Online gambling has become extremely popular among players in recent years, thanks to the ease of access and fast pace afforded by the internet. The online casino industry is a multi-billion dollar business that attracts hundreds of thousands of new users each year.
However, this fast-growing industry does not exist in a legal grey area, as most developed countries have laws against casinos. As such, it has attracted the attention of scammers and criminals that seek to exploit the market’s lack of regulation for profit.
Unregulated Online Casinos
There is no single definition for an unregulated casino. Generally speaking, it is an online casino that does not have a license from the country where it is operating and therefore operates illegally.
“These sites are attractive to players because they do not require any personal information, such as their name and address. However, these casinos can be even more dangerous than those with licenses as they attract criminals who are only interested in stealing money,” says Mr. Ong, the head of WS88, a legal site for online gambling in singapore.
He further adds that unregulated casinos can be found on the dark web, underground forums, and social media. In order to attract players, they usually offer free credits or cash signup bonuses. Once a player has an account, he may continue to gamble at the casino until he wins or runs out of money. Some unregulated online casinos even have links with other types of gambling sites.
Thefts and other Criminal Activity
Another issue that unregulated casinos face is theft. When a player makes a deposit into his casino account, he can only withdraw the money by giving away personal information. This makes unregulated casinos prime targets for hackers who are eager to acquire this valuable data and sell it on darknet markets.
One of the most famous cases of online theft is that of Alex Holden, founder and chief information security officer of Hold Security. In 2014, Holden received a request from one of the many online gambling forums he followed to investigate the deletion of an account. When he investigated further, Holden discovered that more than 83 million user accounts had been stolen and sold off on darknet markets.
This kind of vulnerability is not limited to players’ personal data—hackers can also steal money from players’ accounts. In some cases, they use phishing scams to add code to the player’s browser that allows them to secretly acquire their password and login information. In other instances, hackers target software vulnerabilities in order to gain access to casino servers.
Unregulated sites also face other types of challenges. For example, they might be raided by authorities, shut down, or run into financial difficulties.
Tax Evasion and Fraud
Moreover, since there are no taxes with unregulated online casinos, there is a large amount of money that is not distributed to the government. This means fewer funds are available for education, public transportation, and other projects that make life better for everyone–not just the people who gamble online.
Another issue with unregulated online casinos is that there are no protections against money laundering or financial fraud. You might not be aware of it, but there are many people who use online casinos to clean their money–essentially hiding the fact that they have a lot of money.
Of course, if this isn’t stopped, these people could buy whatever they want and live however they want without having to work for it—which would create more unfairness in the world and give people less incentive to work hard.
What Could It Mean for the Players?
When online gambling sites fail and are regulated by no state or federal laws, players can find themselves in real trouble—both financially and emotionally. If a player puts money into an online site, they might expect to be able to access it at any time. After all, they may have won money from that site; shouldn’t it be up to them how they use it?
However, when an online gambling site is unregulated or operating illegally, those who have invested their time and money into the site often find themselves unable to access the assets they feel are rightfully theirs.
It is a terrible situation to be in and one that can often take a long time to resolve. Once someone has invested their time, effort, and money into playing at an online gambling site, they will likely be very motivated to get those winnings back as quickly as possible—which is not always easy.
It is for this reason that players need to recognize the signs of a shady online gambling site. Suppose there are warning signs such as a lack of transparency about the company, no mention of an official license or registration, and other red flags.
In that case, they need to recognize that it’s better not to invest their time or money into that site until more information is available. If you really want to play, there are legit and regulated online casinos, such as those sites for online gambling in singapore and other countries.
All in all, unregulated online casinos are dangerous because there is no accountability on either side of the deal.
It might seem like a good idea at first glance, but really it would just create more problems than solving them, and that’s not what we want to do when we gamble. Since there is no need for online casinos to be regulated, they are not–and that’s why you should always be careful when you gamble on the internet, regardless of what country you’re in.