Podcast: iGaming Payment Solutions of the Future with Jeremy Enke & Knup Sports

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Ryan Knuppel:

All right. Welcome back to another episode of the Knup Sports Show. I’m your host, Ryan Knuppel here with you each and every time. Thanks for listening, tuning in, watching, whatever you were doing, but giving us a few minutes of your day, and learning a little bit about iGaming, sports betting, sports business, whatever it is we are talking about. As you all know, we always love to have great guests and we like to feature big announcements in this space.

Ryan Knuppel:

We have actually a returning guest, a returning guest to the show back today. Jeremy Enke with PayNearMe is here. Jeremy, thanks for joining me.

Jeremy Enke:

Thanks, Ryan. It’s good to be back on the show. I always love coming on this podcast because you and I have quite a history, and we go back, way back in the day. I mean, we’re kind of dinosaurs, right? I mean, I know we’re going to talk about payment processing today, but you and I can probably remember the days of just crazy payment processing and waiting months for payment.

Ryan Knuppel:

Oh, payment processing used to be so painful, especially for people in the United States. All the payment stuff used to be a big mess and yeah, you’re right. We definitely go way back. We won’t talk about that in this show. If you want to hear that, what was it? Episode 107 or 108, Jeremy and I talked a little bit about the past. But today we’re here to talk, PayNearMe. I’m excited to hear a little bit about what you guys have going on. I know you had a big press release that came out, talking a little bit about some of the features you guys are adding. First, explain to the audience what PayNearMe is. And for those that maybe don’t know, just explain a little bit about what you guys do.

Jeremy Enke:

Yeah, for sure. So PayNearMe, we’ve been in business for 11 years. We process billions of dollars per year. We have 5,000 plus customers. We’re really in the gaming industry. We’ve been known as really the gold standard for our cash product. So let’s say like your Visa card, MasterCard doesn’t work, you can essentially get a barcode on your phone from the cashier of any gaming sites that we work with. Take that to CVS, Family Dollar 7-Eleven and deposit that way.

Jeremy Enke:

So we have, I mean, not only just in the gaming space, but bill pay governments. I mean, we work across multiple verticals. We’ve really, in a lot of these other verticals from an electronic payment standpoint, really transformed a lot of industries with the simplicity of how payments are made. So what we’re doing now is, and this is part of the press release that came out is we’re bringing some of that transformation that we’ve done in these other verticals over to iGaming. So man, we’re super excited about it. A lot of the operators that we work with already or that we’ve talked with, the reception has just been amazing. I mean, we’ve been super busy. We’re very excited here.

Ryan Knuppel:

So explain a little bit about the features that you did add. I know you’re getting into Apple Pay and Google Pay and things of that nature. Explain a little bit what the press release talked about.

Jeremy Enke:

Yeah, for sure. So when you look at iGaming historically, especially in the US market, there’s really a handful of different methods that people use, the most popular methods. You’re looking at debit card, of course, debit credit, ACH, bank transfer. But then we’ve looked at some studies. And let’s just look at Apple Pay and Google Pay, for example. Like gen X, gen Z, millennials. I mean, a lot of this generation is coming up with their wallets in their phones and that’s how they’re used to paying.

Jeremy Enke:

Hey, guilty as charged. I just use Apple Pay the other night at a store. One of the things that really attracted me to PayNearMe, to be honest with you, Ryan is like, I looked at this company, I’m like, “Wow, these guys are innovative. They’ve got it figured out.” I’ve known PayNearMe forever for their cash stuff, just being in the industry. But when I saw what they were doing with electronic payments, I’m like, “This is going to be good.”

Jeremy Enke:

Just to give you an example from my side of the world on the payment processing side now, it’s a very… I’m trying to think of the right word. It’s kind of a segmented business, right? A lot of operators will say, “Well, we’re going to use this company for debit. We’re going to use this company for credit. We’re going to use this company for ACH. Of course, PayNearMe for cash.”

