OKTO

History and Founding

OKTO Payments was founded in 2018 by a team of experienced payments and gaming professionals. The company was established with the mission to create a unified digital payment ecosystem for the gambling industry, addressing the fragmentation caused by multiple payment methods. Initially focusing on the European market, OKTO quickly gained traction by offering a cash-to-digital solution that appealed to players who preferred anonymity and operators needing to manage high-risk transactions. The company’s early adoption of open banking and digital wallet technologies allowed it to differentiate itself from traditional e-wallets and bank transfers.

Business Model

OKTO generates revenue primarily through transaction fees charged to operators for deposit and withdrawal processing. The company also earns from voucher issuance and redemption fees on its OKTO.Cash product. Its business model is built on providing a white-label payment platform that integrates seamlessly with iGaming backends, reducing friction for operators. OKTO does not offer direct consumer-facing banking; instead, it operates as a business-to-business (B2B) infrastructure provider. The company also offers risk management and fraud detection services as part of its package.

Core Products

OKTO.Wallet: A digital wallet that allows players to deposit, play, and withdraw funds instantly from online gambling sites. It supports multiple funding sources including credit cards, bank transfers, and local payment methods. The wallet is integrated with over 200 operators. OKTO.Cash: A voucher-based system that lets players purchase a voucher at retail outlets (e.g., convenience stores) and use the code online, bridging the gap between cash and digital. This is particularly popular in markets with low credit card penetration. OKTO.Switch: A payment routing and optimization engine that helps operators automatically select the most cost-effective and successful payment method for each transaction, improving conversion rates.

Market Position and Competitors

OKTO competes with other iGaming payment processors such as MuchBetter, Paysafecard, Skrill, and Neteller. Its strength lies in its focus on high-risk merchant accounts and its ability to integrate with local payment methods across Europe. The company is particularly strong in Greece, Cyprus, and the Balkans, but has expanded into the UK and other regulated markets. OKTO’s OKTO.Cash voucher system is a direct competitor to Paysafecard, offering similar anonymity but with a more modern digital wallet backbone.

Licensing and Regulation

OKTO holds a Payment Institution license from the Central Bank of Cyprus, enabling it to operate across the European Economic Area. For the gambling sector, it is licensed by the Malta Gaming Authority (MGA) as a gaming supplier and by the UK Gambling Commission (UKGC) as a payment service provider. This regulatory footprint allows it to serve operators in two of the largest regulated markets. The company also complies with AML and KYC regulations, and its systems are audited by third-party security firms.

Partnerships and Clients

OKTO has partnered with major iGaming platforms such as SoftSwiss, EveryMatrix, and Playtech, as well as individual operators like Bet365, Mr Green, and LeoVegas. It also works with retail networks to distribute OKTO.Cash vouchers, including partnerships with Post Offices and retail chains in Eastern Europe. The company has not publicly disclosed M&A activity, but it has received investment from private equity sources to fuel growth. In 2023, OKTO expanded its presence in Latin America, signing agreements with operators in Brazil and Argentina.

Recent Developments

In 2024, OKTO launched a new white-label digital wallet solution for smaller operators, lowering the barrier to entry for startups. The company also introduced biometric authentication for its wallet app, enhancing security. Despite competition from established players, OKTO’s focus on cash-to-digital and its multi-licensed status positions it well for continued expansion in regulated markets.