Why Identity Verification, or KYC, Matters at Online Casinos

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BetMGM Dec 05, 2022, 10:56 AM

The rise in the popularity of online gambling has been nothing short of phenomenal – with good reason. Online casino games are fun to play, they’re easily accessible across devices and there’s an almost endless variety to choose from. There’s been a huge increase in the number of individuals engaged in recreational online gambling and an industry that attracts several billion dollars in revenue over the last few years. Unfortunately, the surging popularity of online casinos has caught the attention of fraudsters, cybercriminals and even organized crime syndicates.

Casinos need to keep their game sites safe from cyberattacks so that their customers’ personal information and onsite money transfers are protected from fraudsters. One of the most effective lines of defense casinos have against scammers and criminals is that of confirming each customer’s identity and establishing whether or not they can safely be given access to a casino’s products and tools. Let’s find out more about the process called Know Your Customer (KYC), as well as the casino KYC requirements you can expect to come across.

Working together for good

In the old days, a brick-and-mortar casino would have a couple of burly guys hanging out at the door. They’d get to know the troublemakers in the neighborhood and bar them from getting access to the casino or eject anyone who wasn’t on their best behavior.

These days, a casino’s “neighborhood” can consist of millions of people in several countries. This makes it incredibly hard to root out the dangers and keep legitimate customers safe while they play online slots or enjoy their favorite casino table games. Hard, yes, but not impossible.

An increasing number of businesses in the gambling industry and most other sectors that require money to change hands are part of a global Know Your Customer and Anti-Money Laundering initiative. In the last 20 years, 189 countries have signed up to operate under strict regulations that seek to counter the criminal efforts of international terrorists and fraudsters. Online gambling KYC protocols are an important part of this regulatory framework.

How KYC works

At the time of writing, the American Gaming Association (AMA) requires gaming ID verification. Every individual who wants to open a casino account is required to supply their full legal name, address and social security number. If they intend to play table games or online slot machines for real money, they must provide their official government ID and proof of a permanent address.

Once the necessary documents are received, casino gambling compliance staff check the information against third-party sources. In some cases, such a check could also include facial recognition software. If these initial checks throw up any suspicions, staff will then dive deeper. At this stage, they could ask for additional ID documents, like a driving license or passport. They may also check IP addresses and phone numbers. 

If a player signs in to their account using a different device or from another location, they might be asked to use a one-time-pin (OTP) which the casino will send to their mobile device or email address before they can log on. If a fraudster was trying to get into your account, it’s less likely they’d have access to your smartphone or email inbox.

Why is KYC so important?

There are four main reasons why casinos complete the KYC process before allowing you to go ahead and play slots online or any other type of gambling game.

Underage gambling

A legitimate casino like BetMGM has a strict policy about underage gambling and operates in a highly regulated environment in the US. KYC protocols that verifying an individual’s age is a major step in keeping children off of online gambling sites.

Problem gambling

Gaming operators have measures in place to identify, protect and support gambling addicts. If verification staff have any suspicions during the KYC process, they can conduct an affordability check, which can often identify players who may be at risk of gambling more than they can afford to.

Anti-money laundering

It’s estimated that about 5% of the US’s GDP (that’s between $800 billion and $2 trillion) is laundered money. By carrying out KYC procedures during the customer onboarding process, gambling companies can stop criminals who use their platforms to launder money.

Ensure a great gaming experience

Casinos know that most people who sign up to play casino games on their sites are honest, recreational gamblers. For this reason, they do all they can to create a balance between the best online gaming experience and keeping you safe from fraudsters by verifying your identity before you can play.

Cybercriminals are going to great lengths to keep up with the latest advances in technology. For this reason, the effort and finances that casinos invest in the KYC process will become increasingly important, both in terms of keeping you safe online and giving you an outstanding gaming experience. 

Play safely at BetMGM

We’ve touched on the main reasons why the KYC process is important to keep your money and identity safe from cybercriminals while playing online. Remember that there are many ways to ensure that you’re playing online safely and securely.

BetMGM is a verified online casino and adheres to strict KYC protocols so you can enjoy your online experience, whether that’s playing the best online slots or immersive live dealer games. 

You can register with peace of mind knowing BetMGM has taken the steps to protect your personal information and casino deposit.

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Our BetMGM editors and authors are casino experts with a wealth of knowledge of the online casino industry at all levels. Their coverage includes company news, game reviews, how-to instructional articles, strategy guides, and editorials showcasing BetMGM’s superior product and game library.

Our BetMGM editors and authors are casino experts with a wealth of knowledge of the online casino industry at all levels. Their coverage includes company news, game reviews, how-to instructional articles, strategy guides, and editorials showcasing BetMGM’s superior product and game library.