Why we don't want KYC on casinos but happy to comply with banks?

[Josefjix]

Wow lot's of Discussion on KYC casino . But why you're comparing the casino with banking system? I won't mentioned any name but I saw lot's of licensed casino gets suddenly closed. Freeze user funds .

There's no difference. Even if your money in bank can also be frozen by regulators when it's linked to the suspicious activity. Stop acted like bank can't frozen our money. Basically, they're all the same.

Casinos freezing account especially when bigger amount of money is been won and that more details are asked for further investigation in order to release the frozen funds. If these requirements are met, then a charge would be given to accept an incomplete payout. It's sketchy.

[adaseb]

Well most people don’t have an issue with KYC with banks or the government or even the police and one reason for that is trust.

Banks generally are very secure and you never heard of a bank having some leak where lots of peoples identities are stolen. But with crypto it’s very different. You need to trust that the exchange or casino has good employees and won’t leak your info.

The more times you KYC the more chances you have for identity theft and many refuse to do so. But casinos and exchanges don’t have a choice, they are just protecting their butts in case the regulators come after them.

[nelson4lov]

Why stop there?

I already trust my KYC docs to my bank. Why not send them to the casino I use, the exchange, the DeFi lending protocol, the company that created my bitcoin wallet, heck, even to theymos.

Why are people suddenly acting like sending your docs everywhere is not a risk vector?

I definitely don't want 100s different companies with my documents.

The general notion in crypto is KYC = bad.

But in reality, people readily submit KYC data when push come to shove whether it's to upgrade a CEX account, bank account, get access to a presale or even get withdrawal from a casino after a big win. Most people who usually say they don't submit kyc only do so to seem like they're in for the Cypherpunk ethos.

[Dogedegen]

Wow lot's of Discussion on KYC casino . But why you're comparing the casino with banking system? I won't mentioned any name but I saw lot's of licensed casino gets suddenly closed. Freeze user funds .

There's no difference. Even if your money in bank can also be frozen by regulators when it's linked to the suspicious activity. Stop acted like bank can't frozen our money. Basically, they're all the same.

One case has nothing to do with the other, they are entirely different situations and that you are trying to equate them only shows that you are completely clueless and uneducated.

Let's be honest with ourselves, I see no reason why someone would compare banks and casinos. There are many differences between banks and casinos, we're supposed to know that banks are more secure. You can use your bank account and run many transactions as you want without any problem, which a casino account can't afford to do. So as I  mentioned, I think the only thing we're gaining from casinos is the chance to gamble.

It is a completely false comparison. Banks are part of essential services and casinos are not, therefore they can't be compared at all. It is like saying that it is okay to show your passport to buy some groceries because you have to show it to a border guard to pass into another country. Peak stupidity. 

I don’t think we are happy to comply with banks but with traditional finance we don’t have a choice. The reason why crypto has been so successful is because we are the master of our own money, we can self custody without permission from anybody else. No KYC and permissionless transacting is why we came to crypto so we don’t really like it with gambling.

I don't think it is so clear what is going to happen though. Sure you can use them for peer to peer transactions but in my view there is currently a war being waged in the digital space. We know that cash is going away one way or another, and the restrictions on carrying cash, on cash payments and similar stuff are just a backdoor ban. From the other side there are also bad social trends where the youth likes to use those stupid cards and their phones to tap on stuff to pay. So the real battle is whether we will be able to preserve digital cash or the restrictions that they are trying to impose from the traditional system will prevail.

[YOSHIE]

Why we don't want KYC on casinos but happy to comply with banks?

Banks and casinos are two different sites, which are very clear, be it in terms of storing money or anything else, if you understand, of course you will understand both in terms of KYC.

Your bank operates in your area, they are registered and regulated by the government authority in your area, they are responsible and legal in terms of your personal identity, the bank is the same as you providing KYC to the government in your area.
Well, even though the online casino you registered with does not operate in your area, the identity you provided illegally, no one is responsible for the identity you have provided, After all, our purpose in going to the casino is to play games, I think what is KYC for, that's why not many people agree with KYC in casinos.

[Z_MBFM]

This KYC thing is really unappreciated here, mostly because a lot of us want freedom. Crypto casinos were supposed to give anonymity so we don’t feel like the government is watching every move we make. That’s the whole appeal in the first place.

But here’s the part most people ignore: casinos usually require KYC only if they’re regulated. It’s not because they want your info for fun, it’s because their license depends on it. If they don’t follow that mandate, their operation gets shut down.

So let me ask... do you have a bank account? If yes, you’re already happily complying with KYC there. So why is trusting a licensed casino suddenly a different story?

