Why do casinos require users to verify their identity through a KYC policy? - page 4.

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Quote from: SmartGold01 on May 04, 2024, 11:37:36 AM

Kyc is very important especially when gambling on the centralized gambling platform and like I do, I encourages people to pass kyc before even depositing any funds if that site requires kyc to avoid account limitation. On a norm not everyone who loves revealing their identity and to adhered to their AML bettors needs to pass kyc when the system suspect a high amount in a particular account, most times some of them don't mind freezing the account on till its passes personal document verification, most of the casino uses that medium to seize people fund if they weren't able to complete their verifications.

Not every casino provides a feature to carry out KYC, some even refuse their users to do a KYC since the beginning.
And usually users are only allowed to carry out the basic KYC, the casino will ask and has the right to ask for the advanced level if necessary.
So in my opinion, its useless to do KYC at the beginning and after doing KYC it doesnt mean that we have been whitelisted.

blckhawk

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Here's some of the reasons that I can think of:

They might be preventing the use of multiple accounts which can lead to the abuse of bonuses and privileges, casinos are dealing with money after all, it's a bad idea to not be a vigilant business owner for something like this.
This should've been the first because this is the biggest reason but I'm half drunk right now, they do KYC to prevent potential money laundering being committed in their website/casino, after all when they don't prevent it, they're going to be the one that's going to be squished in the middle during the prosecution. Launderers use mules to fake bets and gamble a little and then bring out the money that's left to make it look like you've quit gambling on your first, second, or third gamble and once they let it through that, they're going to consider it as a clean money.

There's probably more that I've never mentioned but this two are the major ones that came at the top of my head reading at this thread.

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Quote from: Frankolala on May 04, 2024, 07:04:06 AM

I think it all boils down to the aspect of cheating, as it avoids abuse of casino account.

Do you mean cheating or a suspicion of cheating? I think that the casino has to first suspect that there is a fowl play going on with a user account and then would restrict the account why they request for KYC before they make a final conclusion that indeed cheating happened.

Quote from: Fivestar4everMVP on May 04, 2024, 07:13:50 AM

Anyways, from or based on my own understanding, I won't say there is no reason, but then, there is no definite reason aside from the fact that it more like a preventive measures issues by the government and passed down to centralized organizations that deal in money between them and their customers, kyc is a way the casino identify with their users, and also keep track of their financial records on the platform, this helps incase the user commits any financial crime, he or she will be able easy to identify and go after by the government.
This is what I can think of for now.

Yeah, the reason why casinos require users to submit KYC for verification is no different from why centralized exchanges and other banks apps or other companies that offer some kind of financial services do too. If the account user is caught cheating or flouting the casino rules, their accounts will be banned. If they are caught breaking the rules of country like laundering, their details will be submitted to INTERPOL, EUROPOL or other security agencies.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

Casinos request for KYC with different reasons, to prevent underage gamblers, to prevent multiple accounts and cheating, for the sake of money laundering cases, to enable their customers have access to all the futures of the casinos. Some of those people that are involving in money laundering are seeking for any means to clean the money and they can use casinos to clean the money but if it is a casinos that request for KYC, it will be difficult for those thiefs to clean the money because they will surely need to pass KYC and their identity will be captured. That's the major reason for KYC requirements that I know.

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Kyc is very important especially when gambling on the centralized gambling platform and like I do, I encourages people to pass kyc before even depositing any funds if that site requires kyc to avoid account limitation. On a norm not everyone who loves revealing their identity and to adhered to their AML bettors needs to pass kyc when the system suspect a high amount in a particular account, most times some of them don't mind freezing the account on till its passes personal document verification, most of the casino uses that medium to seize people fund if they weren't able to complete their verifications.

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Quote from: Yatsan on May 04, 2024, 10:14:13 AM

Fortunately, I haven't had any negative experience from complying so maybe it still depends on the platforms you engage yourself with.

I don't have any experience with casino platforms for KYC issues, but I've seen some services that I used fall for database attacks. I don't think any platform is truly immune to this, so the only way to decrease the risk is to avoid KYC if possible. I don't think my opinion will change unless we can verify how a company manages their user data, since some of them were found to do some terrible security practices even though they're a big company. It makes me wonder why the government doesn't enforce or give sentences to any company that has terrible database security, which should improve how a company protects customers' data a little bit.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

I believe it is about people who cheat to me more reluctant on giving their personal information and identity documents to a casino (assuming we are talking about someone who is actually cheating).
The best case scenario in the eyes of someone who tries to cheat a casino is to do so and do not catch the attention of the staff of such casino, so they can allow the funds in their account for sometime before trying to get them off the casino into the Blockchain.
It is an standard for casinos to ask for personal documents as soon as they suspect there is something fishy going on, so just to make sure they are not dealing which someone who is not supposed to gamble, they ask for KYC.

