Online sites saw a lot of traffic throughout the COVID-19 timeframe. The gaming sector had financial development due to increased consumer spending, but it took a lot of work to manage, which attracted fraudsters.
The only way for developers to keep players loyal is by offering a satisfying gaming experience. As scammers strive to take advantage of the gaming business for profit, gaming service providers are currently dealing with many difficulties. At this point, implementing online gaming safety is essential; otherwise, investors will lose interest and stop working with service providers. The game sector can significantly benefit from artificial intelligence, which will also aid it in achieving its objectives.
Online Game Verification Systems – An Overview
The gaming business has seen a dramatic increase in players, which has attracted fraudsters looking to launder money or obtain financial rewards. One of the most popular forms of fraud in the gaming business involves con artists using a false identity, or they hack into someone else’s account and sell exclusive things or whole accounts to players hoping for quick level-ups. For this reason, safety precautions are necessary for online gaming to deter scammers and scam attempts.
Tips For Online Gaming Safety
Use of Official Websites
Any person or business should stay away from apps and links that lead to external websites. Additionally, users or players should purchase items through the official websites.
Avoid Sharing Personal and Financial Information
Account credentials and login information contains personal and financial information. As a result, nobody should disclose them, not even friends. In a similar vein, officials never message gamers for personal information.
Every player should use a secure password that contains special characters to make it more difficult for others to decipher. Users can also utilize numbers, capital letters, and lowercase letters to avoid gaming scams.
Integration of Two-Factor Authentication
To access an ID, fraudsters have a difficult time because of two-factor authentication. Additionally, this process sends a text or pin to the individuals’ email addresses and mobile devices to confirm the information. Two-factor authentication is done with face verification.
Solving the Prevalent Issues Via Gaming Validation Systems
To protect real players from cyberattacks in the modern day, it is crucial to use the know-your-player system. This method helps identify ghost profiles and avoid unfair advantages. All participants may create several accounts in accordance with the rules of gaming platforms for their sporting events, which might be troublesome in terms of security. Particularly gaming sites with lax restrictions confront a lot of difficulties.
By implementing e-sports compliance, service providers can better protect underage gamers by defending their websites against sophisticated attacks. The use of AI and ML-driven online gaming safety approaches can significantly reduce cheating on esports websites. Thus, the sector can forge enduring bonds with its participants and acquire their allegiance.
Understanding US Regulations for Protecting the Gaming Sector
Due to the quick digitalization and accessibility of online payment options, the esports business is vulnerable to fraud or gaming scams. Unfortunately, fraudsters can easily use the platforms for identity theft and money laundering. The gambling industry has been subject to anti-money laundering requirements in this situation and gaming inspections for proactive fraud prevention.
The US regulatory organizations have established some requirements for legitimate gambling and esports. For instance, to hold non-compliant firms accountable, the Financial Crimes Enforcement Network (FinCEN) and the Bank Privacy Act (BSA) audit business processes and keep track of noncompliance.
However, the Internal Revenue Service is given compliance evaluation authority by FinCEN (IRS). FinCEN can launch a thorough investigation if the IRS discovers any BSA violation in casinos. Based on the output, the international authority may penalize the service provider. BSA requirements cover the areas below:
Standards of the BSA in the event of Non-Compliance
- Creating Suspicious Activity Reports (SARs) if a fraudulent $5000 transaction takes place.
- When cash flow exceeds $10,000, creating Currency Transaction Reports (CTRs) is necessary.
- Incorporating AML protocols into the current systems.
- Keeping track of the loans, debts, and transactions of players. For instance, credit exchangers with a $10,000 or more limit and those that preserve a record of fraudulent activity for up to five years.
Obligations of FinCEN for the E-Sports Sector
Additionally, FinCEN has released the following standards and recommendations for the gaming industry:
- Establishing an internal AML procedure system to guarantee adherence to Bank Privacy Act (BSA) requirements
- Educating employees to spot fraudulent transactions.
- Creating and maintaining records in accordance with BSA guidelines.
- Calculating the likelihood of money laundering and terrorist financing through eligibility tests.
- Collecting customer data, sometimes known as “gaming checks,” such as complete name, address, and Social Security Number (SSN).
In the End
The gaming industry will be able to combat scams more effectively and efficiently by integrating online gaming safety. The gaming business is currently dealing with several gaming scams that could eventually hurt its credibility. By using AI & ML-driven systems, they can identify suspicious conduct and customize players’ experiences.
In the present world, using AI and ML systems is crucial because it improves the customer experience overall and boosts a company’s reputation. Consumers are constantly on the lookout for better, more dependable experiences, and they also like to share their knowledge with other customers. A brand is made or broken by this sharing. As a result, the esports business can benefit from the fast online game verification system by avoiding scams.