Bank is a physical institution and it is regulated by the government so it is definitely a place of trust. And here everyone only deposits money and takes loans. But the casino platform is not like that, there people enjoy gambling and sometimes win big and sometimes lose, it is just a place to test their luck. Everyone considers using banks normal and uses them but gambling is considered a bad addiction of people so many people want to keep their personal matters hidden and on the other hand since an online casino platform is online based so many people are also afraid of being stolen from that platform so it does not seem fair to them to do KYC there.

[indah rezqi]

This KYC thing is really unappreciated here, mostly because a lot of us want freedom. Crypto casinos were supposed to give anonymity so we don’t feel like the government is watching every move we make. That’s the whole appeal in the first place.

But here’s the part most people ignore: casinos usually require KYC only if they’re regulated. It’s not because they want your info for fun, it’s because their license depends on it. If they don’t follow that mandate, their operation gets shut down.

So let me ask... do you have a bank account? If yes, you’re already happily complying with KYC there. So why is trusting a licensed casino suddenly a different story?

I think it’s because the legal standing and the regulatory strength of these two industries are very different, which results in different levels of public trust. Banks hold a position in the state that is essentially equivalent to other official institutions, although some are privately owned. Meanwhile, casinos are merely part of the entertainment industry, where the government primarily views them as taxpayers and revenue contributors. If we're talking about risks, let alone personal data, even state secrets can sometimes be leaked. In other words, nothing is truly safe. Personally, I definitely prefer casinos without KYC, although I also don't mind if a casino requires me to do so either.

[ScamViruS]

Casinos freezing account especially when bigger amount of money is been won and that more details are asked for further investigation in order to release the frozen funds. If these requirements are met, then a charge would be given to accept an incomplete payout. It's sketchy.

This is a really questionable system, a gambler never faces any problems when they keep losing. But when a gambler wins, the gambling site immediately begins investigating the gambler's account in the hopes of somehow confiscating the gambler's winning funds. This is the truth, as soon as a big win is won, gamblers are kept busy in many ways, after the KYC verification is completed and they verify many more things. So this always seems to me a questionable method.

[Dogedegen]

I think it’s because the legal standing and the regulatory strength of these two industries are very different, which results in different levels of public trust. Banks hold a position in the state that is essentially equivalent to other official institutions, although some are privately owned. Meanwhile, casinos are merely part of the entertainment industry, where the government primarily views them as taxpayers and revenue contributors. If we're talking about risks, let alone personal data, even state secrets can sometimes be leaked. In other words, nothing is truly safe. Personally, I definitely prefer casinos without KYC, although I also don't mind if a casino requires me to do so either.

They are entirely different things and whoever is making the claim that it is the same or even similar has no idea what he is talking about. You can't compare banks to exchanges or both of these to casinos. They are completely different things and as such have different applicable laws and risk. Submitting KYC to Binance is much safer than some random gambling website. Submitting KYC is much safer than submitting it to Binance. It is a whole world of difference between them all.

This is a really questionable system, a gambler never faces any problems when they keep losing.

I don't think that this is true. Any reputable casino won't just let you deposit any amount of money without asking questions, even if you are losing. That would be a red flag and they'd ask for information. Shady casinos on the other hand will not care, they are making money so even if you are doing something bad they will try to ignore it.

But when a gambler wins, the gambling site immediately begins investigating the gambler's account in the hopes of somehow confiscating the gambler's winning funds. This is the truth, as soon as a big win is won, gamblers are kept busy in many ways, after the KYC verification is completed and they verify many more things. So this always seems to me a questionable method.

While it is used sometimes as a way to scam people, this is what is expected. Does your bank ask you about every transaction in and our? It does not. However once transactions pass certain thresholds they may ask for additional documentation to support the transfers that are going on. Casinos just have their own way of implementing things but they are very similar here.

[ScamViruS]

This is a really questionable system, a gambler never faces any problems when they keep losing.

I don't think that this is true. Any reputable casino won't just let you deposit any amount of money without asking questions, even if you are losing. That would be a red flag and they'd ask for information. Shady casinos on the other hand will not care, they are making money so even if you are doing something bad they will try to ignore it.

But when a gambler wins, the gambling site immediately begins investigating the gambler's account in the hopes of somehow confiscating the gambler's winning funds. This is the truth, as soon as a big win is won, gamblers are kept busy in many ways, after the KYC verification is completed and they verify many more things. So this always seems to me a questionable method.

