Crypto Casinos vs money laundering.

[348Judah]

KYC is not enough for crypto casinos? Crypto casinos should check all its players source of funds?

I'm not siding with the casinos on this, but that's probably what the regulators and authorities are asking them to do. Similar to how banks ask you for a statement about the source of funds when you want to deposit or withdraw a large sum of money. Only thing that I find unfair about casinos is that they do not ask for this information when making deposits or when registering, but when withdrawing money after winning. So basically, people that move large sums of money into the casino are not being asked to do this, but people that just won a moderate amount of money are.

When has the casinos turn to AML agency or government personell that has the institutions of banks KYC in there mandates, as a matter of fact an average seriously minded casino should not demand for KYC because it will chase gamblers away from them, are they government, if we needed KYC then the ones experienced from banks were enough and not in gambling again, it enough, crypto gamblings are not the initiators of money laundering, this is what has been in place right from history of time,

[Viscore]

Let's be honest, money laundering is the best thing that can happen to a casino and there is where most of high rollers comes from. I have seen some rollers in the past that runs some huge scams and then go to the casinos to play with the scammed money and with that justify where they get the money from after hitting some huge wins.

Nowadays most casinos has KYC, but i don't think that is enough to stop the money laundering, what casinos should do is to investigate the source of the deposits to fight against this illegal activity, but that will not happen because is a win-win game from them.

So, what do you say, does crypto casinos really care about money laundering?

Of course they care but what they care the most are the profits that they will gained from their players. Building casinos are big time businesses, so if there are high rollers coming in, that means huge profits for the casinos. Although there may be some suspicious acts particularly for high bettors, but KYC is never enough to trace illegal money transactions. There should be high surveillance placed in casinos so that people involved in money laundering will be easily caught and arrested.

[Oneandpure]

If transactions only on blockchain it will be difficult to detect whether money laundering or not, but if user has deposited funds into casino account then casino can restrict withdrawals or freeze funds before user verify KYC. if KYC only uses identity documents without selfies then it is not effective enough because it can still be manipulated from using fake data. However, even if casinos quibble KYC rules for safety factor but still not all gamblers will agree with strict KYC rules even to prevent AML on casino sites.

Sending trough blockchain could detected when assets sent to casino account or try to cash out by sending to exchange market, not reason selling huge bitcoin assets trough convert to another digital currency transaction like PayPal. But casino account can manipulated by using fake KYC because nowadays many channel group give service by selling casino account have been verified by document ID.

How smart rule for adapting with money laundering I think always have little way how to manipulated this transaction kinds, how ever not all gambler want to show their ID by uploading document on casino account website. Almost with casino gambling have been adapting with KYC need to submit with selfies after have use document ID like ID card or using passport.

[serjent05]

Let's be honest, money laundering is the best thing that can happen to a casino and there is where most of high rollers comes from. I have seen some rollers in the past that runs some huge scams and then go to the casinos to play with the scammed money and with that justify where they get the money from after hitting some huge wins.

Nowadays most casinos has KYC, but i don't think that is enough to stop the money laundering, what casinos should do is to investigate the source of the deposits to fight against this illegal activity, but that will not happen because is a win-win game from them.

So, what do you say, does crypto casinos really care about money laundering?

Of course they care but what they care the most are the profits that they will gained from their players. Building casinos are big time businesses, so if there are high rollers coming in, that means huge profits for the casinos. Although there may be some suspicious acts particularly for high bettors, but KYC is never enough to trace illegal money transactions. There should be high surveillance placed in casinos so that people involved in money laundering will be easily caught and arrested.

So it is the money that they care not about the money laundering thing.  A surveillance camera in an online casino?  How would that work?  If you are talking about land based casino, they have cctv everywhere so I don't think having no surveillance camera would be an issue.

Casino become concerned over KYC when the authority demanded them to implement the procedure but originally, I think Casino would love to avoid the implementation of KYC if possible because it shies away potential whales that value their privacy too much.

[BitcoinPanther]

KYC is not enough for crypto casinos? Crypto casinos should check all its players source of funds?

I'm not siding with the casinos on this, but that's probably what the regulators and authorities are asking them to do. Similar to how banks ask you for a statement about the source of funds when you want to deposit or withdraw a large sum of money. Only thing that I find unfair about casinos is that they do not ask for this information when making deposits or when registering, but when withdrawing money after winning. So basically, people that move large sums of money into the casino are not being asked to do this, but people that just won a moderate amount of money are.

