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So I’m wondering, is this really a legal safeguard, or are they just using it as their own policy to forfeit players’ winnings?
This is actually a serious concern. Most of us might not have reached that level yet, but what if one day we do hit it big and end up facing the same situation?
I believe its a little bit of both.
On one hand, the casino is not totally wrong in doing this. They have a bunch of AML laws that are just insane that vary by jurisdiction. When suddenly large amounts appear on their books it raises a red flag with regulators that the casino needs to prove where this money has come from, and where it will go. Thats a legal obligation, and if they dont comply, they risk hefty fines and potentially losing their license.
But lets be blunt about the other side of this. Theres definitely some shady operators out there that leverage this kind of practice as a predatory business practice. They entice players in with the "no kyc" or "instant withdrawals" promises and get them to deposit and play. Then, if a player hits a big win, the operator suddenly pulls out the KYC card, and then proceeds to make the verification as hard and dreadfully frustrating as possible, in hopes that youll either quit, or make a mistake that allows them to legally forfeit your winnings. Its a scummy tactic and Id be willing to bet that it happens a lot more often than people want to believe.