From DeFi To iGaming: Where Are Crypto Payments Winning?

Crypto payments have come a long way. What began as a niche for peer-to-peer transfers and speculative investing is now a real option for paying, trading, and using services online. From decentralized finance (DeFi) platforms to modern iGaming conventions, digital assets are no longer sitting on the sidelines. They’re being used, and in many cases, they’re the preferred choice.

DeFi set the foundation

Decentralized finance was the first space where crypto proved its usefulness beyond trading. People could lend, borrow, and earn interest without a bank. By 2021, the total value locked in DeFi protocols surpassed $180 billion globally. Ethereum led the way, but other networks like Solana and Avalanche helped widen access. In a short period, crypto moved from concept to application in a nonstop financial system.

High fees and slow transactions eventually led to the rise of Layer 2 solutions, which made DeFi more practical for everyday users. Stablecoins like USDC and DAI supported the transition by providing reliable, on-chain liquidity. They provided a consistent value while still benefiting from blockchain speed and accessibility.

iGaming embraces crypto

Cryptocurrency has found its way into nearly every sector, like retail, healthcare, and even gaming. Online gaming, especially casino-style platforms, was quick to pick up on crypto payments. These assets solve problems that players and operators have been dealing with for years. Now, these online casino platforms offer faster withdrawals, lower fees, and no banking limits or restrictions.

By 2024, crypto-based gambling generated approximately £64 billion in global revenue, a fivefold increase since 2022. In the UK alone, crypto betting grew by over 80% in that time. Much of this happened through international platforms not tied to domestic restrictions. These sites typically accept bitcoin, ether, litecoin, and stablecoins like Tether.

The benefits of using these tokens go much further than simple deposits and withdrawals. Some platforms run entirely on blockchain, allowing players to verify outcomes and watch transactions in real time. With blockchain, crypto, and smart contracts, there’s no real need to rely on a middleman to settle the score.

Fast settlement in cross-border markets

Sending money across borders in the traditional way can be frustratingly slow, expensive, and time-consuming. Crypto changes that. Transactions using stablecoins or networks like Bitcoin Lightning often arrive in minutes or within the hour, with lower fees and fewer hoops to jump through.

Emerging markets have seen especially strong uptake. According to a 2023 Chainalysis report, countries like Nigeria, Vietnam, and the Philippines rank high in crypto activity relative to income. People there use digital assets for everyday spending, savings, and remittances.

iGaming platforms focused on international regions have proven that supporting crypto is far simpler than negotiating with banks in every market. Many users are already comfortable using wallets and exchanges, so it’s a natural fit.

Privacy without going off the grid

One of crypto’s most appealing aspects is that it gives people a way to pay without handing over too much personal information. While it’s not fully anonymous, blockchain doesn’t require the same level of data-sharing as credit cards or bank transfers.

That matters in regions with strict financial controls. When it comes to DeFi and crypto, the appeal is more about control, using tools without needing approval or identity checks. Some protocols are introducing KYC steps as regulators push for more oversight. In both sectors, privacy is seen as a positive feature, not a loophole to dodge rules.

Stablecoins are doing the heavy lifting

Bitcoin and ether might dominate headlines, but stablecoins do most of the day-to-day work. Whether it’s topping up a casino wallet or putting assets into a lending pool, pegged tokens offer predictability.

In 2024, stablecoins such as Tether (USDT) and USD Coin (USDC) were among the top five cryptocurrencies used in iGaming transactions, according to SoftSwiss. However, bitcoin and ether remained the most used crypto, accounting for 76% of crypto gambling transactions. For many, stablecoins provide no price swings, easier budgeting, and faster processing.

It’s easier to manage your money when your balance stays consistent. Whether you’re gambling online, sending funds overseas, or taking part in DeFi, knowing your £100 today is still £100 tomorrow makes a difference.

Regulation is catching up

Across Europe and the UK, authorities are tightening rules on crypto activity. The European Union’s Markets in Crypto-Assets (MiCA) regulation, due to take full effect by the end of 2025, sets out detailed requirements for crypto service providers. These include licensing rules, capital requirements, and mandatory disclosures for asset issuers. Platforms offering stablecoins will face caps on daily usage unless properly registered and backed.

In the UK, the Financial Conduct Authority (FCA) has taken a tougher stance on crypto promotions and consumer protection. From October 2023, firms marketing crypto to UK consumers have had to comply with stricter advertising standards. These include prominent risk warnings and cooling-off periods for first-time buyers. There are also tighter rules on how crypto is stored, with custodians expected to separate client assets and maintain detailed records.

For iGaming platforms accepting crypto, this could mean an overhaul of how they manage deposits, withdrawals, and user onboarding. Operators in the UK may soon need to verify customer identities more thoroughly, even for crypto payments. This means staying in line with anti-money laundering (AML) and know-your-customer (KYC) expectations that are mandatory. Some are already adapting by partnering with regulated custodians, implementing transaction monitoring tools, and offering optional verification features.

DeFi projects are also under increasing scrutiny. While many operate without a central company, regulators are looking to apply existing financial rules to protocol developers, interface providers, or even governance token holders. It’s a fast-moving area, and platforms with ties to the UK or EU markets may soon find they need to register or limit access to avoid penalties.

Simpler, faster, always-on

People want payment options that are fast, easy, and available whenever they need them. Crypto ticks all those boxes. There’s no bank downtime, no third-party delays. Whether you’re placing a bet, minting a token, or moving funds, it’s all done in minutes.

The learning curve still exists. Wallet apps need to be simpler. Onboarding needs to be less intimidating. Still, the tools have come a long way. MetaMask, Trust Wallet, and similar apps are now integrated into a range of services.

Conclusion

It’s undeniable that crypto is increasingly becoming a part of mainstream payment systems. In sectors like DeFi and iGaming, they’re firmly embedded. Whether it’s for privacy, speed, or accessibility, digital assets are filling a gap that traditional finance struggles with. They’re no longer an experiment. They’re just part of how things work now.