Jeremy Enke:

What happens from an operator standpoint is they have so many different integrations coming into the cashier that oftentimes will affect the player journey or the player experience. I mean, I tried to deposit somewhere that I won’t name, but Illinois, a couple of weeks ago. I was like, I want to rip my hair off.

Ryan Knuppel:

I can guess, but I won’t.

Jeremy Enke:

Yeah, we can talk after the podcast. It was just not a good experience from a player standpoint. We look at that like holistically PayNearMe, we say, “Well, how can we fix the situation for operator? So what we’re doing is saying, “Hey, we’re a merchant of record. We’re a licensed money transmitter in every state.” So we actually have the ability to take all the payment processing methods and really put them under one roof, into one simple integration, and not to get technical, but into one API for any of the operators that are out there potentially listening. I know you’ve got quite the listenership on this show.

Jeremy Enke:

But just to make it simple for the operators, but more importantly for the players. Because at the end of the day, as an operator a wise man once told me back when we were youngins, from Partypoker, actually, the CEO was like, sat me down. I was young and green. He’s like, “Jeremy, listen. It doesn’t matter if your players sells an affiliate at the time. If your players are playing poker, casino sports, it doesn’t matter. Forget about it. All they need to do is get money out of the site and get money off of the site, and you’re going to be good.” That really stuck with me through the years because it’s so true. You know what I mean?

Ryan Knuppel:

Yeah.

Jeremy Enke:

If I’m going to bet the Cubs or bet the Bears, I just need to get money on the site and make sure I can get it off the site when it’s all set and done.

Ryan Knuppel:

Yeah. I mean, I think that’s one of the biggest fears people have in starting in gaming is the whole just unknown around payment processing. “How am I going to get money in and am I actually going to get it back?” So I love that you guys are trying to fix that and are fixing that, and actually bringing it into a new age. That’s refreshing to hear from a gaming dinosaur like myself that has seen so many struggles in this area throughout the years to hear that you guys are really addressing that. And in some of the newer areas just makes me happy. Now, we just need Florida legalized so I can actually take advantage of it some this.

Jeremy Enke:

I think I was just reading the other day, what do they want to do like a constitutional amendment or something in Florida? I don’t know.

Ryan Knuppel:

Yeah.

Jeremy Enke:

It’s something crazy.

Ryan Knuppel:

It’s still a mess, but it’ll come sooner or later here.

Jeremy Enke:

Yeah, you’ll get there. But just to speak on the Apple Pay, Google Pay, the thing that I find really intriguing just as somebody who’s been in the business and actually plays, is that we take it for granted as guys that have been betting online for years that of course, I’m going to put my debit card, my credit card in. But a lot of people that are new to the space, I mean, that’s a scary proposition to say, “Hey, put your debit and credit card into this gaming operator,” when you’ve also had to share the last four digits of your social for KYC.

Jeremy Enke:

However, they look at Apple or Google Pay is more of like, whether it’s safe or not. I mean, that’s whatever. That’s arguable. But the perception of it is that, okay, well, this is already in my wallet. It’s tokenized, it’s secure. I use it all over the town. I use it all over the place. So it really gives players more of a sense of just a sense of security with that.

Jeremy Enke:

There’s another thing that we’re rolling out in addition to the Apple or Google Pay, which I think… Well, I shouldn’t say I think. I know what’s intriguing to players is there’s nothing more frustrating than withdrawing and then for the next two or three days sitting in front of your account to see if your money’s there.

Jeremy Enke:

One of the things that we have available to us now is push the debit withdrawals, which is a really cool withdrawal method, payout method, which essentially, let’s say that you deposited with your debit card and you get to Sunday night, you’ve won a bunch of money or whatever. You just want to get your money off the site. You can do a push to debit withdrawal, and essentially have your money instantly. I mean, certainly it still has to go through the operators procedures.

Ryan Knuppel:

Sure. Front and center.

Jeremy Enke:

Yeah. They’re processing to make sure you’re good to go. But it’s just a much simpler, faster and easy way for players that… Well, I mean, there’s no question that players are going to love it.

