How to resolve gambling related wallet issues

[Ojima-ojo]

Creating this thread for us to discuss what ways to resolve wallet blacklist on exchange because of gambling related issues.


What motivate me to start this thread is a recent event with a popular exchange which freezes a customer account because of funds received from gambling site as rewards, so in this kind of situation where a wallet got blacklisted what are the ways to go about redressing and to redeem the situation legally.

[Oshosondy]

The only exchange that I knew that was doing that is Coinbase. There may be more exchanges that do that but I do not know them. I have used over 10 exchanges and non of them are against gambling.

What I can say is that you should read the ToS of every gambling site you want to open an account with. If the gambling site will not receive coins from gambling sites, it would be stated on the exchange ToS.

Is Coinbase still doing that?

[Ojima-ojo]

What I can say is that you should read the ToS of every gambling site you want to open an account with. If the gambling site will not receive coins from gambling sites, it would be stated on the exchange ToS.

Is Coinbase still doing that?

This leads us to another question, do exchanges s mentioned it in their terms and conditions that receiving money from gambling sites are prohibited?


I have read one or two exchange terms of service and I haven't come across such warning, and haven't seen them blocking users who receive funding from casino's.


I think may be only those that have such restrictions may mentioned that on their terms of agreement, for clients to take note of, even coinbase may not mentioned such in the TOS, maybe I am not sure.

[jrrsparkles]

This leads us to another question, do exchanges s mentioned it in their terms and conditions that receiving money from gambling sites are prohibited?

I have read one or two exchange terms of service and I haven't come across such warning, and haven't seen them blocking users who receive funding from casino's.

I think may be only those that have such restrictions may mentioned that on their terms of agreement, for clients to take note of, even coinbase may not mentioned such in the TOS, maybe I am not sure.

It was just buried into the fine print of their ToS and AFAIK they never mentioned deposits from gambling site are prohibited but they do mention any deposits from unlawfully registered platforms will lead to account termination and if you see the list of prohibited countries in the casino where you will find the US on the top of most casinos and that how you need to relate.

But even if they terminate the account they will let you withdraw the funds in the exchanges.

[hosseinimr93]

Is Coinbase still doing that?

According to Coinbase Prohibited & Conditional Use Policy, they should still do so.

What type of activity is prohibited?

• Unlawful Gambling: Lotteries; bidding fee auctions; sports forecasting or odds making; fantasy sports leagues with cash prizes; internet gaming; contests; sweepstakes; or games of chance that are not sanctioned by a governmental body or regulatory authority.

Edit:

There may be more exchanges that do that but I do not know them.

Poloniex has the same policy.

From Poloniex User Agreement:

You represent and warrant that you will not be using Poloniex for any illegal activity, including without limitation illegal gambling, money laundering, fraud, blackmail, extortion, ransoming data, the financing of terrorism, other violent activities or any prohibited market practices, including without limitation those listed under Section 23.

[Upgrade00]

I think may be only those that have such restrictions may mentioned that on their terms of agreement, for clients to take note of, even coinbase may not mentioned such in the TOS, maybe I am not sure.

Coinbase does mention gambling in their list of prohibited activities. What exactly they list out is unlawful gambling and games of skill which are not termed gambling but are in practice. This is not so stringent on paper, no unlicenced activity should be expected on a licenced exchange but they can interpret the rules themselves so it's safe to not send gambling funds there. This is same for any exchange that lists out gambling in their ToS.

Best to look for gambling friendly exchanges and stick to them.

[Cantsay]

I have read one or two exchange terms of service and I haven't come across such warning, and haven't seen them blocking users who receive funding from casino's.

The only two I have read something like that is Binance and coinbase and a user have already shared that of coinbase above and this right here is for Binance.



Personally, I have used my Binance to receive my money from a casino just once and when I did I never got any notification from them or warning concerning what I did - although that was the only time I did it (not sure if it would have happened on continuous usage).

[goaldigger]

Gambling wallet to trust wallet, metamask or your hard wallet and then you can transfer it to exchange wallet to liquidate your funds, I think this is the most safest way to cash out. Many exchanges are not allowing a direct deposit from a gambling site and you might get tagged if you get caught, this is why my option is like this because it’s working well with me, you can also confirm if the exchange you are using allows to get deposit from a gambling wallet.

