Those days are gone now where healthy activities and games take place. With the development of the technical era, digital gadgets and high-speed internet are experiencing many revolutions globally. This is the reason for millions and thousands of new players of all ages who are becoming part of online gaming. According to a report, it is recorded that 2.6 billion children are playing games online worldwide. The popularity of gaming is accumulating day by day, which is a basic reason that initiates gaming and money fraud. This is performed by stealing the identity of innocent users and using it for their own purpose. To combat such cybercriminals, online identity verification for online gaming is mandatory in which customers’ personal data and age is verified first before onboarding on a gaming site.
Frauds That are Initiated From Online Gaming
The use of Online gaming by every age group of people without any verification can give growth to multiple frauds and scams such as;
Multiple Fake Accounts
Fraudsters make several accounts on online gaming sites and use them for illegal activities. Those accounts are made up by adding fake credentials and are used for different plans. The only aim is to make one specific account winner and meanwhile making others lose the game. This scheme protects the scammer from the penalty and helps him to hide and proceed with their illicit acts.
Credit Card Scams
Credit card fraud is common and widely used globally, in which gamers use the credentials of another person for the transaction of money. Fraudulent use the information of another person by stealing credentials and use his money to pay in bets to charge the account. If the bank or a credit card company investigates or finds out the fraudulent transactions, then the businesses can face penalties and chargebacks.
Online gaming platforms are responsible for ensuring that their services are not to be used for the purpose of money laundering by criminals as it is easy for gamblers to launder money by these online gaming websites, which can hide their illegal funds.
How To Reduce Fraud in Online Gaming?
If an online business and gaming company is not taking proper measures for the security and verification of their clients, they are bound to pay heavy fines. For the prevention of such a situation, all authentic gaming sites and other digital businesses are using KYC regulations for proper verification of the end-users. This KYC compliance is helping out in age verification, document verification, face recognition ID verification, and AML screening for online gaming safety.
Face Recognition ID Verification
ID verification in online gaming is important, for that face recognition is also performed for the prevention of fraud cases. In this, a person is bound to show his government legal ID card on a webcam and a selfie. Then with the help of artificial intelligence in KYC software, face verification is performed. Which will detect the liveness of a person, observe fake images, examine the 3D depth and do the analysis of microexpressions.
Age verification is an important step for the authentication of an individual’s identity before onboarding him. This provides protection against underage customers like children who use their parent’s credit cards for online gaming. In this process, the client is bound to submit his date of birth and show his legal identity documents like ID card, passport, and driving license to the camera. These credentials are scanned and matched with the information provided by the end-user.
AML screening is also required for identity verification in online gaming to check the authentication of the persons who are interested in online gaming. This anti-money laundering compliance is playing a vital role in verification in which prevents gaming websites that no can do money laundering through these online gaming platforms. It also helps to check an individual in the PEPs list, and his internal and external audits are also examined. Which, as a result, help to extract out all personalities who are politically exposed and have bad transaction history.
The verification documents of the end-user are also investigated; these are required for further identification. In this step, the client is bound to submit his personal information along with the scanned photo approved by the government. After that, the picture is cross-checked to see whether it is edited, tampered with, compressed, or altered. Moreover, the selfie of the customer is also required for further verification.
In a nutshell, it is known that age and identity verification solutions for online gaming are significant for the safety of fraud. This will stop underage gaming with the help of automated identity verification. It will also provide protection from anti-money laundering by AML screening and helps to raise the trust level of end-users.