That is besides the obvious reasons concerning Anti Money Laundering.

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Quote from: Davidvictorson on May 04, 2024, 06:51:35 AM

Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

In addition to what Oshosondy has said, when casinos requests for KYC, they do it as a standard procedure in compliance in Anti- money laundering regulations. Secondly they want to check that the player is in compliance that is , the player is not visiting their website from prohibited countries.

Yeah exactly. As we all know that the casinos some of them if not most comply with regulations that is why it is required for them to undergo KYC with their users. There are actually a lot of things that users must comply to be able to be eligible playing within the platform though a lot of gamblers see this as a disadvantage to them if they value privacy but yeah that is what it is they comply then we all comply.

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Have been discussed a couple of times actually. One is for extra security; familiar with instances accounts were being stolen and funds were being withdrawn without actual owner's consent. Another is accessibility to minor individuals or people who are below 18 years old and below. Although in some platforms IDs are being tampered which is one of the limitation of KYC, well at least instances are somehow lessen. Last I guess is with money laundering which is basically against the law. I do understand that some people are against this procedure because they are worried that their identity might be used to illegal activities. Fortunately, I haven't had any negative experience from complying so maybe it still depends on the platforms you engage yourself with.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

Most casinos offer generous bonuses to gamblers and this can be abused. Bonus abuse is one of the reasons why casinos ask for KYC. Some gamblers use multiple accounts to get these benefits from casinos meanwhile these bonuses are designed for individuals and not for accounts. Creating different accounts to take advantage of these bonuses is against the ToS, therefore the casino can ask for KYC to verify the account of gamblers. This

Quote from: Fivestar4everMVP on May 04, 2024, 08:17:08 AM

And you also will agree that kyc have not stopped minors from gambling, many online casinos are still serving minors without knowing, even when they ask the minor to kyc, he or she still can used the document of his or her older relative or friend to pass the kyc verification.

Anyways, thanks for bringing such an interesting discussion to the forum this beautiful Saturday. 😎

KYC requirements might have totally stopped underage gambling but it has placed some level of restrictions. This practice has reduced underage gambling to a large extent. Even when these young lads use the KYC of their elder siblings, a higher level of KYC will expose their real age. Any person who intentionally gives his younger siblings his document to pass KYC deserves to be sanctioned.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

If the casino suspect anything is unusual then they have all the right to seek the verification of KYC documents even if the user did it earlier. And it will be helpful to avoid one who abuses the bonuses via multi-account but it's on the lowe tier compared to identifying people who use the platform to launder the money by depositing and wager with the least possible risk and then withdraw the money in such cases the users will be required to provide a source of funds as well.

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Quote from: KTChampions on May 04, 2024, 08:23:51 AM

The casino asks you to complete the KYC in the following cases:

1.) If you are suspected of having many accounts and you are a bonus hunter.

2.) You use the casino as a mixer without actually engaging in gambling.

3.) Suspicion that you topped up your account with stolen money.

4.) If you win big and request a withdrawal of funds, then in order to avoid problems with the AML policy (sometimes to delay or refuse payment), the casino asks for the KYC.

Another reason that I think makes casinos to require users to verify their identity through the KYC method is still to prevent underage people from gambling on their platform because by law they are some particular documents when issued that will clearly state the age a person is, as well as a passport photograph of the person which should match facial verification. These things are difficult for underage people to fake hence can be discouraging to those who wish to try gambling from an unqualified age.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

It's not specifically for cheating necessarily. It may just be a due process whenever withdrawal happens since KYC was mainly made to prevent Money laundering from happening through casinos. At least, that's the main reason for the creation of KYC afaik. There may also be plus sides for the casino, e.g. customer profiling and data statistics and stuff that they can use to improve the marketing of their services towards places that have less users compared the ones that have more.

If it was cheating specifically, to hell be about KYC, they'd just straight up ban both the account and the IP of the user imo.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

Cheating covers a wide and broad range of topics that a person may be suspected. It covers all forms of cheating, such as using third-party programs, providing false information, etc.