[alegotardo]

Creating this thread for us to discuss what ways to resolve wallet blacklist on exchange because of gambling related issues.


What motivate me to start this thread is a recent event with a popular exchange which freezes a customer account because of funds received from gambling site as rewards, so in this kind of situation where a wallet got blacklisted what are the ways to go about redressing and to redeem the situation legally.

Is there still this type of restriction on exchanges?
In the past I had already read about this, but at that time gambling was not yet very popular and exchanges were already suffering a lot with the need to implement KYC and increased regulatory pressure from governments, so it was "normal" to block funds of suspicious origins.
But nowadays, gambling has become very popular, there is no longer the myth that they are used for money laundering or other illegal practices... I have never heard any reports about this again.

Maybe something like this still exists on an exchange that is based in a country with strong crypto regulations, but the money should still not be held on the exchange. There must certainly be a procedure to unlock this balance, even if it involves giving up privacy to submit KYC and other additional checks.

[Odusko]

I have used my binance to receive withdrawal from gambling site's and I haven't encountered any problems before and most also many other members here are enrolled in gambling campaign and sometimes the funds are paid directly into their excahges and at no point in the time have we hard such issues of account blockage because of inflow from gambling site, but just like many have suggested, I think the best approach to all of this is to always read details of the agreement of the excahges before making any direct transactions into excahge accounts, since their are centralised and have their own rules to go with all time.

[Potato Chips]

TBH, whatever the exchange is, I always try to do address hopping and/or trade the coins first through a laxer exchange-- in this case, I would recommend exch.cx, there could be more on kycnot.me. I believe the amount also plays a role when it comes to checking soooo if it's a huge amount, better split them into pieces.

But I'm not saying this has 100% success rate lol as I think we're all playing on chances considering not much has been revelead on public.

[Ojima-ojo]

TBH, whatever the exchange is, I always try to do address hopping and/or trade the coins first through a laxer exchange-- in this case, I would recommend exch.cx, there could be more on kycnot.me. I believe the amount also plays a role when it comes to checking soooo if it's a huge amount, better split them into pieces.

But I'm not saying this has 100% success rate lol as I think we're all playing on chances considering not much has been revelead on public.

What came to my mine most often is that, excahges are like banks, and when there is a huge inflow of fund's, their tend to question the source of the funds which is a normal procedure and is clearly mentioned in the condition of service (TOS) of most excahges and even gambling sites too, mostly centralised platforms have this rule in place, sometimes $5000 is the benchmark of most of them.


Their regularly overlook smaller amount and to a large extent we have seen that majority's of the excahges may be gambling friendly most we still have few cases of account restriction because of gambling related activities.

[adpinbr]

The only exchange that you usually do this is that coinbase and I don't even see why they will freeze account because of gambling and it doesn't make sense to me at all, it just something that is not not needed to be done, but I can see that it happens, well I  don't have any other ideas aside from the coinbase I don't know much again or any other website like an exchange which usually freeze account because of money that came in through gambling I don't see it as a good decision but anyway every exchange has their different rules

[AmoreJaz]

I have used my binance to receive withdrawal from gambling site's and I haven't encountered any problems before and most also many other members here are enrolled in gambling campaign and sometimes the funds are paid directly into their excahges and at no point in the time have we hard such issues of account blockage because of inflow from gambling site, but just like many have suggested, I think the best approach to all of this is to always read details of the agreement of the excahges before making any direct transactions into excahge accounts, since their are centralised and have their own rules to go with all time.

As mentioned by other users above, coinbase and poloniex have such terms of not receiving funds from unlawful gambling. Now, if you are not sure about the protocols of the exchange, you can always transfer your coins to your own wallet first like in electrum or other third party wallets that you trust, and then just transfer to the exchange if you need to convert your crypto to other alts or fiat.
It is better to safeguard your funds by securing it in your own wallet where you have full control.

[FinePoine0]

Creating this thread for us to discuss what ways to resolve wallet blacklist on exchange because of gambling related issues.


