Online Gambling is the use of a computer to place bets on games of chance. It is a fast growing industry, with revenues estimated at $92.9 billion in 2023.
Legality: States vary in their regulations, but most jurisdictions do not allow gambling websites to operate without being licensed and regulated. Some states have laws that make it a crime to operate an online gambling site.
Financial Benefits: In addition to the money that goes into the pockets of those who participate in online gambling, the industry benefits a variety of other businesses. These include phone and cable companies, Internet service providers, nongambling Web sites that feature advertisements for online gambling sites, and software companies.
Compliance Issues: Failing to control fraud in your iGaming business can result in hefty fines, not to mention legal trouble. Furthermore, if you are unable to solve fraud issues for legitimate players, you will lose their trust and they will look to their competitor instead.
Reduced Customer Satisfaction: In addition to the financial impact of fraud, failure to solve it for your players will result in reduced customer satisfaction and an overall loss of revenue. It is therefore essential for iGaming operators to adopt good KYC practices and use risk-based fraud detection software solutions to combat this problem.
Fraudulent Activities: In addition to traditional credit card fraud, iGaming scams can also involve the abuse of bonus promotions and stealing of personal details from accounts. The perpetrator may also use stolen credit cards or IDs in order to deposit funds into their iGaming account.