Online customers have a few steps to follow before placing their first wager at an online casino. The process referred to as Know Your Customer (KYC) may annoy some consumers, but studies reveal that most understand the importance of the process and prefer service providers who stick to it.

Safer gambling starts with a responsible, licensed operator, and these online casinos will always follow KYC protocols for increased player and platform security. If you have ever wondered why it is necessary to submit identity verification documents, we are here to explain the reasoning behind it and the process.

Forbes projects the online gambling industry could be worth $92.9 billion by next year, making it an extremely lucrative space for criminals. All the more reason for providers to double down on KYC processes.

 Identify Yourself

With more and more consumers flocking to online gambling platforms globally, it is paramount that providers ensure they know who gambles on their sites. KYC refers to a brief identification process that usually includes submitting documents to prove you are who you say you are. Because online casinos offer services linked to financial transactions, players need to know their information and accounts are secure and protected from hackers or bad actors.

Regulated gambling jurisdictions worldwide require impenetrable security from their licensed operators to enforce the highest level of consumer protection for honest players. Seeing that gambling is an age-restricted practice, all providers must establish the age of all players before granting access to their casino. This well-known practise is mostly accepted as land-based casinos do the same.

With online gambling and the expansive internet, remote casinos have a few more points to cover to verify the legitimacy of their new sign-ups. Uploading documents that contain highly sensitive information, like your address and ID, is an uncomfortable situation for most people. That is why it is so important to choose a trustworthy licensed casino. However, it is essential that platforms make the process as easy as possible.

Have a look at what you can expect with online casinos and how crypto casinos vary, if at all, from traditional fiat currency casinos.

 KYC at Fiat Online Casinos

Most licensed and regulated casinos may only request your proof of identification once, and regulators prefer this to be at the time of registration. Before you can deposit money to place a bet and play a game, you must submit the right documents for verification.

Online casinos that work with regular currency, fiat money, mostly use the same sign-up procedures. This relates to creating an account by selecting your profile user name and a secure, unique password. Once your profile is active, the site requests documents to verify your identity, including a copy of your ID, a valid proof of address, and verification of your contact details. All the information captured on your profile must match the data from the documents you submit.

Because KYC and anti-money laundering (AML) processes go hand-in-hand, online casinos have to confirm a source of income if deposits exceed specific amounts.

✓ ID Verification

Many casinos accept pdf uploads from new players, and sometimes, these documents must be verified manually. Acceptable means of identity verification around the world vary according to jurisdiction and from one continent to the next. Still, most companies accept a photocopy of your driver's licence, ID document, or passport.

Through personal details from these types of documents, providers can confirm that the new customer meets the age requirements of the region and that they are not on a blocked list. It is important to submit clear, legible copies to ensure swift processing and avoid frustration.

Modern providers may use AI technology in their KYC process, which requires users to take a selfie during registration. This speeds up the process tremendously and sometimes allows for immediate play.

✓ Address Verification

Are you wondering why they need to know where you live and how safe your private information is? Licensed online casinos must comply with stringent laws on security systems that include SSL Encryption. They must know where you live to confirm that you are from an accepted jurisdiction, or they could lose their licence. SSL Encryption keeps the data you send safe from your end to the operator's end. Essentially, it prevents hackers from stealing your information.

Address verification documents include the recent paperwork containing your name and full street address. Accepted versions may be utility accounts, lease agreements, bank statements, or credit accounts. Your selected online casino will describe what they accept as valid address confirmation. Top casinos always have customer support available if you get stuck.

✓ Verify Contact Information

These steps usually require no documents, only manual verification from the player's side. When remote casinos verify your telephone number, they typically send a unique code to your phone. You need to enter this code before moving forward with registration. This process quickly and easily links your number to your profile.

Email verification happens similarly where the operator will send a registration alert to the email captured during sign up. Users have to confirm their email addresses via the email received from the casino platform. Some online casinos ask players to set up security questions. These come in handy when players forget their passwords.

Always pick questions and answers that only you know and can remember to prevent breaches and disappointment in the future.

Combining these documents and verification steps helps companies protect players from identity theft. Most top online gambling platforms take 24 hours to process the verification documents, but if there is a problem with the documents, it can take longer. A service agent from the company will reach out if there are issues.

 KYC with Crypto Casinos

Bitcoin casinos and other crypto casinos are rising in popularity as a new generation of gamblers emerges, and players notice certain advantages linked to Defi (decentralised finance). A significant benefit is the anonymity the blockchain currencies provide, and players may wonder why they must provide ID verification at crypto casinos.

As KYC has to do with money laundering prevention, counter-terrorism protocols, and the prevention of under-aged gambling, all casinos must confirm their player's identities. Another fact to consider is that cryptocurrencies provide anonymity through a decentralised ledger. So crypto has become more and more popular.

Therefore, players can expect similar requirements from crypto casinos to sign up. A major advantage of these platforms is the blockchain technology they use. To players, this means unsurpassed security.

 Advances in KYC Processing

The future of this important part of registering for online gambling contains innovations ranging between digital identities, AI, and the massive adoption of blockchain technology.

Europe continues to work on the proposal of a continent-wide digital identity to streamline and secure its citizens' online activities. A single digital e-ID means Europeans will have access to services throughout the continent's participating states without constantly submitting sensitive documents. They hope to have most member-states onboard by 2030.

Artificial Intelligence provides many advantages for KYC processing, including fast and accurate checks. Industry leaders in Fintech suggest providers utilise AI for basic checks. This allows their staff to focus on high-risk profiles or customers who have trouble registering. AI allows for an all-around happier customer with user-friendly experiences and saves a lot of time.

As mentioned, blockchain technology presents financial businesses like casinos with the advantage of unsurpassed security. This is because the technology relies on immutable ledgers made up of data blocks filled with nodes.

Before we get too technical, this basically means it is challenging to hack blockchains. If some brilliant fool manages to break in, the chain shuts down and notifies all relevant parties immediately.  

 Is it Safe?

You may still wonder how safe your private information is with an online casino platform. As mentioned, licensed operators must comply with strict security laws set out by regulators. These include SSL Encryption as well as highly sophisticated security systems.

Apart from what the operator does to keep your information secure, there are extra steps you can take to avoid a breach.

 Advanced Security Options

If the casino you chose offers the following advanced security options, use it for more peace of mind.

✓ Two-factor Authentication – This means that you will need to confirm it is you every time you sign in. You will receive a message either via your mobile or your email, which you must confirm before gaining access to your account.

✓ A Strong Password – A strong password has over 14 characters comprising upper and lowercase letters, numbers, and characters. It must not be a password you are currently using or have used before for any other account.

✓ Biometric Access – If the device you use most frequently to play supports it and the casino offers it, use this option.

 Phishing Scams

A common scam used by cybercriminals is phishing. Online casinos will never ask you to confirm banking passwords or pins online. They will not randomly change their banking details and email you about it.

Scammers who use this tactic mostly try to manipulate or intimidate and often use confusing processes to unsettle their victims.

If you feel uncertain about a call, email, or text message you received, call the provider directly and confirm whether they are looking for you. Above all, go with your gut. If you feel uncertain, request the information in writing and tell them you will read through the details.

 KYC for Your Safety

It may be one of the least favourite parts of gambling online, but KYC is essential to our security as players. If the casino you chose is a responsible provider with a licence from a reputable regulator, they will verify your details in the most efficient and pain-free way possible.