Loophole in stopping Money Laundering through Wagering

[Hispo]

Moreover this money lauderers know that the risk behind putting their money on gambling platforms and won't want to pass through the stress of these wagering requirements or kyc processes before withdrawal, they know chance of losing their stolen money is high and would seek other alternatives instead of going through those stressful processes

I understand that going through the gambling process and then fulfilling the wagering requirements can be a headache in itself but then what are the other ways of whiting the black money without any stress? I guess the other ways are even more difficult because exchanges have a lot more strict KYC policies and they would not let you withdraw if they saw anything suspicious about your account.

It is a misconception that Bitcoin and cryptocurrency are a landscape where money laundering is widespread. In fact, I would dare to say most of laundering still occurs with FIAT instead of Bitcoin and other alternative coins.

Cash continues to be the number one option for criminals and physical casinos are more appealing to them, since they have less chances of getting busted and their money being seized.

Ironically, even though this ecosystem is about total control on one's money, it is more transparent than the old tradicional one.

Despite the truth that money laundering is far greater in fiat currency, the emergence of cryptocurrency and crypto casino gives these money launderer more options to launder money.  We cannot deny the fact that cryptocurrency is being exploited to launder money and most of them pass through the crypto casino to wash the traces of the transaction.

Wagering though slightly help to keep away money some launderer but it does not really stop the culprit to use crypto casino to launder money.

I am not denying that cryptocurrency can be used or is being used to launder money and assets, but I personally think if a criminal wanted to launder important amounts of money, then they would not dare to deposit an important percentage of it in a crypto casino, because they may have their money easily seized by operators. On the other hand, it is less likely they would catch the attention in a brick and mortar casino, specially if it is a big one accused to carter whales or passing tourists.

Even though, I like the concept of privacy as a human right. I know there is a good reason some of the biggest online casinos which are properly registered cannot afford to accept/support privacy enhancing coins like Monero. The laundering talking point to me is also amplified by the stigma Bitcoin received in the early days.  

[danadc]

Despite the truth that money laundering is far greater in fiat currency, the emergence of cryptocurrency and crypto casino gives these money launderer more options to launder money.  We cannot deny the fact that cryptocurrency is being exploited to launder money and most of them pass through the crypto casino to wash the traces of the transaction.

Wagering though slightly help to keep away money some launderer but it does not really stop the culprit to use crypto casino to launder money.

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

[Westinhome]

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

Money laundering was the cancer to the economy of many countries,it was the biggest national issue to the developing countries.The Money laundering doesn’t affect the developed countries because it’s like the earth warm to the big economy.Money laundering mostly affected the developing or under developing countries.The casino plays huge role in the money laundering,the good casino doesn’t require any black money to run.But the casino was doesn’t have good bank balance will join the hand with the money laundering elements and spoil the good economy of the country.Being a gambler,it’s our responsibility to report such casino in the market.

[serjent05]

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

As far as I know KYC especially the deeper level of KYC can highly prevent money laundering since the depositors will be asked about the source of funds and need different legal documents to verify the validity of the client that he is not involved in money laundering.  

About the withdrawal, each casino has its own preference and security method.  I believe their action will be different. but one thing is for sure, these casinos have a threshold before they trigger AML investigation.  I believe the wagering requirement is just the 1st layer of security against Money Laundering and the next layer if the player is suspected is the AML in a higher level where the source of funds is asked.

[khaled0111]

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

I doubt thus would work. If you make a huge deposit or win a huge amount of money you are mostly likely going to be asked to pass kyc even if you don't withdraw the whole amount and only make small withdrawals every now and then. Casino owners are smart and you can't fool them like this. Better stay safe and don't get involved in illegal activities in first place.

[Quidat]

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

I doubt thus would work. If you make a huge deposit or win a huge amount of money you are mostly likely going to be asked to pass kyc even if you don't withdraw the whole amount and only make small withdrawals every now and then. Casino owners are smart and you can't fool them like this. Better stay safe and don't get involved in illegal activities in first place.

