The financial system as we know it constantly undergoing changes, even though not always to the benefit of the consumer. Neteller and Skrill, two popular online payment options, will prohibit the usage of prepaid Mastercards in over 100 countries come November 25. Another boon for Bitcoin adoption, or will consumers just let this change slide?
No More Prepaid MasterCards For Skrill and Neteller
In the world of online payment methods, there are plenty of options to choose from. PayPal, Neteller, and Skrill are some of the main competitors in this space. However, not all of these payment options provide consumers with the services they are looking for. In fact, Neteller and Skrill are making drastic changes that may affect their global user base in a significant manner.
Come November 25th; neither company will accept the usage of prepaid Mastercards in over 100 countries around the world. Both brands are controlled by the Paysafe Group and have informed their customers regarding this impending change. The SEPA zone, together with a handful of other European countries, will not be affected by this change.
Prepaid Mastercards are often used by online gamblers who use either Neteller or Skrill to fund their casino accounts. Moreover, it was also possible to instantly withdraw cash to these cards, which will no longer be possible come November 25. However, it remains possible to withdraw funds to a bank account, other send the balance to a different Skrill or Neteller account.
For people who suffer from a lack of financial inclusion, these prepaid Mastercards were a way for them to shop online without a bank account or bank-issued payment card. Now that the functionality will no longer be supported, both companies could suffer from a significant reduction in customers. Whether or not that will be the case, remains to be seen, though.
To make matters worse, some of the world’s largest gambling nations are affected by this upcoming change. Australia and Brazil are on the list, although North American users remain safe from harm.Russian and Chinese users can keep using existing cards, but if they expire, no new cards will be issued moving forward.
Some people are speculating this will cause a new wave of Bitcoin adoption in the coming months. That may be wishful thinking, though, albeit Bitcoin is a popular payment method in the online gambling industry right now. Only time will tell if these changes will benefit Bitcoin adoption. One thing’s for sure, though: Neteller and Skrill will alienate a fair few customers with their radical changes.
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