While it is used sometimes as a way to scam people, this is what is expected. Does your bank ask you about every transaction in and our? It does not. However once transactions pass certain thresholds they may ask for additional documentation to support the transfers that are going on. Casinos just have their own way of implementing things but they are very similar here.

Yes, reputable casinos allow gamblers to withdraw their winnings as long as they are not suspicious. We are talking about big wins here, when a gambler gets a huge win, an investigation is started into his winnings. We have seen many cases before where gamblers had to struggle with many issues after a big win.

Not all casinos are reputable, sometimes even well-known casinos do not treat their customers properly when the gambler hits a big win. So I am talking about the overall situation, not discussing any specific casino.

[Dogedegen]

Yes, reputable casinos allow gamblers to withdraw their winnings as long as they are not suspicious. We are talking about big wins here, when a gambler gets a huge win, an investigation is started into his winnings. We have seen many cases before where gamblers had to struggle with many issues after a big win.

Not all casinos are reputable, sometimes even well-known casinos do not treat their customers properly when the gambler hits a big win. So I am talking about the overall situation, not discussing any specific casino.

It is the same story with exchanges and banks. They only difference here is that it is a win, if you think about it then you can conclude that it makes perfect sense. In the case of exchanges and banks if you have extremely large inflows suddenly it can mean that your account is hacked or that you are trying to launder money. If they fail to catch you on time there may be some consequences in laws that relate to that but unless the exchange showed gross incompetence in the case the fine may be low or may not happen at all. In the case of a casino you are directly taking away a large chunk of their money. If there is an exploit going around or you found a way to cheat the game then you are going to inflict massive damage to their financials. Therefore it makes even more sense for them to check than it does for the other two kinds of business, from the perspective of finances. Do you understand my point?

Further it is quite similar story with any kind of business. Some established banks or exchanges have a big reputation but their customer service may be much worse than with some other newer ones. That is nothing unusual. I don't expect a reputable casino to cause unnecessary problems. I mean it does not make sense for them to try to scam using this policy, they have too much to lose.

[AmoreJaz]

Casinos freezing account especially when bigger amount of money is been won and that more details are asked for further investigation in order to release the frozen funds. If these requirements are met, then a charge would be given to accept an incomplete payout. It's sketchy.

This is a really questionable system, a gambler never faces any problems when they keep losing. But when a gambler wins, the gambling site immediately begins investigating the gambler's account in the hopes of somehow confiscating the gambler's winning funds. This is the truth, as soon as a big win is won, gamblers are kept busy in many ways, after the KYC verification is completed and they verify many more things. So this always seems to me a questionable method.

It will only happen if you are playing in a shady/untrustworthy casino, because they will find a way how to delay your withdrawal especially if you are talking about bigger payout. But if you have such withdrawal in top casinos like stake, even multi-million dollar winnings, you can easily get. Though I haven't experienced such amount but with the high rollers like Drake, I would say, they are very capable of disbursing such huge amount of winnings. Because if they have trouble with this, there will be complaints already about such instance.

[Akbarkoe]

Casinos freezing account especially when bigger amount of money is been won and that more details are asked for further investigation in order to release the frozen funds. If these requirements are met, then a charge would be given to accept an incomplete payout. It's sketchy.

This is a really questionable system, a gambler never faces any problems when they keep losing. But when a gambler wins, the gambling site immediately begins investigating the gambler's account in the hopes of somehow confiscating the gambler's winning funds. This is the truth, as soon as a big win is won, gamblers are kept busy in many ways, after the KYC verification is completed and they verify many more things. So this always seems to me a questionable method.

It will only happen if you are playing in a shady/untrustworthy casino, because they will find a way how to delay your withdrawal especially if you are talking about bigger payout. But if you have such withdrawal in top casinos like stake, even multi-million dollar winnings, you can easily get. Though I haven't experienced such amount but with the high rollers like Drake, I would say, they are very capable of disbursing such huge amount of winnings. Because if they have trouble with this, there will be complaints already about such instance.

All casinos will also do this if the winnings obtained by a gambler are very large, I'm sure that and will certainly be traced first before allowing the player to withdraw his money, that's definitely what casinos do, because they feel they have to make sure that gamblers play honestly before allowing withdrawals.

And when it is known that the player is honest but always wins big in his bets then usually gamblers like that will be prohibited from gambling in that casino, or affiliated with it, this kind of thing can really happen.

[Rikafip]

So let me ask... do you have a bank account?

Yes.

If yes, you’re already happily complying with KYC there. So why is trusting a licensed casino suddenly a different story?

Not happily, but yes I am complying because I have no other option. There is no bank that lets you open a bank account without KYC, and I find having a bank account a "little bit more" necessary than casinos. For example, you can't get your salary without having one.

