Coinbase freezing funds because there's no official documents of betting.

[Hispo]

.

Either case, imho the issue to resolve is with the casino, not with the exchange. Exchange is just following the law and won't be accepting vague data, because it's their license on the line.

But in this case, i genuinely believe this is about money laundering. Because why wouldn't the user contact to police or a lawyer if the money is legally theirs?

Edit: Since people don't read the comments, i am pointing out in here that. Iranus already provided the update, confirming that this was money laundering attempt.

Thanks for the update.
So coin base hunch was correct.
If they hadn’t done it they would have been in trouble themselves.
The first thing I thought to myself when I read this was, not your keys not your coins. In any case , I am in support of coinbase here but that doesn’t stop the my strong belief that no one should have their coins sitting in a centralized exchange especially.

If this was an attempt to launder up to 900 thousands dollars, there is something I don't understand quite yet... Why would the criminal/money launderer try to change his situation and recover his master's money by opening a thread on reddit and crying about what just happened to him?
Was he expecting his story to go viral and have Coinbase to change their opinion just because he was caught and opened a thread on reddit?
It sounds rather silly if you think it carefully...

[oll]

Personally, I don't consider a VPN a violation. Yes, this guy most likely forged documents, as the guys who examined his post history noted. But a VPN is what many gamblers use simply to access their favorite online casino games. Apparently, Coinbase is so strict that they've listed this as a violation in the Terms of Service, which every gambler accepts when they log in. But as I already noted, this guy's problem was a serious violation of KYC/AML rules, and exchanges ban people quite harshly for that. I think he used AI to forge documents, which means he's already aligned with methods that would be banned by any exchange or online casino.

[KTChampions]

This user claimed to have won $900000 from offshore sportsbook.

However checking his past post history revealed the actual truth.

This guy had been betting from USA using VPN and fake ID!

Consequently no casino would provide him with official betting history and documentation. lol

I don't understand how this allows the exchange (Coinbase) to steal his money  
Why do people think it's normal for someone to make a deposit, and then, in order to get it back, they have to dance like a clown and do a million things to prove that these are their funds and that they didn't violate any laws 200 transactions ago?
I certainly understand that there is some regulatory rule requiring (or permitting) the exchange to act this way, but that doesn't stop me from considering such actions fraud.