As gambling regulations become stricter in the UK, gambling operators must abide by numerous rules and licence conditions designed to ensure safe and fair gambling practices. Unfortunately, because of the tighter rules to follow, operators require players to go through several processes that many find burdensome.
As more UK players become annoyed with the latest requirements imposed by licensed online casinos, many are considering switching to offshore crypto casinos that do not hold licences from the UKGC. Such websites rarely require KYC or proof of source of funds, making the option of playing at unlicensed casinos more tempting.
While it may seem much more convenient to play at offshore casinos that make online gambling easier, players put their sensitive information and money at risk when they join unregulated sites. If you are also tired of the strict rules imposed by licensed UK casinos and are thinking of joining an unlicensed casino, you should carefully think this option through. You may expose yourself to different risks if you join an unlicensed casino. That is why we will cover the various consequences of placing wagers at unregulated virtual casinos.
Differences Between Licensed and Unlicensed Online Casinos in the UK
The body responsible for regulating the gambling sector in the UK is the country’s Gambling Commission (UKGC). Issuing licences to gambling operators also falls under the remit of the UKGC, with the same authority closely monitoring the operations of licensed brands. If you are a player based in the UK, you can be sure that an operator is licensed if it lists the UKGC as its licensor. Additionally, you can check the validity of the licence on the official website of the regulator.
The UKGC is very strict about who can obtain a licence to operate in the UK. With the latest changes introduced in the country’s gambling sector, obtaining and keeping a licence from the UKGC has become harder. Licence applicants must meet several criteria to be authorised to offer their services in the UK.
Even after they receive a licence from the UKGC, operators must continue to fulfil their licence conditions, which require an extremely high level of protection, regular checks, and compliance with anti-money-laundering practices.
If you are betting real money at a virtual casino licensed by the UKGC, you can be certain that you will receive any winnings you have accumulated, provided you abide by the casino’s terms and conditions you agreed to when opening your account. Unfortunately, UK players are required to take some extra steps to verify their age and identity.
Most unlicensed offshore casinos will not ask you to take any additional steps to verify your account. This spares you time and inconvenience if you do not feel comfortable sharing your personal information with an online casino. However, if you play at an unlicensed casino, you are risking a lot, as you can never be sure that you will receive your winnings. Moreover, if an unlicensed casino refuses to pay you your winnings, you will not be able to do anything about this issue, as you have willingly gambled at an unregulated website.
How to Spot Unlicensed Online Casinos
If you are willing to take extra security steps but continue playing at licensed casinos, you need to be able to spot unregulated gaming websites. There are several factors that can help you tell the difference between licensed casinos and offshore casinos that operate illegally in the UK.
Check for a licence
The first step you can take towards confirming that you are about to bet at a licensed UK online casino is to check for its licence. Virtual casinos that have obtained a UKGC licence are required to list the number of their licence somewhere on their official websites. The licence of a virtual casino can typically be seen in the footer of the site. You can also check whether the licence is active by searching for the operator on the official website of the Gambling Commission.
Sometimes, licensed websites will provide the number of the licence they have obtained in the general terms and conditions of the casino. Alternatively, you can ask the support team about the casino’s licence. If you cannot find any information about a licence, or if the casino claims it has been licensed by an authority other than the UKGC, then you can be sure that this website should not accept UK players.
Promotions that sound too good to be true
Another giveaway for unlicensed casinos is incentives that sound far too good to be true. Licensed UK interactive casinos are required to offer their members reasonable promotions that simply give them a modest boost while enjoying their casino experience. Meanwhile, unregulated virtual casinos tend to attract new customers by offering ridiculous promotions that can match one’s deposit with a 200% or even 400% bonus.
Offers that sound too good to be true are another indicator of unlicensed casinos. Such promotions not only offer unrealistic bonuses but also make it extremely difficult to withdraw any winnings. No matter how tempting a 400% bonus may sound, you should stick to more reasonable casino incentives that can typically be found at licensed online casinos.
Shabby design
This may not be the most reliable indicator, as some unregulated brands have put considerable effort into the design of their sites. However, it is very common for unlicensed virtual casinos to put almost no thought into their design, showing that they care only about the profit they can gain from players. What is more, if the website is often unresponsive or you can barely find any information about the services the brand is offering, you have most probably stumbled upon an unlicensed operator.
No customer support
If you cannot reach the casino’s support team in any way, it is very likely that there is actually no customer support you can rely on. This indicates that the virtual casino is not properly regulated or licensed and does not care about the needs of its patrons. If you cannot reach any casino representative, or you receive no help with your casino problems, you can be almost certain that you are not gambling at a properly licensed website.
Weak or no verification process
While this may appear to be a big advantage to some players, if the virtual casino does not require any verification of your account, you can be sure that you are not playing at a licensed UK casino. With the latest restrictions imposed by the UKGC, gambling operators are required to ask for a mandatory KYC check for all of their members. That step is needed to prevent underage gambling and money-laundering activities. If the casino allows its customers to wager real money on various games before they have verified their accounts, such a casino has not been licensed by the UKGC.
Consequences of Gambling at Unlicensed Online Casinos
One thing most players are concerned about is whether they can face any legal penalties if they gamble at offshore unlicensed websites. While virtual casinos that have not been licensed by the UKGC may be punished if they accept players from the UK, no legal action is taken against British players who wager their money at unlicensed online casinos. This, however, does not apply to cases where such websites are used for criminal activities.
As they are unlikely to face any legal consequences, it is up to UK players to decide whether the risk is worth taking when playing on unlicensed websites. While in many cases there might be no issues with wagering your money at an offshore unlicensed casino, you should be aware that you are taking a huge risk at any time, as you cannot be sure that the casino will continue to act fairly and pay out your winnings.
