PAYPAL is back in the egaming business!!  That's right, Paypal has signed a deal with the parent company of Neteller, Neovia, to provide epayment solutions for their clients.

Paypal was already processing payments for 32Red Casino, a Microgaming Casino which does not accept ANY US players.

When Neteller began operations in 1999, Paypal was well established in processing online gaming payments, and initially, transfers between the two processors was available.  However, this practice was discontinued shortly after Neteller became Paypal's primary competitor in the market.  Now, it's "Back to the Future"!

Both Paypal and Neteller were forced to withdraw from processing gambling transactions from the US after US legal jurisdicions filed charges that each had violated US laws by processing payments from US players to online casinos.  Paypal paid a $10 million dollar fine in 2003, after being charged with violating the Patriot Act.  At the time they ceased processing payments in 2002, Paypal was the largest single processor of online gaming transactions.

After Paypal withdrew, Neteller grew exponentially, by becoming the most attractive processor to most players, around the world.  Providing instant access to funds via their ATM card, made Neteller very profitable.  However, in 2007, Neteller was forced out of the US market, and agreed to forfeit $136 million through an agreement with the prosecutors.

Currently, neither Paypal nor Neteller will process US transactions.

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