Online Gambling is a growing activity characterized by millions of people using internet-connected devices to play a variety of games, from casino games to sports betting. The growth of this industry has been fueled by cultural approval, legalization, technological advances, celebrity endorsements and other factors. Its rapid expansion has also contributed to an increase in fraud and other criminal activities. These include account takeover (ATO) fraud, bonus abuse, credit card fraud, and betting bots.
Unlike traditional casinos, where gambling is a face-to-face affair, online gambling platforms allow users to deposit and withdraw money anonymously with minimal information provided. This provides opportunities for criminals to use stolen credit cards, fake identities or cryptocurrencies to place bets and hide winnings in gambling accounts, effectively laundering illegally obtained funds.
Many jurisdictions around the world regulate some aspect of online gambling. Some, such as the United States, prohibit the practice altogether, while others impose strict licensing and operational compliance requirements. In the US, federal laws such as the Unlawful Internet Gambling Enforcement Act (UIGEA) impact financial transactions related to online gambling, and state-specific regulations govern licensing, operational compliance, and permissible forms of online gambling.
While research into online gambling is limited, there is a growing recognition that it can lead to problem behaviors and harms. Identifying and acting on early risk indicators may reduce gambling-related problems. This is why it is important for trusted adults to educate children and young people about online gambling, its risks, dangers and side effects.