No one with those money launderers would be out of their mind on using up casinos to wash out their coins via tending to make huge deposits and pulling it out after wards. Its true that casino owners
wont really be that so dumb on what are the probabilities for them to be used with those launderers and come to think that these businesses are really that regulated on which means that it would really be normal that they would really be needing to follow up some laws and regulations for them to avoid and fight off against money laundering.  Whenever there is really that a huge deposit then for sure casino owners or the team would already be having that kind of focus on you or getting that spotlight in regarding with your activity, if ever you have lots it all then its fine by them since its an advantage but on the time that you are snipping out big amount of winning or profits then this is where they would really be starting on taking such step and for you who do have plans on laundering money will definitely be having that huge headache because you cant be so sure whether they would be releasing those funds or not. There's still lots of things need to be considered out.

[LUCKMCFLY]

Of all these things when talking about money laundering, it is not possible to act because as many have said, KYC alone is the biggest deterrent to those who try to do it and those who try it would be very foolish, and they cannot Camouflage themselves to be able to do it. things inside the casino and then play and withdraw, I don't know if a player can withdraw little by little what they want or will give them enough time to investigate it, because if a person makes a large deposit and plays a little and then wants to withdraw a little bit of money I don't know if they leave it or submit to a great demand kyc, so these things are what must be seen to think that it is money laundering , I currently doubt it.

I doubt thus would work. If you make a huge deposit or win a huge amount of money you are mostly likely going to be asked to pass kyc even if you don't withdraw the whole amount and only make small withdrawals every now and then. Casino owners are smart and you can't fool them like this. Better stay safe and don't get involved in illegal activities in first place.

No one with those money launderers would be out of their mind on using up casinos to wash out their coins via tending to make huge deposits and pulling it out after wards. Its true that casino owners
wont really be that so dumb on what are the probabilities for them to be used with those launderers and come to think that these businesses are really that regulated on which means that it would really be normal that they would really be needing to follow up some laws and regulations for them to avoid and fight off against money laundering.  Whenever there is really that a huge deposit then for sure casino owners or the team would already be having that kind of focus on you or getting that spotlight in regarding with your activity, if ever you have lots it all then its fine by them since its an advantage but on the time that you are snipping out big amount of winning or profits then this is where they would really be starting on taking such step and for you who do have plans on laundering money will definitely be having that huge headache because you cant be so sure whether they would be releasing those funds or not. There's still lots of things need to be considered out.

Currently, casinos do many things so that people can provide KYC and remain calm, even if it is a very small player, at the time of making a withdrawal they will always request their KYC request before laughing, and that is something that they always do. They are going to do, in fact, as I had said in previous comments, in threads similar to this one, all only casinos before making their deposit should request the KYC and get that intense, and not ask for them in the withdrawal, because that does bother, it doesn't and there is a worse thing that one needs to request a withdrawal to be made at once and that they do not come out that the KYC must be complied with, it is something that bothers a lot, because there are some casinos that generally when the KYC is sent to them, it takes a long time to give it the go-ahead, and then for whatever reason they start to say that the coupon doesn't work for them, that they have to send it again and the intensity begins, and this makes some players despair and start playing with their winnings, ending up losing everything , then the scenario would be very different if they request the KYC before making the deposit, because the longer they take to approve it, because the desire to deposit in that casino passes and the players do not deposit and it is one less client, they should do that instead. in no time they will approve that KYC.

I wonder if many Casinos would do that or would be willing to do that , because if they Want to collect and avoid money laundering and say no to the alleged money laundering, they should do it that way , which is much Better , that's how it is They come from many reasons, misunderstandings on the part of the players and misunderstandings on the part of the casino, in the case of other people, the fact that they have a lot of money then will not make them want to deposit it in a casino, because if they are going to use it launder money, I would be one who would not put the money there, I prefer to put it in an exchange where I can trade, so these things are what casinos should see, that players or non-players are not all, they will not put a lot of money, Because if they start to do all that type of investigation, it's worse than a bank, because what's missing is that they ask for the origin of funds , and in Crypto all that is.