When has the casinos turn to AML agency or government personell that has the institutions of banks KYC in there mandates, as a matter of fact an average seriously minded casino should not demand for KYC because it will chase gamblers away from them, are they government, if we needed KYC then the ones experienced from banks were enough and not in gambling again, it enough, crypto gamblings are not the initiators of money laundering, this is what has been in place right from history of time,

But a smart casino will definitely follow the government requirement of KYC implementation.  It is better to lose some players than being shutdown totally by the government authority.  As a Casino that wanted to have a smooth operation and labeled as legal company by the authority, they need to follow the authority rules.  We are not in an anarchy so the casino need to follow rules and regulation so that  they can operate with peace of mind.

[blockman]

I don't think authorities will shutdown a service easily but they will first check it if the service is following a protocol to avoid the money launders.

They can close it in an instant if there's a proper basis and court order. But for that first offense, they'll just give them a penalty and the establish has to pay for it.
They'll do an investigation and when it's proven, they'll have an assessment and basis on what action must be taken. The authorities won't just come and go without any evidence provided to these establishments without proper research and basis.

It is instant after the decree is issued but it will take some time depending on the severity of the crime.   Authority cannot shutdown a service easily unless proven guilty of the accused crime.  It takes process and often times when the attorney of the service provider is well versed with the system the process takes months to years before the decision is made.

Yes, that's what I'm saying and that's why there's a due process and proper procedure before they do that. It is out of law if they force closure without due process.
These businesses and establishments know also the law about it and that's why if there are authorities that have done it to them, they can sue them and put it properly in the court.

[samcrypto]

It is instant after the decree is issued but it will take some time depending on the severity of the crime.   Authority cannot shutdown a service easily unless proven guilty of the accused crime.  It takes process and often times when the attorney of the service provider is well versed with the system the process takes months to years before the decision is made.

Yes, that's what I'm saying and that's why there's a due process and proper procedure before they do that. It is out of law if they force closure without due process.
These businesses and establishments know also the law about it and that's why if there are authorities that have done it to them, they can sue them and put it properly in the court.

Having that pending case can already ruin the reputation of the site, either they ask for compensation if they won the case or totally close the business to save their reputation as a developer and make another business again that will follow the law this time. Money laundering is a big issue, gambling activities are already red flag to the government and that’s why many are strictly implementing the KYC system, or else they will face problem later on if the government intervene with their system.

[AicecreaME]

It is instant after the decree is issued but it will take some time depending on the severity of the crime.   Authority cannot shutdown a service easily unless proven guilty of the accused crime.  It takes process and often times when the attorney of the service provider is well versed with the system the process takes months to years before the decision is made.

Yes, that's what I'm saying and that's why there's a due process and proper procedure before they do that. It is out of law if they force closure without due process.
These businesses and establishments know also the law about it and that's why if there are authorities that have done it to them, they can sue them and put it properly in the court.

Having that pending case can already ruin the reputation of the site, either they ask for compensation if they won the case or totally close the business to save their reputation as a developer and make another business again that will follow the law this time. Money laundering is a big issue, gambling activities are already red flag to the government and that’s why many are strictly implementing the KYC system, or else they will face problem later on if the government intervene with their system.

I agree with this.

Serious cases such as being involved in money laundering is a huge red flag for a casino and even in different financial platforms because the government loathes such act since it is against the law and it is one of the main sources of corruption. If a casino is known to be tolerating incoming funds or deposits from their players that the source is unknown for or is already known illegal, they will really face several charges that can break their reputation and even put into halt their business operations.

The casino owners should know that they should abide by the law and not just when it's convenient to them. After all, the law can make or break their business. They might lose their license and they might even face several cases that has different levels of punishment and fine. This is the reason why most casinos now ask for KYC to avoid this kind of inconvenience on their part because their source of income will be at stake if it is proven that money laundering in being done in their website or application.

[Invester]

KYC is not enough for crypto casinos? Crypto casinos should check all its players source of funds?

I'm not siding with the casinos on this, but that's probably what the regulators and authorities are asking them to do. Similar to how banks ask you for a statement about the source of funds when you want to deposit or withdraw a large sum of money. Only thing that I find unfair about casinos is that they do not ask for this information when making deposits or when registering, but when withdrawing money after winning. So basically, people that move large sums of money into the casino are not being asked to do this, but people that just won a moderate amount of money are.