[Asiska02]

But here’s the part most people ignore: casinos usually require KYC only if they’re regulated. It’s not because they want your info for fun, it’s because their license depends on it. If they don’t follow that mandate, their operation gets shut down.

So let me ask... do you have a bank account? If yes, you’re already happily complying with KYC there. So why is trusting a licensed casino suddenly a different story?

The complexity of it makes it hard and difficult for people to actually be okay with giving out their KYC to casinos. I think making KYC compulsory for government licensed casinos is to also be able to have access to users that use those casinos for gambling, which tracking their funds can be made easier. This will just look like a click bait to many, so even if it’s a government licensed casinos, they’ll still be reserved not to give out their KYC informations. The bank does the same and I think it is because we’re left with no option than to succumb to them that’s why we need to give it. And as an old system already established, people are use to it and don’t mind the KYC informations they give out to those banks, trust also plays a role in this.

[Crypto Library]

Wow lot's of Discussion on KYC casino . But why you're comparing the casino with banking system? I won't mentioned any name but I saw lot's of licensed casino gets suddenly closed. Freeze user funds .
Let me ask you a question, what else you can do besides gambling with a casino platform? In banking system in every steps you are using this system. In every corner of the world you're using banking system. But even some reputated casino is banned some region.

I think these two won't comply with each other , both are different thing and have their different purpose in their POV.

It is true that in the banking sector, many banks go bankrupt and stop their services, but this is not like gambling sites that were suddenly shut down and because they were under the jurisdiction of another country, they did not have to answer to the government of my country, and there are other reasons besides that, anyone can create a gambling site by hiding their identity and can gain a fake reputation through promotion.
But in the case of banks, this is not so easy. To establish a bank, the owners of that bank have to comply with various government regulations and reveal their identity and then create a bank account. In this case, if a bank goes bankrupt, it has to face strict accountability from the government and even legal punishment. It is unreasonable to compare banks and casinos in all aspects.

[liuka]

This is a very different bank and casino KYC issue. Banks do have strict regulations and are supervised by the government directly even when the bank goes bankrupt there is still a guarantee we ask for compensation because this has been guaranteed at least for my own country.

What about casinos if they go bankrupt and where do we go for our money? It is difficult, because casinos are not like banks that are used as daily transactions.

So I agree with what others have said, casinos are for entertainment purposes only so obviously some of us are against KYC.

[bhadz]

Banks are registered and backed by the government and if a casino is also registered, they have to adhere to the policy of the government where they operate. While it makes sense and a good question why we're okay with that because we're obedient citizens and that's a norm for us to comply with the bank. But I think with the crypto casinos, they have started without being registered and they're not obligated to ask for kyc from their users and that's why until now, that probably have been sticked to many of those who have witnessed it. Yet, we don't have a choice if they start asking us that but I'm happy that the current casino that I am using now doesn't ask me this.

[LastKiss]

Banks are registered and backed by the government and if a casino is also registered, they have to adhere to the policy of the government where they operate. While it makes sense and a good question why we're okay with that because we're obedient citizens and that's a norm for us to comply with the bank. But I think with the crypto casinos, they have started without being registered and they're not obligated to ask for kyc from their users and that's why until now, that probably have been sticked to many of those who have witnessed it. Yet, we don't have a choice if they start asking us that but I'm happy that the current casino that I am using now doesn't ask me this.

A lot of casinos today aren’t registered with any government authority, which means they can handle our data however they want. I think the main reason is that regulations are strict, and many new casinos prefer to avoid the hassle of meeting those requirements. But as regulations tighten, more casinos are being pushed to follow government policies if they want to operate legally in certain regions. In the long run, KYC will probably become more common whether we like it or not.

[8rch7]

A lot of casinos today aren’t registered with any government authority, which means they can handle our data however they want. I think the main reason is that regulations are strict, and many new casinos prefer to avoid the hassle of meeting those requirements. But as regulations tighten, more casinos are being pushed to follow government policies if they want to operate legally in certain regions. In the long run, KYC will probably become more common whether we like it or not.

Any casino gambling operation not legalizing by government and its risk why have avoid from KYC, I think some gambler not agree KYC at casino gambling not only want private for document but also have casino site still not get regulation from government. Currently many casinos force their users to do KYC, especially users with quite high withdrawal amounts if you won't verify KYC not available for withdrawing fund in casino gambling exactly for crypto casino.
In the future, like it or not we must KYC all casino gambling but we must avoid from higher level verification require exactly until submit Bank book due my experienced with one top casino last year ago to withdraw my fund.