Ryan Knuppel:

Oh, yeah. Yes. Faster, the better. And in our terms, “Get me the money. It’s my money. Get it to me.” Right? So that’s a good thing. Awesome. So tell me a little bit about, you’ve mentioned working with operators and we both know how the US is really, I’ll just use the word exploding, right? You’re starting to explode state by state and a lot of operators coming on board. Tell me about some of the operators you’re currently working with and you guys are already closing with?

Jeremy Enke:

Yeah. I mean, geez, these are [inaudible 00:08:40].

Ryan Knuppel:

Well, that’s a good point. Maybe that’s not a fair question, if you guys are working with about everyone. But I mean, I know you’re working with some of the really big ones in the industry, like BetMGM’s and the William Hills, and FunDuels and some of those types of operators. So I just wanted to throw out some of those names because those are really big names in the industry, and it really adds to… I just want people to understand the credibility that you guys have as a business, because you are working with the top operators across the United States already.

Jeremy Enke:

Yeah. I mean, we work with FanDuel, BetMGM, Caesar’s, Golden Nuggets. As well as all the platform operators, because at the end of the day, as we all know platform operators, I mean, they have a part of the integration and everything else. So one of the things we really pride ourselves into is from electronic payments standpoint. Like I said, we’ve been in other verticals for several years and we have… This is crazy, but 100% retention rate.

Jeremy Enke:

When we bring customers on for our electronic payments, I mean, clearly we’re doing something right. They don’t leave because it’s such an easy and simple process. And it’s being very well-received in the gaming space with the operators that we are speaking with right now. As it should be. You know what I mean?

Jeremy Enke:

As this industry evolves in the US and gets bigger, there’s just a need to make things a simpler process, make it more cost-effective for operators and ultimately make it a better player experience and player journey.

Ryan Knuppel:

Now, I’m going to ask a question and this may put you on the spot or this may… I don’t really know if this is a good question or not, but I’m curious because one of the biggest things with iGaming and payments and the future of all of this seems to be in the crypto space. There’s some crypto, all this crypto talk of, “Oh, can I deposit and get money out?” Are you guys in that space at all, or is PayNearMe completely not working in the crypto space?

Jeremy Enke:

So as it stands right now, we’re not working in the crypto space. Now, does that mean we’ll never work in the crypto space? I don’t know. I mean, I think the biggest issue with crypto right now is when you look at the regulations and the legislation. It’s different in each state. When we get licensed in a state or when we bring an operator into a new state, they have to get approved through all the card networks, through the regulation.

Jeremy Enke:

I think some states will be okay, but I also think there’s a lot of trepidation and misunderstanding when it comes to the crypto space when it comes to regulators, for example. So I would say you take Apple Pay and Google Pay. I mean, we’re a very forward-looking company. So four months ago, we actually proactively reached out to Apple and Google and said, “Hey, we want to get you guys on board.”

Jeremy Enke:

I mean, they’re super excited, but as you can imagine, both Apple and Google are pretty particular about user flows and how their logos are displayed. But to get back to the point on crypto, I mean, that’s definitely something that we would be interested in. I mean, any payment method that appears to be popular, we would be interested in. I mean, there’s a lot of stuff on our roadmap that we’re looking at.

Ryan Knuppel:

Yeah. Being a forward looking company like you guys are, I assumed that was probably… At least there’s discussions going on within the company about that space and just gaming and all of that kind of seemed to fit hand in hand. I know a lot of the places are starting to turn to that. It’s going to be big. We’re not going to be able to deny crypto is here over the next five to 10 years, and so it’ll be fun to see where you guys go with that and how you guys integrate some of that into what you guys do as well.

Jeremy Enke:

Well, I think even more so, it’s just fun to see how the industry goes with it. I mean, because there’s no question. I think operators would love to offer crypto if they could. It’s just a matter of getting regulators comfortable with it, if you will.

Ryan Knuppel:

Yeah, cool. So what else is new? What else is on the forefront? Anything else that you guys are looking at besides this press release? I’m sure there’s anything else you can talk about or what else is on your mind before we… I know you’re a busy man. I don’t want to keep you on here forever.

