The digital space is fast evolving –and interestingly, fraudulent actors are upping their sophistication.
Regulators now require bookmakers to upgrade their scrutiny of new customers to ensure malicious individuals don’t take advantage of online betting for financial fraud.
One of the most common reasons why bookmakers will confirm your identity before offering you free bets (after opening an account) is to prevent money laundering.
By verifying the identity of their customers, bookmakers can be sure that the funds being deposited into betting accounts are not coming from illegal activity.
Another reason why bookmakers may request identity verification is to comply with government regulations. In some countries, it is required by law for gambling businesses to verify the identities of their customers.
This helps to protect both the customer and the bookmaker from potential fraud and legal problems.
Furthermore, bookmakers often ask for identity verification to ensure swift payments for the wins you make from your free bets or subsequent bets.
Through this process, sports bookies can facilitate the payment of the winnings of their users. Moreover, as a user, if you don’t submit your KYC details, you won’t be eligible to place a withdrawal because it’s a mandatory requirement in many sport betting organizations.
Bookmakers also request identity verification to verify that the user is of legal age to gamble. This is particularly important if the user is placing bets on sporting events that involve minors. Through the process of verifying the customer’s identity, the bookmakers can be sure that they are not breaking any laws by allowing a minor to place a bet.
By taking this simple procedure, bookmakers can help protect themselves and their customers from potential difficulties.