[khaled0111]

I wonder if many Casinos would do that or would be willing to do that , because if they Want to collect and avoid money laundering and say no to the alleged money laundering, they should do it that way , which is much Better , that's how it is They come from many reasons, misunderstandings on the part of the players and misunderstandings on the part of the casino,

Some crypto casinos do that. They are not that many but the request their customers to verify their identities upon registration and before making their very first deposit.
Personally, I appreciate that but, to be honest, we have to admit that not all casinos can do it as it's not good for their business. They know that many customers will just close the browser's tab and move to another casino if they are forced to pass kyc upon registration.
As I said, it's understandable but whether it's ethical or not, that's another matter.

[Mahanton]

I wonder if many Casinos would do that or would be willing to do that , because if they Want to collect and avoid money laundering and say no to the alleged money laundering, they should do it that way , which is much Better , that's how it is They come from many reasons, misunderstandings on the part of the players and misunderstandings on the part of the casino,

Some crypto casinos do that. They are not that many but the request their customers to verify their identities upon registration and before making their very first deposit.
Personally, I appreciate that but, to be honest, we have to admit that not all casinos can do it as it's not good for their business. They know that many customers will just close the browser's tab and move to another casino if they are forced to pass kyc upon registration.
As I said, it's understandable but whether it's ethical or not, that's another matter.

Can you point out which casinos are asking for some KYC on the time that you do make out deposit specially crypto casino based?

So far i havent able to encounter such casino that would be initially asking out for some verification because this is usually be done on fiat based casinos which its their standard but not something
on the time that you do deal with crypto based casinos.Yes, they could ask out on the time that you had violated something against their terms and conditions on which it is really that a common concept or situation that we do able to see. Money laundering thing is always been that a main issue in regarding with these companies or industry on which that whenever we do hit that kind of threshold or whatever violation then they would
really be tend to ask out for verification.Yes, it do sucks but we dont have not choice.

Wagering your laundered money? It is seems that this one wont really be that something ideal for launderer to do because gambling do always mean about losing money
and house do always win in the end.

[slapper]

~snip~

Currently, casinos do many things so that people can provide KYC and remain calm, even if it is a very small player, at the time of making a withdrawal they will always request their KYC request before laughing, and that is something that they always do. They are going to do, in fact, as I had said in previous comments, in threads similar to this one, all only casinos before making their deposit should request the KYC and get that intense, and not ask for them in the withdrawal, because that does bother, it doesn't and there is a worse thing that one needs to request a withdrawal to be made at once and that they do not come out that the KYC must be complied with, it is something that bothers a lot, because there are some casinos that generally when the KYC is sent to them, it takes a long time to give it the go-ahead, and then for whatever reason they start to say that the coupon doesn't work for them, that they have to send it again and the intensity begins, and this makes some players despair and start playing with their winnings, ending up losing everything , then the scenario would be very different if they request the KYC before making the deposit, because the longer they take to approve it, because the desire to deposit in that casino passes and the players do not deposit and it is one less client, they should do that instead. in no time they will approve that KYC.

I wonder if many Casinos would do that or would be willing to do that , because if they Want to collect and avoid money laundering and say no to the alleged money laundering, they should do it that way , which is much Better , that's how it is They come from many reasons, misunderstandings on the part of the players and misunderstandings on the part of the casino, in the case of other people, the fact that they have a lot of money then will not make them want to deposit it in a casino, because if they are going to use it launder money, I would be one who would not put the money there, I prefer to put it in an exchange where I can trade, so these things are what casinos should see, that players or non-players are not all, they will not put a lot of money, Because if they start to do all that type of investigation, it's worse than a bank, because what's missing is that they ask for the origin of funds , and in Crypto all that is.

