data protection
Online gambling is an industry that is seeing an unprecedented rise. In 2017, this sector boasted an annual market value of $34.59 billion. In 2027, expert expectations are that it will bring in $131 billion, with sportsbooks representing its most successful vertical. So, to say that it is doing well would be an understatement. However, something that can damage its dramatic expansion is data protection bills, which will chiefly limit the availability and attractiveness of gambling platforms referred to as offshore sites that are responsible for much of the sportsbook and casino betting traffic today. Plus, crypto casinos will also undoubtedly get affected.

In the past decade, many sphere professionals have raised alarms about data protection dangers as the world has slowly morphed into a digital marketplace. Subsequently, countries' data protection laws have become tightened, and new regulations have been imposed to deal with novel tech/concepts that were not around just a few years ago. For example, in the gambling arena, this refers to things like NFTs, metaverse virtual gaming venues, skins betting, crypto wagering, etc.

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Today, most of the best sports betting sites and casino operators on the global market have adopted the General Data Protection Regulation, a vital part of the EU’s privacy law regarding individuals’ data who reside in the European Economic Area. Nevertheless, some premium gambling platforms implement the rules set forward in this regulation even for players living outside these territories, accepting them as general platform conditions.

Most people would agree that strict data security measures are essentially a positive. Yet, that does not hold for gamblers who wish to keep their betting activities a secret from prying eyes.

Can VPN Help Gamblers Remain Anonymous?

VPN is an acronym for virtual private networks, which funnel Internet data using proxy servers based in foreign countries, usually locations of users' choosing. The wide acceptance of these services has been staggering, as now stats claim that around 1.5 billion people around the globe use VPN when surfing the World Wide Web. But are these services effective for gamblers who wish to bet in secret? The answer is no.

The problem with many VPN services is they continuously utilize the same IP addresses, and online sports betting and casino websites know these and ban access to those who try to sign up for their services using them. Databases of blacklisted IPs are now easily found on the Internet, and many operators have added them to their platforms’ banned lists.

On top of this, due to growing concerns regarding problem gambling, many regulators have forced betting/gaming hubs to implement KYC regulations that mandate that gamblers must verify their identity by supplying a copy of their photo ID and utility bill (proof of address) before getting their initial withdrawal. In the UK, this country’s gambling commission demands that every new site signee completes this process before they wager. Thus, everyone must reveal their identity to their chosen operator and regulator before betting on anything in Britain. That stance has gotten adopted by many other countries' licensing/monitoring bodies. In the US, in specific states, gamblers also have to supply four digits of their social security number.

What About Crypto Gambling Platforms?

As mentioned above, worries about data privacy stretch in almost every facet of life today, from home buying to any e-commerce type imaginable. Many laypeople believe that crypto gaming/wagering platforms can get used to circumvent the need to provide identifying info. But that is not accurate. Most higher-end crypto operators get approved/overseen by Curacao-based organizations, the island nation’s four master license holders, and these also ask of their licensees (although they do not obligate them) to implement KYC identification policies that aim to stop the laundering of funds and the financing of terrorist activities.

That said, unlicensed crypto sites do not have to obey anyone’s rules, and they allow anonymous gambling. Still, if a gambler wished to convert crypto winnings into fiat currencies, then he would have to explain his income source, leading to taxation. Therefore, the only way for these individuals to keep their activities out of view is to always keep their gambling funds in some form of virtual currency.