Thanks for writing this so clearly.. I believe we all needed that, and i am very serious.
No one, whether it’s a big respectable company or a small business would like to take the risk of being targeted by the US law enforcement agancies. Especially currently active payment processors which such situation might hurt their business in any aspect whether it’s now or in the future. This is very undestandable.. Wouldn’t you do the same if you were in their shoes?
As much as we would all love access to that market again I dont see it happening.My own lawyer here in Canada is telling me to put a disclaimer on my website about the US Legal Position .He doesnt like seeing the ‘us player’ section on my website lol.
Unfortunately, I’m afraid you are right.
The current situation is not a normal situation.. Neteller and the other processors which are no longer useable for US players have created an enormous potential to earn a lot of money to the one(s) who can and will fill the empty space that was created.
Why isn’t the current situation normal?
under “normal” circumstances, when there’s a possibility to earn a lot of money and quite easily (there are no competitors, remember?) WHAT HAPPENS? “CRIME” is created. We all heard about robbery, breaking in, theft etc. Right?
Well, Don’t get me wrong!! I’m not talking about this kind of crime!!
What i am trying to say is that the tempt of creating an established and a very profitable payment processor is now more tempting than ever.. It’s an industry of BILLIONS of dollars every year WITH NO COMPETITION.
This situation is like a greenhouse for a vegetable in winter.. This is the most tempting opportunity to commit a “crime”.
What do i mean?
There are enough countries and jurisdictions for one to establish a new payment processor and commit the “crime” without caring about the US law. I am sure there are many who look into this right now and racing the clock to be the first to fill the empty space. These people don’t care about committing this “crime” as this is a crime only in the US.
It’s not easy, It’s far more complicated than we know as you must have as many banks and as many other financial institutes such as credit card companies willing to work with your new business. Respectable institutions will not hurry to join the venture
It also takes a long time to get approved/licensed/certified and to set up all the back office.. it’s a long process.
Will a new payment processor eventually rise?
Just remember:
An open door may tempt the saint, opportunity makes the thief!