Online gambling is an activity favored by millions of users all over the world. It is associated with endless fun, numerous opportunities, and tremendous potential earnings. Nonetheless, there are some customers who join a particular site not only to gamble but to cheat, as well. Most of the time, they are called fraudsters, but the more official term is cybercriminals. In the last couple of years, the gaming industry has become a top target for hackers. Below, we will list the most common types of digital fraud attempts.
Different Types of Digital Fraud in the US Gambling Sector
A study conducted in 2020 showed that the US gambling market is immensely preferred by the majority of cybercriminals. According to the provided data, digital fraud attempts have increased drastically, and more precisely, by 60%. Experts are aware of the fact that fraudsters usually look for platforms where transactions are carried out on a daily basis. Undeniably, online casinos and sportsbooks certainly take the top places in the chart.
Although many wagering platforms strive to keep their security levels as high as possible, cheaters still manage to find a way to do their work. There are numerous digital fraud types initiated by criminals, and unfortunately, sometimes, they have success in finishing their mischievous deeds.
Welcome Bonus
One of the most commonly used tactics by bookmakers to attract new clients is by releasing attractive and highly beneficial welcome bonuses. Usually, newly registered customers may claim them after registering on the respective site and depositing funds. After these two steps are completed, the player receives a generous amount of bonus funds they may use for playing on the platform. Of course, the deal may differ depending on the bookie, but one thing is for sure – it will surely be tempting.
Thus, it is not surprising that many cybercriminals try to hack the casino by abusing the welcome bonuses. To cheat the system, fraudsters create multiple accounts and claim the deal from each one of them. This way, they receive the promised bonus funds several times, which eventually leads to a loss for the bookmaker.
Stolen Payment Information Details
Another quite popular digital fraud in the US gambling industry regards the usage of someone else’s payment information data. Skilled hackers are able to steal users’ data, including all of their payment method details. If a punter does not pay attention to the gambling site’s security measures, they may end up with emptied accounts.
Cybercriminals most commonly use stolen debit cards, such as VISA and Mastercard. This way, fraudsters make a profit by using illegal money. Fortunately, many modes of payment have added additional safety measures, such as e-pins, 2FA, and so on. In other words, a cheater won’t be able to make transactions unless they have the user’s phone, as well.
All for One and One for All
And the third type of digital fraud attempt we would like to emphasize is the one where several hackers work together to help one of them earn a massive winning. The most popular gambling product criminals choose to attack is the poker table. All associates join together in one room, and they communicate with one another throughout the entire time, following their strategy.
Players’ aim is to trick the software and affect the final result. In the end, according to the plan, one of the hackers will win an enormous amount of money. Therefore, the bookmaker will sustain severe losses.
Will the Digital Fraud Attempts Increase Even More?
It is quite difficult to predict whether or not the digital fraud attempts in the US gambling industry will increase even more in the upcoming months. Undeniably, this niche will always be a preferred place for cybercriminals. Nonetheless, companies seem to realize that these attacks lead to major losses and a decrease in reputation. Therefore, the brands do anything possible to keep their customers completely safe.
The most common security precautions taken by operators include the usage of incredibly strong firewalls. They block any malicious attacks and thus, support a protected gambling environment. Additionally, we strongly encourage every potential bettor to check out the encryption information regarding every online betting platform.
Please, make sure that the site has been issued a valid SSL encryption certificate by companies, such as Cloudflare, for example, before providing your personal data. This serves as proof that all delivered information will be immediately enciphered. Therefore, it will be extremely hard for hackers to steal your personal data. Most platforms that are licensed also promise protection of your funds. The funds’ protection policy has three levels of security:
- Basic
- Medium
- High
We advise you to join platforms that guarantee a high level of security. It’s a well-known practice for brands to now require customers to provide ID photos in order to confirm their identity. Additionally, those who are considered dubious will go through additional processes before being able to play on the respective platform.
Final Thoughts
During the past year, the digital fraud attempts in the US gambling industry have risen tremendously. It is believed that the gaming niche is a top priority for hackers because of its great potential. However, many companies have implemented diverse safety measures, such as:
- Identity Verification
- Age Verification
- Proof of Income
Additionally, whenever a punter is suspected of unusual activity, they are asked to provide specific personal documentation in order to prove that they are not do not breach the respective brand’s terms and conditions.