Just like any other business, casinos have to follow rules. Don't kid yourself: they're not organizations, they're businesses that try to make as much money as possible. They'll ask for KYC when you take money because it gives them a chance. A way to keep your money; a chance to gamble away your gains. It's a sneaky way to get business, believe me. They only care about themselves, not about you

And about the idea of doing KYC before making a deposit, do you think casinos would give up possible customers willingly? Nah! Also, the situation is complicated. If they are too strict, they will turn away whales, or people who spend a lot of money. If they're not careful, they could break the law. Your "solution" might make sense, but it doesn't work for everyone, you know. Even putting aside the question of whether it's legal, it hurts the casinos' business plan

[LUCKMCFLY]

~snip~

Currently, casinos do many things so that people can provide KYC and remain calm, even if it is a very small player, at the time of making a withdrawal they will always request their KYC request before laughing, and that is something that they always do. They are going to do, in fact, as I had said in previous comments, in threads similar to this one, all only casinos before making their deposit should request the KYC and get that intense, and not ask for them in the withdrawal, because that does bother, it doesn't and there is a worse thing that one needs to request a withdrawal to be made at once and that they do not come out that the KYC must be complied with, it is something that bothers a lot, because there are some casinos that generally when the KYC is sent to them, it takes a long time to give it the go-ahead, and then for whatever reason they start to say that the coupon doesn't work for them, that they have to send it again and the intensity begins, and this makes some players despair and start playing with their winnings, ending up losing everything , then the scenario would be very different if they request the KYC before making the deposit, because the longer they take to approve it, because the desire to deposit in that casino passes and the players do not deposit and it is one less client, they should do that instead. in no time they will approve that KYC.

I wonder if many Casinos would do that or would be willing to do that , because if they Want to collect and avoid money laundering and say no to the alleged money laundering, they should do it that way , which is much Better , that's how it is They come from many reasons, misunderstandings on the part of the players and misunderstandings on the part of the casino, in the case of other people, the fact that they have a lot of money then will not make them want to deposit it in a casino, because if they are going to use it launder money, I would be one who would not put the money there, I prefer to put it in an exchange where I can trade, so these things are what casinos should see, that players or non-players are not all, they will not put a lot of money, Because if they start to do all that type of investigation, it's worse than a bank, because what's missing is that they ask for the origin of funds , and in Crypto all that is.

Just like any other business, casinos have to follow rules. Don't kid yourself: they're not organizations, they're businesses that try to make as much money as possible. They'll ask for KYC when you take money because it gives them a chance. A way to keep your money; a chance to gamble away your gains. It's a sneaky way to get business, believe me. They only care about themselves, not about you

And about the idea of doing KYC before making a deposit, do you think casinos would give up possible customers willingly? Nah! Also, the situation is complicated. If they are too strict, they will turn away whales, or people who spend a lot of money. If they're not careful, they could break the law. Your "solution" might make sense, but it doesn't work for everyone, you know. Even putting aside the question of whether it's legal, it hurts the casinos' business plan

Well, many have said what it is, for me the ideal is for a crypto casino to ask for the KYC at the time of the deposit, what happens is that sometimes with so many notices from the casinos that are especially the new ones, which say, deposit, I deposited like a million times, because that is something that overwhelms me, but what they have said is honestly true, if a casino says that to make a deposit you have to comply with the KYC it is something that is scary and any player closes the tab, but At the end of it all, if we start to think carefully, it is better this way, because if you comply with KYC that will give rise to everything going well from then on, both for the deposit and for the withdrawal, on the other hand, as they do with the Withdrawal, the person has already lost, the money is inside the casino and only to remove it they have to comply with that annoying condition, so some casinos do the possibiole for demanding the KYC very successfully, and as I said before, some players They play games and what they do is lose money, which I don't see well.

If the casino then requested the KYC and it happens, there is no waiting, there is nothing, and that would force the KYC to be immediate, something like the brokers when they are going to register, that does not last even 3 minutes to do such process, so if it were a KYC like that, but that would allow you to be free, without the need to do more things, everything would be better, and cooler, but there are players who join, of course we can't put all the casinos like that in that bag , I take out my own stake.com, which the KYC and its entire process is really quite fast, so I don't see any problem there, on the other hand there are casinos that are very fast and don't have a problem, but of course, they are old casinos, which have a huge infrastructure, which have great staff who are obviously very experienced, who have gone through processes of all kinds and here the experience and trust of the site are measured, I think that is what can be most evident when it comes to being in a good casino.

