TMCnet Feature
December 09, 2022

How do online casinos stay safe and secure?



In an era of looming recession, both in the US and the wider world, the online gambling sector represents a rare ray of sunshine. Not only does it generate annual revenue in the region of $50 billion, that figure is growing at a compound rate of more than 11 percent per year.



Most casino games yield a return of around five percent, so those revenue figures provide a glimpse of just how much money is being transacted in wagers and payouts every day. Clearly, iGaming is an almost irresistibly tempting target for cybercriminals and scammers. Let’s find out what measures the industry takes to keep online casinos safe and secure.

Licensing

Back in the 1990s, the biggest risk was from the casinos themselves. The industry was largely unregulated and the online gambling scene was like the Wild West. How things have changed. Today, licensing bodies like the UK Gambling Commission and the Malta Gaming Authority have regulations that are every bit as strict as you will see in land-based casinos.

In the US, regulation is no less strict, despite the fact that only six US states have regulatory systems in place for online casinos. But regardless of which US state they live in, players can use resources like https://www.bestuscasinos.org/ to find online casinos that can be played in the US are licensed in other recognized jurisdictions.

Encryption

A key aspect of most regulatory bodies’ licensing requirements is that online casinos use adequate security encryption. Today, this goes without saying for any business with an online presence, but casinos tend to be at the leading edge. Just as a land-based casino will ensure its security personnel are very visible and obvious, so the best online platforms make a selling point of their security, and will show their certificates and accreditations somewhere prominent on the home page.

KYC

Casino security counts both ways. “Know Your Customer” protocols take the form of identity checks and verifications. From the player’s perspective it can seem like an inconvenience to send scans of ID documents and so on. However, these are the same customers who would be the first to reproach any casino that was found to be allowing minors to gamble or was facilitating money laundering for criminal gangs.

Fair gaming

Online casino games are mostly driven by random number generators (RNGs), quite simple software devices at the heart of what can be very complex games.  The RNGs are separate from casino servers to make tampering impossible, and games are randomly audited by third parties. Most casinos also offer live gaming from a studio. Ostensibly, this is a fun gimmick to make the game more authentic. However, it is also to provide an alternative for those gamblers who are not trusting of technology, regardless of the third party safeguards that are in place.

Blockchain

Blockchain represents the next stage of casino security, and so far, we have had only a glimpse of what it can do. Nothing will ever be 100 percent guaranteed hacker-proof. But blockchain comes as close as anything. Casinos of the future might be built entirely on a blockchain ecosystem, creating a secure environment for all.



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