When has the casinos turn to AML agency or government personell that has the institutions of banks KYC in there mandates, as a matter of fact an average seriously minded casino should not demand for KYC because it will chase gamblers away from them, are they government, if we needed KYC then the ones experienced from banks were enough and not in gambling again, it enough, crypto gamblings are not the initiators of money laundering, this is what has been in place right from history of time,

But a smart casino will definitely follow the government requirement of KYC implementation.  It is better to lose some players than being shutdown totally by the government authority.  As a Casino that wanted to have a smooth operation and labeled as legal company by the authority, they need to follow the authority rules.  We are not in an anarchy so the casino need to follow rules and regulation so that  they can operate with peace of mind.

Casinos have no choice but to follow their government requirements especially KYC. And right, the same with the banks asking for KYC to avoid money laundering. These meant that all deposits that are not normal to their clients monthly and yearly income can cause a red alert on the casino or bank.

What I have seen is these online casinos KYC rules are to protect from international money laundering. What about local money laundering? Did any of us here experienced stiff KYC from our local land-based casinos?

[blockman]

It is instant after the decree is issued but it will take some time depending on the severity of the crime.   Authority cannot shutdown a service easily unless proven guilty of the accused crime.  It takes process and often times when the attorney of the service provider is well versed with the system the process takes months to years before the decision is made.

Yes, that's what I'm saying and that's why there's a due process and proper procedure before they do that. It is out of law if they force closure without due process.
These businesses and establishments know also the law about it and that's why if there are authorities that have done it to them, they can sue them and put it properly in the court.

Having that pending case can already ruin the reputation of the site, either they ask for compensation if they won the case or totally close the business to save their reputation as a developer and make another business again that will follow the law this time.

A pending case really gives that anxiety not just to the company but also to the players. But as long as it's not the verdict then, there's no need to think of it as a problem at all.

Money laundering is a big issue, gambling activities are already red flag to the government and that’s why many are strictly implementing the KYC system, or else they will face problem later on if the government intervene with their system.

Do not generalize this. Because if it's already a red flag to the government then we see no Vegas, we see no Macao and other gambling operators that are making business on a country.

[gunhell16]

Let's be honest, money laundering is the best thing that can happen to a casino and there is where most of high rollers comes from. I have seen some rollers in the past that runs some huge scams and then go to the casinos to play with the scammed money and with that justify where they get the money from after hitting some huge wins.

Nowadays most casinos has KYC, but i don't think that is enough to stop the money laundering, what casinos should do is to investigate the source of the deposits to fight against this illegal activity, but that will not happen because is a win-win game from them.

So, what do you say, does crypto casinos really care about money laundering?

I'm just asking you OP, I don't mean anything. You said you saw high rollers, right?
How did you say these high rollers were running some big scams, and you even knew that they played casino games to gamble with their hard-earned money? How did you know about this thing?

Second, it is also true that KYC is not enough to prevent money laundering in cryptocurrency, I think it will not be lost in the crypto business industry. Because it is anonymous, things like this will probably happen again and again for sure, But I hope it can be controlled somehow.

[Alisha-k]

Crypto Casinos are out for business. The big bag boys get the best vip threats from this casinos not minding where the bags are coming from. KYC most times are formalities or if it's been held serious its for low deposits but their vip clients are threated specially paying less attention to how this funds are gotten all the consider is big business deals. Many will say the follow government rules to me the rules only affect the poor

[Stakefast]

It’s a fact, most highrollers are indeed scammers running Ponzi scams or rugging tokens.

[BitcoinPanther]

I'm just asking you OP, I don't mean anything. You said you saw high rollers, right?
How did you say these high rollers were running some big scams, and you even knew that they played casino games to gamble with their hard-earned money? How did you know about this thing?

I may not be the OP but I don't mind answering your question.  If you google gambling crimes then put tags on money laundering, you can find news about CEO or founder of some scam company and its gambling activity. It is an easy search actually, just some typing and a click of a mouse  and many information will be listed on your search screen.

Second, it is also true that KYC is not enough to prevent money laundering in cryptocurrency, I think it will not be lost in the crypto business industry. Because it is anonymous, things like this will probably happen again and again for sure, But I hope it can be controlled somehow.

KYC somehow prevent some act of money laundering but money launderer are getting smarter each day creating possible means to work around the KYC that hurdle their laundering activity.

[batang_bitcoin]

KYC somehow prevent some act of money laundering but money launderer are getting smarter each day creating possible means to work around the KYC that hurdle their laundering activity.

