COVID-19 has forced people to shift to online mode; digital media was the only source of entertainment while staying at home. Gaming industry revenue has significantly increased because children spend a significant chunk of their time playing games.
In Germany in 2022, almost 9.9 billion euros of revenue was generated from the gaming industry. This revenue has increased from the previous year, and the rising growth of this industry has led to many scams. Hackers are targeting minors, getting their identity and committing illicit activities. Government and other regulatory authorities can make it essential for businesses to comply with Anti-Money Laundering (AML) regulations. This compliance is possible by installing electronic identity verification in the companies.
Scammers hack the user's account by various means, and here we will discuss the most common ways scammers commit illicit activities.
In this type of hacking, scammers take control of the gamer's account; they send many emails to the user to take control of their account. Later, they use the charge for illegal activities and pretend to be customers. Fake IDs are created in the name of the actual client; mostly, minors and homeless individuals fall prey to such activities.
Hackers create fake accounts to manipulate the results of the games; in some games, the winning player is awarded prizes. So scammers pretend to be gamers and sign up for the account.
Chargeback means getting money back by saying clients no longer need this purchase and want their money back. This is a type of friendly fraud, and it is sometimes impossible to deal with such scams.
A computerized system is used to verify the individual's identity, and biometrics of the person are involved in it, such as finger, voice, face, and eye recognition. No document or physical presence is required; every task is performed digitally.
E-idv solutions enhance the working of the company activities by providing the following benefits:
Electronic identity verification performs the digital proof of the players, checks their authenticity and matches the documents they provided with the previously stored information in the database.
The clients' onboarding process becomes very smooth by it, as the entire registration is done digitally. No manuals are required for it; advanced machine learning and artificial intelligence perform the whole task. These solutions are error-free; therefore, customers can rely entirely on them.
Electronic identity verification is rapid, as the whole process of confirmation of the gamer can be done in a single click; they just have to face the camera. Their authentication is done, and if the identity is confirmed, they are given access to the account; otherwise, verification does not proceed, and access is denied on the spot.
The traditional processes were very time-consuming as the whole process was done manually and contained errors. Some verifications take more than weeks because gathering, analyzing and verifying information is a hectic and challenging task for the labor force.
The operator can increase communication with their clients, as they will have updated information. The latest news prevents businesses from unwanted miscellaneous expenses. When the company has their client's updated information, they can easily communicate and get to know their current preferences.
When a business goes bankrupt, it also affects the country's economy, as the company's revenue also contributes to the betterment of society. The government has implemented certain KYC (Know Your Customer) and AML ( Anti Money Laundering) regulations to prevent companies from scams. These laws have a checklist that ensures that the company is dealing with electronic client verification and that their risk assessment and continuous monitoring are appropriately done.
Electronic identity verification prevents businesses from heavy penalties and protects the brand image. Customers also trust the companies that are safe to deal with and prevent them from fraudulent activities.
In the evolving landscape of businesses, it is necessary to comply with the latest rules and regulations, as these AML regulations safeguard companies from fraudulent activities. Electronic verification systems allow only authentic customer onboarding; any suspicious activity is immediately noticed, and respective authorities are informed. When only real clients are getting part of business activity and are wholly monitored, the chances of cyber scams are very minimal. Age verification done by online ID checks saves the interest of the gaming industry, as only verified gamers can log in to their account and play games. These solutions also build customer trust as their information is in safe hand