How digital ID verification can protect players from problem gambling

CHENNAI: The government of India has a responsibility to protect those vulnerable to the negative side of the gambling industry. The only way to enforce this is through clear and detailed regulation.

Regulation alongside the use of digital ID verification could go a long way to protect players. ID verification will ensure that players are of legal age and that they have not chosen to self-exclude from gabling sites.

Using digital ID verification would make it impossible to sign up for a second account at a gambling site where a player has already opted out of playing on the site. An integrated digital ID verification could also make it safer for players, by making it impossible to sign up at other gambling sites, at risk players also wouldn’t be able to receive marketing communications.

How ID verification has benefited the rest of the world

In 2021 the European Commission launched a plan for the eID which would allow European citizens to easily share electronic documents.

Ideally this plan will smooth financial transitions and eliminate the cost of verification software. The hope is that by 2030, 80% of citizens would use the eID.

At present 17 EU nations have centralised self-exclusion registries. Cross referencing the eID and this registry will go a long way in fighting gambling addiction.

ID verification and responsible gambling tools

Self-exclusion is an important responsible gambling tool where players can choose to lock themselves out from their gambling accounts. At the same time, they can choose not to receive any marketing communications from a gambling site that they have signed up for. The problem is that information is not shared between sites. Using digital ID verification could help protect these players in the long run.

Digital ID verification would also have benefits for players that aren’t at risk in the same way. The most important being streamlining several processes. Automatically registering a digital ID verification would make withdrawals much quicker.

Working towards a regulated market will have more advantages. Players who might have previously placed bets on the black market would be able to play in a safe, regulated space. For example, it would be possible to bet on the online cricket satta bazar, without threat of negative legal ramifications.

The importance of knowing your customer

When players sign up for a gambling account, they are often met with resistance when they try to make a withdrawal from their account.

Most online betting sites in India are based outside of the country. Based on outdated gambling laws, international gambling sites are able to offer their services to Indian players.

These international sites are often regulated by gambling regulating giants like the Malta Gambling Authority and the UK Gambling Commission. Under these regulations, gambling sites must comply with Know Your Customer (KYC).

This requires customers to send add documentation to their betting account, proving that they are who they say they are. Digital ID Verification helps players to comply with KYC, also making the process much quicker.

An increasingly digital economy in India

By 2030, India’s digital economy is expected to see exponential growth to $800 billion. Two of the driving factors are the rise in Internet penetration and a recent increase in income throughout the country.

As India takes steps to becoming a much more digital economy, digital ID verification is likely to become more important.

Combined with regulation, being able to automatically verify a player’s ID would reduce the gambling black market and lead to more control of the online betting market in India.