Often the UKGC cannot extend its regulatory powers to the offshore locations where unlicensed casinos are based. That is why it is very difficult to shut down or fully block access to such offshore casinos. Even though the UK regulator also takes additional steps to blacklist unlicensed operators, many players bypass the restrictions by using VPNs. As the UKGC has no legal powers in such areas, virtual casinos operating from these jurisdictions are more likely to take advantage of UK players, as those players cannot seek the help of the regulator if they are mistreated by an unlicensed casino.
At the end of the day, the onus is on UK players to decide whether they are willing to risk their money when they play at offshore unlicensed online casinos. While one could enjoy many gaming sessions without going through burdensome verification processes, playing at unregulated virtual casinos is quite risky in the long run, as such websites often try to take advantage of players.
Why Many UK Players Consider Joining Unlicensed Online Casinos?
In the last couple of years, more British players have become frustrated with the operators licensed by the UKGC. As the local regulator has imposed tighter restrictions on licence holders, players are required to go through extensive verification processes before they can even place any real-money bets. In some cases, while players are allowed to make deposits and place wagers on casino games, they might not be permitted to withdraw their winnings before they complete a KYC procedure.
The whole KYC process is very burdensome for many players, as they are required to provide a copy of some form of ID document. Moreover, they also need to provide proof of source of funds to ensure that they can afford to gamble the amounts they are depositing at the virtual casinos. These steps definitely take effort and time that could otherwise be spent playing the games the casino is offering.
While licensed operators are required to follow strict security guidelines imposed by the UK regulator, some players do not feel comfortable sharing any personal information or banking statements with casino operators. This further increases players’ displeasure with licensed UK virtual casinos.
Even though many players are willing to comply with the terms and conditions of licensed operators, they are often concerned about their accounts being blocked due to the strict regulations imposed by the UKGC. In some cases, players may also be denied their payouts until they provide the required documents to verify their accounts.
Transactions involving online casinos are yet another reason why some UK players may decide to opt for gambling on unlicensed offshore websites. Regulated UK virtual casinos will require players to provide some sort of proof of their source of funds, especially if they make transactions above certain casino limits. Meanwhile, many unlicensed casinos allow players to use Bitcoin or other cryptocurrencies, making their casino transactions untraceable.
Is It Important for UK Players to Join Only Licensed Online Casinos?
We will highlight once more that while it is illegal for unlicensed operators to welcome UK players, there are rarely any legal consequences for the players themselves. That is why it is up to casino enthusiasts to assess the risk levels and decide whether it is worth playing on such websites. That said, we want to present several reasons why you might want to stick to licensed UK interactive casinos.
Getting your winnings
If you join a website that operates without a licence from the UKGC, you may not notice anything suspicious at first. Such online casinos will allow you to make a deposit and may even award a ridiculously high bonus. The games will also be available at your disposal, allowing you to play with your generous bonus. However, when you request a withdrawal of your winnings, you may find yourself in an awful predicament. Unlicensed casinos can stall your withdrawal and eventually not pay you a single penny. As such websites are not required to abide by the guidelines imposed by the UKGC, they can refuse to pay you your winnings, and you cannot do anything about it.
Playing at a licensed UK virtual casino is a completely different experience. It is true that you may need to verify your account before your withdrawal is authorised. However, licensed casinos are required to be fair with their customers and cannot refuse to pay you without good reason.
Player protection
While gambling might be just a source of entertainment for some players, it can easily turn into a serious addiction for others. That is why licensed operators are required to provide sufficient responsible gambling tools and assist their customers. If you want to stop gambling or just take a short break, you can make use of time-offs or self-exclusion tools. Licensed online casinos must also actively monitor the gambling behaviour of their patrons and take rapid action if they notice concerning patterns. However, unlicensed casinos are not required to take the betting habits of their members into account to prevent gambling harm. That is why playing on unlicensed gaming websites can be very harmful to vulnerable individuals.
Protection of personal information and banking details
Another very important requirement that licensed virtual casinos must abide by is ensuring a secure gaming environment, especially when it comes to players’ transactions. Any banking details that casino members are required to provide during source-of-funds checks and payments are protected via industry-standard tools such as SSL encryption. That ensures that unauthorised third parties do not have access to the sensitive information of players. Unfortunately, this is not a condition that unlicensed casinos are required to fulfil. That means that players are exposed to the risk of having their identities and bank details stolen whenever they wager real money at unregulated offshore websites.
Closing Thoughts
As many UK players share their frustration with the stricter rules imposed on licensed UK online casinos, some are considering switching to unlicensed operators. As there are no legal consequences for players who wager their money on offshore gaming sites, many are willing to take the risk and bet at unlicensed virtual casinos. As many of these offshore casinos also allow crypto payments, players find it convenient to use Bitcoin and other cryptocurrencies for their casino wagers.
Playing at unregulated online casinos has its perks, as they do not require burdensome verification processes or source-of-funds checks. Such casinos will also often offer very bountiful promotions that sometimes sound suspiciously generous. However, what players fail to recognise is that they are taking quite the risk if they make wagers at unlicensed online casinos.
As the UKGC cannot regulate offshore casino operators, they are not obligated to protect players and may often refuse to pay out one’s winnings. Unfortunately, as the UK regulator has no power over offshore operators, it cannot help players whenever they are victims of unregulated casino schemes. It is possible to enjoy your time at an unlicensed gaming site without experiencing any issues. However, you must keep in mind that you are taking huge risks by trusting websites that avoid legal operations in the UK.
