A member of the House of Representatives Committee on Games and Amusement in the Philippines on Friday said e-wallets have become complicit in the continuing addiction in online gambling.
“It is feeding the addiction by making it so easy to top up, load and play” Rep. Jonathan Keith Flores said in a DZMM interview. “It may appear to be small amounts but it adds up,” he said.
Flores is one of several congressmen pushing for a law that would ban e-wallet mobile applications from redirecting users to any online gambling platform, website, or application through links, QR codes, or similar digital means.
His claim is that falling into online gambling addiction has become easier than ever given that bets can go as low as P.050 (£0.65p). Plus, he noted that many Filipinos are into gambling including betting on basketball games, horse races and more obscure bets such as cockfights.
The Bangko Sentral ng Pilipinas (the central bank of the Philippines) has also issued a draft document that aims to require banks and electronic money issuers to better protect their customers, including setting a limit on who can access the online gambling sites or apps.
Digital wallets are famed for their convenience, speed and security and the ability to make instant transactions without having to repeatedly enter bank details has been a major differentiator.
In 2024, SBC news interviewed Martyn Hannah, MD of online casino comparison site, Comparasino, claimed that punters and players are searching for new brands based on the payment options in the cashier and the speed at which payouts are processed – giving more incentive for operators to invest in e-wallets to supply for the demand.
Other concerns over E-Wallets
Ongoing technological advancements, new rulings and emerging markets will likely dictate the growth of E-Wallets, as operators look to smoothen the process of depositing and removing the difficulties in beginning their betting journeys.
However, there are some other concerns to note regarding the payment system. One is potential cybersecurity risks;
as digital transactions grow, so do threats like hacking and fraud. Companies need strong security systems to safeguard customer information.
Secondly, financial exclusion. While Digital banking is accessible for all with an internet connection, it isn’t accessible to all. Older adults, low-income groups, and rural residents may find it hard to shift to a cash-free model.
Plus, there is always regulatory uncertainty. Fintech is rapidly advancing, but rules for digital payments and crypto remain unclear, posing challenges for businesses in the sector.