Jeremy Enke:

Sure. No problem.

Ryan Knuppel:

What else is on your mind here regarding payments? Anything else?

Jeremy Enke:

It’s really cool for me. I mean, being in the industry for so long and always knowing that the whole industry evolves around payments. It doesn’t necessarily revolve around where you bet on the Cubs game, you can bet on them anywhere. It’s been awesome experience for me. It’s fascinating. PayNearMe is truly… It’s an amazing company. I’ll just preface this too, for your listeners. If anybody out there in the iGaming industry or just in the payment space in general is looking for a great place to work, we are expanding massively right now.

Ryan Knuppel:

Cool.

Jeremy Enke:

Which is a good problem to have. That’s a really good problem to have. Visit our website at paynearme.com and look at the opportunities. It’s just amazing.

Ryan Knuppel:

That’s cool.

Jeremy Enke:

That’s all I can say about that. I mean, look, man. As the industry evolves here over the next year, over the next few years, PayNearMe is going to be at the forefront in terms of transforming it and how both operators think of payment processing in the industry, as well as how simple it is for players to get money to on and off the sites.

Ryan Knuppel:

Cool. And guess what, we’re coming up to a time period where there’s going to be some massive payment processing going on just simply because March Madness is the time. I mean, as March Madness comes, holy moly, there’s a massive amount of betting and gaming that’ll be happening.

Jeremy Enke:

Ryan, are you speaking personally or are you speaking from the industry?

Ryan Knuppel:

No. Well, both. My transactions may go up, but yeah, I’m talking just across the industry. We all know and love March Madness and it’s going to be a big time coming up here in March. It’s kind of going to be different with them playing like in a bubble, but whatever. They’ll still play basketball, we’ll still watch, and we’ll all still enjoy it.

Jeremy Enke:

Yeah. We’ll take it, right?

Ryan Knuppel:

Yeah. And then of course baseball coming up. Then we get down to football. Sports just never ends, man. So it’s great. It’s good stuff.

Jeremy Enke:

Good, good.

Ryan Knuppel:

Well, Jeremy, I really appreciate you being here. If anybody wanted to reach out to you personally, can they get ahold of you somewhere on LinkedIn or anywhere like that? Where is it best to get a hold of you?

Jeremy Enke:

Yeah. Really, you can find me on LinkedIn or just on the PayNearMe website, contact us and that’ll certainly get to me.

Ryan Knuppel:

Yeah. I mean like Jeremy said, if you guys are listening and tuning in and want to know more about PayNearMe, head out to their website, check out everything they have out there. Potentially some job opportunities. Maybe we can play matchmaker, gets you guys hooked up with Jeremy and his team and work for a great company like they are. So that’s amazing. Well, Jeremy, I appreciate you being here. Any last words? Anything else?

Jeremy Enke:

[crosstalk 00:15:09]

Ryan Knuppel:

Go Cubs? I knew you were going to do it.

Jeremy Enke:

[inaudible 00:15:11] Ryan. I got to do this to you, man. Go Cubs go. It’s all good.

Ryan Knuppel:

I was going to say there’s way too much Cub in your background. We’ve got Cubs there. We got the scoreboard. We’ve got all of the above. So it’s going to be a fun baseball season.

Jeremy Enke:

It is.

Ryan Knuppel:

I’ll say go Cardinals right back at you.

Jeremy Enke:

Awesome, Ryan.

Ryan Knuppel:

I wore my Cardinal red for you today.

Jeremy Enke:

That’s great.

Ryan Knuppel:

All right, Jeremy. Thank you.

Jeremy Enke:

Cool.

Ryan Knuppel:

Thanks listeners for tuning in. Appreciate it. This was Jeremy Enke with PayNearMe. We also have some show notes and we’ll put the press release up and kind of get all this out there, so you guys don’t have to remember everything. You can read it and get all the links for yourself. So I appreciate everybody tuning in. Until next time. Stay safe. And we’ll talk to you soon. Bye-bye. Thanks, Jeremy.

Jeremy Enke:

Yep. Thank you.