They're smarter each day because it's their money that's being held if they don't do action.
What they do if they've been already flagged by a casino or any exchange, they'll use other's identity which they can easily buy cheaply. That's why they are unstoppable on what they do. But if they're unlucky and caught, they know what charges they shall face.

[molsewid]

KYC somehow prevent some act of money laundering but money launderer are getting smarter each day creating possible means to work around the KYC that hurdle their laundering activity.

They're smarter each day because it's their money that's being held if they don't do action.
What they do if they've been already flagged by a casino or any exchange, they'll use other's identity which they can easily buy cheaply. That's why they are unstoppable on what they do. But if they're unlucky and caught, they know what charges they shall face.

Indeed, in fact I receive a call and a text from a launderer earlier today, apparently my friend is a victim and they are pushing him very hard just for them to get more money, scammers are getting smarter now, they know how to use technology and manipulate people as well. Kyc is the best way and one of the way to avoid it but then as what we have said they are getting smarter, now they can now buy personal details from brokers to use in different website and to get some referrals bonus as well.

[STT]

Laundering and scam or phishing would be two different things.  It can take a decade to provide an otherwise legitimate operation is connected to laundering or some kind of illegal activity.  Its not really something that can be pinned on gambling because it is a cash intensive activity but its not exclusively so, there are many different industries that might process most of their cash flow in plain currency.    The simpliest example I can remember hearing of was an account manager in local government, they claimed cashback from normal purchases from a supermarket and then gambled that side avenue of cash as it wasnt immediately apparent.  Its not a very elaborate scheme, its just down to the people with oversight like accountants involved to keep track of.

[AicecreaME]

Laundering and scam or phishing would be two different things.  It can take a decade to provide an otherwise legitimate operation is connected to laundering or some kind of illegal activity.  Its not really something that can be pinned on gambling because it is a cash intensive activity but its not exclusively so, there are many different industries that might process most of their cash flow in plain currency.    The simpliest example I can remember hearing of was an account manager in local government, they claimed cashback from normal purchases from a supermarket and then gambled that side avenue of cash as it wasnt immediately apparent.  Its not a very elaborate scheme, its just down to the people with oversight like accountants involved to keep track of.

These three are indeed different things. Money laundering is one of the many issues that the government loathes because this is where corruption stems. Most financial platforms really avoid this and make sure to do necessary actions to prevent this from happening such as asking the clients or players to undergo KYC to verify their identity and to check their source of income as well. This is necessary on the end of the casino so that they could countercheck the deposited amounts and if those amounts are justifiable with the declared source of income of the client.

One of the possible ways people can try to put their funds to is through crypto, which is why there are sentiments that maybe crypto casinos has been the safe haven of those laundering money, avoiding taxes, and those that came from illegal source. If the casinos are doing everything they can to prevent AMLA, then they have nothing to be worried about. The only thing that has been pinpointing in this issue is that if some casinos tolerate such illegal activity which can cost them (the casino) their reputation and ability to operate as well.

[traderethereum]

KYC somehow prevent some act of money laundering but money launderer are getting smarter each day creating possible means to work around the KYC that hurdle their laundering activity.

They're smarter each day because it's their money that's being held if they don't do action.
What they do if they've been already flagged by a casino or any exchange, they'll use other's identity which they can easily buy cheaply. That's why they are unstoppable on what they do. But if they're unlucky and caught, they know what charges they shall face.

Strict KYC won't stop them from continuing to launder money and I think some casinos might be a place to do that money laundering.
They can easily use someone else's identity to do KYC, and they can even pay someone else to do it on their account.
This makes the task of the regulator even more difficult and they should be able to find a way to find out how to catch the money launderers.
And if their account is suspected of money laundering, they can move to another account and I think they have set up some casinos for money laundering and maybe even have fully verified accounts.

[_act_]

Strict KYC won't stop them from continuing to launder money and I think some casinos might be a place to do that money laundering.
They can easily use someone else's identity to do KYC, and they can even pay someone else to do it on their account.
This makes the task of the regulator even more difficult and they should be able to find a way to find out how to catch the money launderers.

Without gambling sites, money laundering would always exist is what I can say. Money are even easily laundered through the bank with ease.

And if their account is suspected of money laundering, they can move to another account and I think they have set up some casinos for money laundering and maybe even have fully verified accounts.

Gambling sites are wise, if you have no money yet on a casino, there would not be a suspect. The suspicion starts from a deposit in a way the money deposited would be seized.