Brainstorming: Ways Around the Internet Ban

[metsandfinsfan]

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Well, this is a shot in the dark, but could it be a loophole that we are NOT really transfering money to a gambling site? I don't put my money into partypoker from my bank. I put it into neteller. Then neteller (A Canadian company [right?]) puts it into partypoker. I'm probobly WAY off, but it's a thought.

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Neteller better start to rethink its business strategy and fee structures.

1. They need to immediately encourge non gambling business to use their processing services. Right now they would hard to emplain they do non gambling transactions. If I was neteller, on Monday I would announce fee free Ebay transactions for the next two months, then have a fee structure that is 33-50% discounted against Paypal's. To keep their gambling business in operation, they need to have a non gambling portfolio and use it as a loss leader.

2. They need to encourage debit card use and eliminate the transaction fees they charge to load cards. They easily could recover this fee income as they would receive a portion of the merchant fees. Even if they loose this small income stream if their players can not transfer back to US accounts they will not be a processing service in the long run.

US Banks will not take the enforcement angle lightly. Right now it be easy to block companies like neteller if they do not diversify their business model very quickly.

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excellent post