The online gaming industry is quickly growing, offering everything from virtual roulette to horse racing. Fraudsters are increasingly attempting to open new accounts or access existing ones using forged identities or forged identification documents. Fraudsters often use these accounts to steal money from unsuspecting victims’ bank accounts before transferring it elsewhere. The situation could worsen as more people bet online on significant sports events like the Euros, Olympics, and Rugby World Cup. Other than fraudsters or criminals, minors are also participating in online gambling. This can be dangerous for their mental health and can put them in complicated situations. The online gaming industry must have a proper age verification system to avoid fraud and protect minors.
Age Verification System in the Gaming Industry
The number of people using online gaming and gambling services and apps is estimated to be over 1 billion. Online gamers spent more than $21.1 billion in the past year. The market volume is anticipated to reach $19,047 million by 2025. It’s easy to see why money launderers and other criminal groups are interested in online gaming. The gaming industry is still unregulated in many countries, making it a safe place for money laundering and illegal funding. The gaming and gambling sectors have shifted online in recent years. Since players can access online gaming from any location via the internet, the risk exposure of the platforms is significantly increased. An online age verification system is only one aspect that will assist digital gaming and gambling platforms in building trust with paying customers. Previously, digital platforms used a pop-up asking for a user’s birth date for age verification online. But now, businesses are confirming a user’s age for security reasons.
What are the Processes for Implementing an Age Verification System?
Companies use the age verification system to validate the user’s reliability. Gaming businesses implement it to minimize cheating and fraud in online gaming. The process of online age verification checks helps gaming platforms to comply with the latest industry laws. There are many ways to determine someone’s age online. Below are the multiple processes a business requires to verify the user’s age.
Obtaining Age Information from the User
The user is first asked to enter personal data like their full name and birthdate. Usually, experts ask for user information using a form the system provides.
Obtaining User Documentation for Authentication
New demanding gaming systems request the user’s legal documents or papers within 24 hours of receiving the user’s date of birth. The official documents include a national identity card or other legal documents about the user’s age.
Obtaining the Necessary Information
The given documents are processed online by the system after comparing the user input with the data gathered from the papers. Numerous businesses are using back-end online extraction techniques, including OCR.
Verify the User’s Age
After completing document identification and processing, the system verifies the user’s age. The biometric age verification system compares the game’s eligibility conditions against the user’s confirmed age. This check is an essential aspect of the KYP (Know Your Player) cycle, which is designed to keep the community safe from inappropriate material, particularly from minors. After passing the age verification check, the user can access the gaming environment, where many individuals may communicate and play online.
Identify Player Identity in the Gaming Industry
The gaming industry uses the latest gaming compliance to avoid theft and cheating. Most businesses additionally check their users’ identities against these compliance regulations. This is also a significant technique that offers a general picture of the audience participating in the game. The age verification check confirms players’ identities in various ways, such as how players interact with them digitally in-game. As new games provide opportunities to earn more exciting rewards, many fraudsters cheat in gaming to get them all. Users may win exciting prizes, whether in the form of in-game cash or real-world prizes.
The rise in internet usage and the ease of access to online casino gaming platforms propel the market forward. Due to the variety of customers and a large number of cross-border transactions, the global reach has made financial crimes easier to commit. Fraud and money laundering can have significant adverse economic effects if left unchecked. Online gaming is one of the most recent industries facing regulatory compliance. The potential loss of millions of dollars in online gaming and casino fraud is a real concern for businesses. Another significant issue is the participation of minors in online gambling. A robust age verification system is needed to stop fraud and the participation of kids in online gaming and gambling. Many companies are investing in stopping these frauds by implementing appropriate age checks.