Now, if an online gambling casino suspects that a certain account is cheating, submitting KYC documents is necessary to know if it validates the form of cheating in which the account was suspected of using. For example, if the online gambling casino sees from his IP address that he is using VPNs, which is exclusively listed as illegal to use on their ToS, submitting their KYC documents can verify on where that person is staying.

At the end of the day, it is definitely within the discretion of the online gambling company to require KYC to their customers. Not only does this imply good faith on the part of the person, it also means that they are willing to comply with all the said requirements that they require.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

Why do casinos require users to verify their identity through a KYC policy?

My understanding and as far as I know, each online casino has its own background and rules, the KYC process for some casinos is mandatory and some don't care about it, the understanding of KYC varies greatly, depending on the casino itself.

In general, I know for this reason: No, It's Not Okay to Create Multiple Accounts At An Online Casino!, why should casinos require identity verification, if you want to know you can see the reasons there 👆
Common reasons why KYC verification is mandatory for online casinos.

Quote

The truth is that registering for a duplicate account is really easy, and because modern gamblers have very little patience when it comes to filling in endless sign-up pages, online casinos have simplified this process tremendously. Even though you’re technically able to open a second or third account relatively easily, keep in mind however that this is still considered fraud.

There’s also the fact that you’re going to be required to verify your account at some point, especially if you happen to hit a substantial win and request a withdrawal. Your proof of ID needs to match the same details you used when signing up if you ever want to see any of those winnings.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

Enforcing KYC on suspicion of cheating maybe uesful when the cheat is around referral or taking deposit bonuses or contest prizes. Most of the casino forbids multiple account and KYC might make it difficult for the cheater to verify the accounts he/she is using are linked to different people. They might also want to get KYC to blanket ban the person in future and in worse case scenario, go through legal actions. KYC on the other hand have multiple uses. KYC standards were actually enforced to restrict money laundering and any place people may use to launder that money are legally required to ask for KYC.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

Anytime this kind of rule is been stated on their terms and conditions on which on the time that they would really be asking some KYC.

1. User violation
2. Deposit/Withdrawal Threshold

On the time that you would really be able to hit up these lines then you would really be asked out about into such information. Most like this would be applied into those
who make out some violations on multi-accounting on which on the time that they do get caught then the team or admin will surely be asking for some verification.
If it cant be proven out then for sure it would really be locking up the funds as per terms and conditions been stated and been agreed upon earlier.

As a non cheater gambler then most likely you would be facing up these KYC on the time that you do hit up some threshold on which this is something
that will really be your main problem if you do really value privacy that much.

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Do you want to hear a wild guess? the casino ask KYC without any reason, they want to collect KYC from active gamblers and sell the data to other people. Roll Eyes

There's no valid answer, different casino will give different reason. They can use this "KYC problem" to have a time before they allow your withdrawal, it could be they don't have enough bankroll, they want to confiscate your funds by let you waiting too long until you give up etc.

Quote from: freedomgo on May 04, 2024, 07:49:31 AM

You dig to far with your wild imagination I like that, but the very simple answer for KYC requirement is to ensure that they are not serving a minor.

And it's easy to dodge, the minor just need to use his big brother or parents identity instead.

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Casinos often do this to make sure that the account owner is a true person and that they are not involved in multiple accounting that takes advantage of bonuses and referrals. As to it being related to cheating, they're probably checking common databases to see if the person in question has been involved in similar activities before. It also kind of 'deters' the user to do stop whatever illegal activities are they using because the platform knows their identity, which makes it easier for them to call the authorities and raise the proper report.

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Quote from: freedomgo on May 04, 2024, 06:38:56 AM

I've read a lot of comments in this board stating that a user is required to undergo KYC if their account is suspected of cheating. Can anyone explain how it is necessary related to the subject? A detailed explanation would be better, but everyone's ideas are welcome, as I believe it's worth discussing so gamblers will not be misled regarding this matter, which pops up from time to time.

The casino asks you to complete the KYC in the following cases:

1.) If you are suspected of having many accounts and you are a bonus hunter.

2.) You use the casino as a mixer without actually engaging in gambling.

3.) Suspicion that you topped up your account with stolen money.

4.) If you win big and request a withdrawal of funds, then in order to avoid problems with the AML policy (sometimes to delay or refuse payment), the casino asks for the KYC.

As far as I know, these are the main reasons. Perhaps other ToS violations also lead to a request for KYC, but they are more rare.

Topic: Why do casinos require users to verify their identity through a KYC policy? - page 4. (Read 651 times)