The debate around cryptocurrency in regulated gambling has often centered on regulation, volatility, and compliance. Yet a new study from payments giant Paysafe suggests the conversation may increasingly shift toward player demand.
According to Paysafe’s latest All the Ways Players Pay: Crypto Edition report, cryptocurrency is no longer a niche interest among American sports bettors. Instead, it is rapidly emerging as a payment option that many players expect sportsbooks to offer as regulation evolves.
The findings arrive at a time when digital asset adoption is rebounding across the United States. While crypto ownership among the general population has recovered following the market downturn of 2022, engagement among online sports bettors appears significantly stronger.
Crypto ownership runs deep among bettors
One of the report’s most striking findings is the level of cryptocurrency ownership among sports betting consumers.
Paysafe’s survey found that 64% of active online sports bettors currently own at least one cryptocurrency, more than double the estimated ownership rate among the wider US population. Bitcoin remains the dominant asset, but stablecoins such as USD Coin (USDC) are becoming increasingly popular among betting audiences.
The growing role of stablecoins may prove particularly important for the gambling industry. Unlike traditional cryptocurrencies, stablecoins are designed to maintain a fixed value, making them more practical for payment transactions rather than speculative investing.
For operators evaluating future payment infrastructure, this shift could reduce one of the industry’s longstanding concerns around crypto volatility.
Demand extends far beyond the states where crypto is legal
At present, only a limited number of US jurisdictions explicitly permit crypto-related betting deposits.
Colorado and Wyoming remain the most established examples, and the Paysafe research shows that players in both markets have already embraced the option. Nearly six in ten bettors in Colorado have funded a wager using cryptocurrency, while 45% of players in Wyoming have done the same.
What may be more significant, however, is the demand in states where crypto betting payments are not yet widely available.
Across all surveyed markets, 83% of bettors said they would be interested in using cryptocurrency to fund sports betting deposits if regulators permitted it. Appetite was especially high in New York, Illinois, and Florida, where interest levels approached or exceeded 90%.
The data suggests that the current regulatory landscape may be one of the largest barriers to adoption rather than a lack of player interest.
Crypto could become a top-three sportsbook payment method
Digital wallets and debit cards continue to dominate sportsbook cashier preferences, but crypto is quickly moving into the conversation.
When asked which payment methods they would prefer if cryptocurrency deposits became widely available, 45% of bettors selected crypto. That would place it behind only digital wallets and debit cards, making it one of the most popular payment options available to sportsbooks.
Importantly, the findings do not suggest crypto will replace traditional payment methods.
Bank transfers, pay-by-bank solutions, credit cards, local payment methods, and eCash products all continue to attract meaningful consumer interest. Instead, the research points toward a future where crypto becomes part of a broader omnichannel payments strategy rather than a standalone replacement.
For operators, the implication is clear: adding crypto expands consumer choice rather than cannibalising existing payment channels.
Paysafe is already betting on crypto’s future
The timing of the research is no coincidence. Only weeks before publishing its latest consumer study, Paysafe launched Pay with Crypto, a new payment solution developed specifically for the US iGaming and daily fantasy sports markets. The product, powered by crypto infrastructure provider MoonPay, allows players to fund gaming accounts using cryptocurrencies and stablecoins, with transactions automatically converted into US dollars for gameplay where regulations permit.
The launch highlights how payment providers are beginning to move from discussing crypto adoption to actively building products around it.
According to Paysafe, the solution supports major cryptocurrencies as well as stablecoins such as USD Coin (USDC), which have become increasingly important due to their reduced volatility compared to traditional digital assets. Operators can integrate the product through Paysafe’s existing payment gateway, alongside other payment methods including Skrill, PaysafeCash, Pay by Bank, cards and local payment solutions.
The release is particularly noteworthy because it arrives before widespread regulatory adoption has taken place. While Colorado and Wyoming remain the most established markets for crypto betting deposits, Paysafe appears to be positioning operators for future expansion as more states evaluate digital asset payments.
Viewed together, the company’s latest research and product launch paint a clear picture. Paysafe believes crypto is moving beyond its role as an investment vehicle and gradually becoming a practical payment method within regulated gambling. Whether that prediction proves accurate will ultimately depend on regulators, operators, and player adoption, but the infrastructure race has already begun.
Faster payouts may become a competitive advantage
Perhaps the most interesting finding for operators concerns customer acquisition.
Historically, sportsbook marketing has focused on bonuses, odds, and product features. Paysafe’s research indicates that payment capabilities are increasingly becoming a deciding factor in player choice.
When asked what would influence their sportsbook selection, bettors ranked fast crypto withdrawals, crypto payment availability, and seamless crypto deposits among their most important considerations. These factors competed directly with traditional differentiators such as promotions and betting odds.
This trend aligns with broader developments across the gambling industry, where instant withdrawals and frictionless payment experiences have become major competitive battlegrounds.
As customer acquisition costs continue to rise across regulated markets, payment innovation may offer operators a more sustainable way to differentiate themselves.
Retention opportunities come with execution risk
The study also highlights crypto’s potential impact on player retention. More than seven in ten bettors believe cryptocurrency payments would improve their overall betting experience, suggesting that digital asset support could strengthen customer loyalty and increase platform stickiness.
However, the research also delivers a warning.
A similarly large proportion of players said they would consider switching sportsbooks after a poor crypto payment experience. In other words, crypto can become a retention tool, but only if the payment journey is seamless and reliable. For payment providers and operators alike, execution may ultimately matter more than innovation itself.
Regulation remains the missing piece
Despite growing demand, widespread crypto adoption in regulated US sports betting remains dependent on state-level approval.
While Colorado and Wyoming have already established pathways for crypto deposits, other jurisdictions are still evaluating how digital assets fit within existing regulatory frameworks. Illinois and several other states have begun exploring more flexible approaches, but the regulatory picture remains fragmented.
That said, bettors appear convinced that broader adoption is coming. The Paysafe report found that nearly four out of five players expect cryptocurrency to become a commonly available sportsbook payment method within two years of receiving regulatory approval. Stablecoins, in particular, are expected to play a central role in accelerating adoption.
Why this matters
For years, cryptocurrency gambling has largely existed outside the regulated US market through offshore casinos and betting platforms.
The latest Paysafe research suggests that dynamic may be changing. Player demand is already established, ownership levels are rising, and stablecoins are addressing some of the usability challenges that previously limited adoption.
The question is no longer whether sports bettors are interested in crypto payments. The bigger question is how quickly regulators, payment providers, and operators can adapt to meet that demand.
If the current trajectory continues, crypto may soon move from a niche payment option to a mainstream feature of the regulated US sports betting ecosystem.
