Online Gambling is any form of gambling conducted on the internet, including virtual poker, casinos and sports betting. The first online gambling venue opened to the public was ticketing for the Liechtenstein International Lottery in October 1994.
How Online Gambling Works
All casino, poker room and sportsbook websites use software that enables players to place wagers on games and other events. Some of these sites also allow players to play for free. However, to win real money, you have to make a deposit.
Why Online Gambling is a Pain Point for Operators
Fraud is a major concern for online casinos, poker rooms and betting sites, and it can have a negative impact on their revenue. This is mainly due to the amount of chargebacks they have to deal with.
It can also affect their ability to accept credit cards, which could lead to blacklisting by issuing banks and prevent them from accepting further payments. It can also lead to fines and jail time for fraudsters.
Getting to Know Your Customers
Online gambling sites and poker rooms have an array of customer data points that can be used for fraud. These include email addresses, phone numbers and address information. These can be hacked and phished, and they can be used to identify fraudulent users.
How To Prevent Gambling Fraud
The best way to prevent gambling fraud is to have a strong, comprehensive identity verification process in place. This will ensure that all new players are vetted for any existing and potential risk factors, such as identity theft. This will reduce the risk of losing a valuable player and also help you avoid costly fines.