Nick Garner here (founder and CEO of Oshi)

I just want to reply to this accusation because the touches on some quite serious issues which we have to deal with on a daily basis.

If you've read any of my other posts, you'll notice a familiar theme which is around know your customer, gambling legislation and the pseudo-anonymity you get from Bitcoin gambling.

Repeating myself unfortunately, as you will know with Bitcoin, we will never know the true identity behind a transaction unless we go through some kind of know your customer process. Because of our license with Curacao we are able to accept customers paying with Bitcoin and more importantly for you, we don't have to go through an automatic verification process as we do with Fiat currencies. In turn this means individuals from territories who we cannot accept, can gamble on our website using Bitcoin without our knowledge.

As long as withdrawals are below a certain threshold as outlined by anti-money laundering legislation, typically somewhere around $1500 and above  - and... There's nothing suspicious about their account, these people could carry on gambling on Oshi indefinitely

In this case we've got somebody from Spain, a jurisdiction we don't accept customers from and because of our suspicions, we decided to verify this person. It turns out they cannot play on our casino.

Within our terms and conditions we have every right to just confiscate all winnings and withhold all deposits, a typical position taken by the vast majority of other Bitcoin casinos.

However, I don't like aggressive predatory behaviour and if we find somebody is from a banned jurisdiction, our typical approach is to withhold winnings and return the most recent deposit they placed . Reiterating, we don't have to do this, but it seems like a reasonable way to behave as an operator.

On the question of why we wouldn't return all deposits to customer, it's because we don't know if they're from a banned jurisdiction or not until we verify them. So therefore we assume we will pay if they win. In other words every deposit made represents a binding commitment to pay out unless terms and conditions are broken. In other words we transact with the customer in good faith, therefore why would we return all deposits from all-time?

Also worth saying that I suspect customers from banned jurisdictions probably know they can't gamble on sites like ours, but they do because they want to gamble and for them Oshi is a good choice. By returning their previous deposit, were saying we give them the benefit of the doubt and we want to close this relationship on the most positive basis we can.

I hope that all makes sense.

Nick