What motivate me to start this thread is a recent event with a popular exchange which freezes a customer account because of funds received from gambling site as rewards, so in this kind of situation where a wallet got blacklisted what are the ways to go about redressing and to redeem the situation legally.

Maybe your account is frozen for gambling money to come into wallet. You can discuss this with team members, as only Exchange Wallet Online Supporters can provide the solution.

[passwordnow]

That's normal for these exchanges to ban wallets or funds that came from casinos and that's why these events occur when you're not careful enough to send your withdrawal directly from a casino to an exchange. They have it on the TOS and there's no way to resolve that and even you ask for a second chance, maybe they might give you one but it's very unlikely that you'll be given that. What they are doing is trying to protect their business and the authorities are the ones placing them their laws on them about potential money laundering and money that comes from them are considered dirty. So, to resolve that, when you're withdrawing from a casino even if your money there is clean and genuinely won some spins or sports bet, don't withdraw them directly to your exchange's wallet address.

TBH, whatever the exchange is, I always try to do address hopping and/or trade the coins first through a laxer exchange-- in this case, I would recommend exch.cx, there could be more on kycnot.me. I believe the amount also plays a role when it comes to checking soooo if it's a huge amount, better split them into pieces.

But I'm not saying this has 100% success rate lol as I think we're all playing on chances considering not much has been revelead on public.

I do this as well and that's working on my end. If someone don't want to pay for fees upon withdrawal through going onto their own wallets, this idea can help you out.

[Wexnident]

Creating this thread for us to discuss what ways to resolve wallet blacklist on exchange because of gambling related issues.


What motivate me to start this thread is a recent event with a popular exchange which freezes a customer account because of funds received from gambling site as rewards, so in this kind of situation where a wallet
got blacklisted what are the ways to go about redressing and to redeem the situation legally.

You can't do anything afaik. It's an exchange, they always have it in their ToS to have the legal right to freeze an account if they deem the funds to be "illegal" or they just have it in their ToS that they don't allow money from casinos. I'd honestly just try to talk to customer support, and submit any details whatsoever if needed to unfreeze the account if possible if they indicate the funds were detected to be illegal. If it was from a casino and they indeed don't allow it, well that's on you I'd say.

What came to my mine most often is that, excahges are like banks, and when there is a huge inflow of fund's, their tend to question the source of the funds which is a normal procedure and is clearly mentioned in the condition of service (TOS) of most excahges and even gambling sites too, mostly centralised platforms have this rule in place, sometimes $5000 is the benchmark of most of them.


Their regularly overlook smaller amount and to a large extent we have seen that majority's of the excahges may be gambling friendly most we still have few cases of account restriction because of gambling related activities.

I'd say any institution that handles money would always have a sort of trigger for when a sudden influx of money comes in. Should be normal procedure for them imo since they do want to guard against their platform being used as a way to launder money after all.

[GreatArkansas]

It's my first time hearing about this kind of issue in a cryptocurrency gambling platform. We all know how cryptocurrency is decentralized and for most of my experience, I don't experience this and what I experienced is almost instant withdrawal on every wallet of mine or exchange wallet.

Maybe there are some exchanges that flagged this x gambling platform about this issue that could break their TOS?

[Dave1]

Well before there are gambling platform that you can identify their wallets and maybe that's where it steam this whole blocking of your accounts if crypto exchanges found out that you deposit it to them.

But now sure about now, I mean there's a lot of gambling platforms already and it's really hard to investigate if it comes from them or any other personal wallet. Maybe exchanges are still doing it by today, but gonna be difficult pinpoint. However, we still need to be very careful not to directly deposit from x gambling site -> x exchanges.

[Pandu Geddon]

Personally, I have used my Binance to receive my money from a casino just once and when I did I never got any notification from them or warning concerning what I did - although that was the only time I did it (not sure if it would have happened on continuous usage).

I missed it from Binance, but I came to this day using Binance for withdrawals and deposits from the casino. I'm currently checking the notification email from Binance, but don't see any warning coming through.

So what if transactions from the casino are then withdrawn to a personal wallet first and then sent to the exchange? will it also affect addresses blacklisted by exchanges? It's possible to track them, but do exchanges have to check all suspicious transactions in their opinion?