers Prefer

Gaming payment solutions are specialized financial services designed to facilitate transactions within the gaming industry. Payout platforms include those that streamline transactions from brands to developers, players, contractors, and affiliates via bank accounts or other payment methods.  

Some key solutions include:

• Payment processors and digital wallets
• Specialized payout platforms (like Tipalti)
• Cryptocurrency payments
• Prepaid cards
• Affiliate payment solutions

Each solution offers different features, such as multi-currency support, compliance with international standards, low transaction fees, and payment options, making it suitable for different aspects of the gaming industry’s payout needs.

Yes, gaming payout processing is often considered high-risk due to several factors, like:

High Volume Transactions
Online gaming payment systems typically handle a large number of transactions, including frequent payouts and microtransactions. The large quantity of transactions increases the risk of fraud and requires strong security measures. Tokenization is one example of how they secure the gaming experience.

Regulatory Compliance
The gaming industry operates across multiple jurisdictions, each with its own set of policies, regulations, and risk management. Ensuring adherence to a diversity of rules can be challenging and complex. 

High Rate of Chargebacks
The gaming industry is known for buyer’s remorse and refund requests. Due to the digital nature of the product, gaming transactions experience higher chargeback ratios compared to other industries. A lot of it is based on user experience.

Transaction Volatility
Case studies have shown that gaming transactions are often unpredictable, with spikes in activity during events, promotions, or the release of new content.

Additional Factors that Contribute to Risk

• Gaming is a frequent target of stolen credit card use
• Issues with payment of winnings lead to loss of user trust
• Cross-border transactions involve currency conversion
• Some platforms deal in crypto, which is high-risk
• Some systems lack security, like PCI DSS (data security standards) and authentication issues

Processing payments for affiliates involves establishing a reliable and efficient system to ensure timely and accurate payouts. 

Here are a few ways to do that:

• Mass payments software: Systems like Tipalti can help you set up automated payment schedules to pay people on a regular basis. Make sure you offer various payment methods your affiliates prefer.
• Multi-Currency support: The payment system should be able to handle international payouts on a large scale, using multiple currencies and cost-effective currency conversion.
• Secure payment methods: Secure and reliable payment methods can minimize the risk of fraud and ensure affiliates receive their payments without any issues.
• Compliance and reporting: Maintain records of all transactions and ensure compliance with tax regulations in different jurisdictions.
• Communication: Inform affiliates about any delays and payment schedules and provide them with a way to track their earnings and payouts.

Tipalti is a gaming payment solution that automates and streamlines the complex process of managing payments for gaming companies.

Here’s how it works:

• Onboarding and verification: We handle the onboarding and verification of payees (such as affiliates, content creators, and developers) via a self-service supplier portal. This includes collecting the necessary data, verifying identities, and ensuring compliance with local regulations. Payees provide contact, payment, and tax information (e.g. W8, W9, VAT). Verify payment details using over 26,000 rules. The portal also provides updates on payment status and allows for self-service changes.
• Smart AI: Your tracking system determines payments. Create a payfile or trigger payments from our API based on your performance data. Tipalti AI directly routes payment requests to the appropriate approvers.
• Payment methods: We support a wide range of payment methods, including wire transfers, ACH transfers, PayPal, and prepaid debit cards. No more logging into individual banking portals or reconciling payments from across multiple accounts. We send the payments through the proper banking channels.
• Multi-currency and localization: Tipalti supports 120+ currencies and offers localized banking options in multiple countries. This process ensures cost-effective and smooth transactions across borders. 
• Compliance and fraud: Tipalti offers advanced fraud detection and compliance checks, including Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations. 
• Payment workflows: Tipalti automates the entire payment workflow, from invoice receipt and approval to payment execution and reconciliation. We alert gamers, streamers, and developers of payment status and report any issues to them if funds don’t land.
• Reporting and analytics: Comprehensive reporting tools provide real-time visibility into payment processes, helping gaming companies track payments, manage cash flow, and make more informed decisions. Payments and transaction fees are fully reported for reconciliation in real time to the ERP.
• User-friendly interface: We offer an intuitive interface for both payees and admins. The interface allows you to quickly view transaction history, make payments, and resolve issues.
• Tax compliance: Tipalti automates tax form collection and validation, ensuring compliance with a variety of regulations. 

Tipalti’s gaming payment solution enables gaming companies to streamline mass payments, reduce administrative load, ensure compliance, and provide a better payment experience for affiliates and other payees.