[Kakmakr]

A money laundering syndicate will not use this method to launder their money, because they will lose too much money in the process. Let's take Stake.com for instance.... you can put Dice on a 98% win change and still spend $100 for every $10 000 wagered.... and then you will trigger their money laundering matrix if you have a pattern of just wagering and withdrawing the proceeds. 

It is more profitable for them to use "front" companies with cooked books and then pushing those fake profits through the traditional Banking system, like they did in the past. 

[iv4n]

A money laundering syndicate will not use this method to launder their money, because they will lose too much money in the process. Let's take Stake.com for instance.... you can put Dice on a 98% win change and still spend $100 for every $10 000 wagered.... and then you will trigger their money laundering matrix if you have a pattern of just wagering and withdrawing the proceeds. 

It is more profitable for them to use "front" companies with cooked books and then pushing those fake profits through the traditional Banking system, like they did in the past. 

Singapore Police Bust Gambling Ring, Seize Millions in Crypto and Assets - https://www.btcgosu.com/blog/news/singapore-police-bust-gambling-ring-seize-millions-in-crypto-and-assets/

This significant breakthrough has been underscored by the seizure of a staggering $735 million worth of assets.
The confiscated properties, totaling 94, spanned various regions, along with 55 vehicles and an impressive assortment of cryptocurrency holdings.

Money laundering is never never-ending story. And when people launder money they will pay some percent of the total amount for sure. More or less probably depends on the safety and security of the process itself. Those who want more security will have to pay a little more for it, like in everything else.

[danadc]

I wonder something, can money be laundered at this point in life in an asino? I don't see the way, the site will have to have complicity with the people that is being made, because money laundering is now very difficult to do, with all the control that there is with the kyc and with all the requirements that the casino has to make withdrawals, I don't see the possibility that they can do something like this, the only way is that the casino owners are in complicity to do it, the criminals look for casinos to play and spend money, but I don't see that they use it to launder the money, because it is a delicate process and it implies danger for your money, criminals do not take those risks.

[Fatunad]

A money laundering syndicate will not use this method to launder their money, because they will lose too much money in the process. Let's take Stake.com for instance.... you can put Dice on a 98% win change and still spend $100 for every $10 000 wagered.... and then you will trigger their money laundering matrix if you have a pattern of just wagering and withdrawing the proceeds.  

It is more profitable for them to use "front" companies with cooked books and then pushing those fake profits through the traditional Banking system, like they did in the past.  

The worst, they might lose it all because we know on how gambling works and how risky it is on the time you do play with your funds whether its a laundered money or a legit or legal one it doesnt really matter.
I agree on what you had stated there which on the time that they are seeing that you are doing something or those patterns then that would be ringing up the bell.

I wonder something, can money be laundered at this point in life in an asino? I don't see the way, the site will have to have complicity with the people that is being made, because money laundering is now very difficult to do, with all the control that there is with the kyc and with all the requirements that the casino has to make withdrawals, I don't see the possibility that they can do something like this, the only way is that the casino owners are in complicity to do it, the criminals look for casinos to play and spend money, but I don't see that they use it to launder the money, because it is a delicate process and it implies danger for your money, criminals do not take those risks.

Each of them or all of them does have that kind of threshold and since these places are centralized then it would really be that going along with those basic behavior like having that
kyc on the time that you do able to hit those lines. If you do tend to launder money which it do talks about huge amounts then you do know on what they gonna do next
which is asking out that verification and this is something that you dont like.Right?

[tjtonmoy]

So does this mean that there is a loophole here and the money launderers can easily by pass this wagering requirement?

Let's just say that one time a money launderer does that and gets away with it. Place a bet with a 99% winning chance and win that bet to wager his whole fund. And he does that in a way that the betting platform is unable to detect him. That could be a one-time job. Because the next time this suspicious activity will be detected. Thus, those money launderer will not be able to do it again.

Gambling platforms have many safety features and pattern-identifying algorithm that helps them prevent such actions. They may limit betting numbers on how many times you can bet and with what amount. Also if such activity is found with any accounts, they might revoke or restrict that account from withdrawing any funds. These measures prevent those platforms from using as a money loundering platform.